Strategic Subsidiaries

CI Capital Holding

The ancient region of Deshret Reithu near Saint Catherine’s Monestary provided Ancient Egypt with turquoise, gold and copper. Ruins of mines and temples can still be found there.

CI Capital Holding (“CI Capital” or the “Group”) is a leading Egyptian investment banking, securities and investment management firm. The Group is a wholly owned subsidiary of CIB, Egypt’s largest private-sector commercial bank. Through its headquarters in Cairo and offices in New York and Dubai, CI Capital offers a wide range of financial services to a diversified client base that includes individual, high-net-worth and institutional investors and corporate clients. The Group offers its services across six business lines: Securities Brokerage, Equity Research, Asset Management, Investment Banking Advisory, Leasing and Private Equity.

The Group’s Investment Banking arm is the number-one-ranked advisor in Egypt, having successfully executed c. EGP 106 billion in transactions since inception, with more than EGP 72 billion executed since the beginning of 2013. The company advises on mergers and acquisitions, private and public equity and debt capital raising and financial restructures.

The Securities Brokerage arm is a market-leading brokerage house in Egypt, ranked number one on the Egyptian Exchange, with a market share of 9.65% of total trading as of year-end 2016. The firm’s share among institutional investors is even higher at 19.9%. CI Capital’s brokerage platform is complemented by an industry-leading research platform covering more than 75 companies across 11 sectors in seven markets, with a top-tier analyst team ranked sixth in MENA Research by the 2015 Extel Survey – second in the MENA region and first in Egypt.

The Asset Management Division manages fixed income, money market and equity products, with AUM in excess of EGP 9.9 billion. The division managed to position itself as a top quartile asset manager in all types of funds and portfolios. The division manages 10 diverse funds and provides portfolio management services to a wide client base, while also offering discretionary services to high-net-worth individuals and institutional investors. Clients are provided with comprehensive, personalised services tailored to their investment and reporting requirements. The Asset Management team has always been at the forefront of innovation, launching Egypt’s first one-year, open-ended capital-protected fund and first-ever Sharia-compliant money market fund.

During 2016, CI Capital acquired a controlling stake in Corplease, one of the leading financial leasing companies in Egypt. CI Capital was recognised as the “Best Investment Bank in Egypt” by Global Finance in 2014 and 2015, by EMEA Finance in 2013, 2014, 2015 and 2016 and by International Finance Magazine in 2014.

2016 Review

Securities Brokerage
  • CI Capital’s brokerage arm staffs more than 119 employees, with an average of 11 years of experience in MENA capital markets. To better compartmentalise tasks and protect the interest of each segment, CI Capital’s Securities Brokerage arm is comprised of two companies: Dynamic Securities, which caters to local retail investors, and CIBC, which caters to foreign, local and GCC institutions and high-net-worth Individuals across Egypt and the GCC.
  • The synergies of its Research, Sales and Trading teams allowed CIBC to continue to grow its overall market share and ranking on the EGX. A market share of 9.8% (excluding one-off transactions) puts the company in first place among competition. CIBC remains the largest institutional broker with a 23.6% market share, including a 27.5% foreign market share compared to 17.6% in 2012.
  • CI Capital Research is Egypt’s leading research house, most recently being ranked fifth (up from sixth) among regional firms in EMEA Extel’s 2016 Institutional Investor vote and second among local firms covering the MENA region. Out of a team of 13, five analysts covering macro, telecoms, industrials, chemicals, consumer and construction are ranked among the top 25 in the region, according to EMEA Extel 2016. The division has active coverage of 30 Egyptian companies across six sectors, in addition to 41 regional companies across seven MENA markets: the UAE, Saudi Arabia, Qatar, Oman, Kuwait, Jordan and Morocco.
  • The firm successfully received approval from the UAE Securities and Commodities Authority during 1H2015 and is currently in the final stages of establishing on-the-ground presence in Dubai to branch out its regional platform and grow its GCC client base further. CIBC’s potential presence in the UAE not only provides direct market access to the company’s clients but will also diversify revenue generation from other GCC markets, complimented by a strong and growing MENA research product.
  • CI Capital also hosted the 3rd Annual Egypt Equities Conference in Cape Town in August 2016, receiving excellent feedback from both investors and corporates alike.
  • Finally, and as an extension to its track record of successful flagship conferences, CI Capital Brokerage hosted its 4th Annual Egypt Investor Conference in January 2016, spanning Cairo and New York. The conference hosted 38 of Egypt’s publicly listed companies meeting one on one with close to 100 foreign, local and GCC investment institutions and high-net-worth individuals managing c. USD 5 trillion in GEM and frontier equities.
Asset Management
  • The division is recognised as one of the first and best institutionalised asset managers with a strong management team backed by the fastest growing, full-fledged Investment Bank.
  • We are a pioneer in introducing innovative products to the Egyptian market with AUMs in excess of EGP 8.0 billion and the widest mandate range in the Egyptian market.
  • Our outstanding, sustainable performance in all different asset classes under management in the Egyptian market have pushed us to outperform both the respective benchmarks and the average returns of market peers. Our accomplishments have led to our accreditation by the Egyptian Investment Management Association (EIMA) with international recognitions and awards.
  • The division puts strong emphasis on corporate governance and risk management to align business practices with the best interests of stakeholders while maximising transparency through timely information disclosure.
  • We serve prominent local and foreign institutional clients with professionalism, integrity and strict abidance to business codes of ethics.
  • CI Asset Management was been awarded 2016’s “Best Asset Manager in Egypt” by Global Investors for the seventh consecutive year.
  • We were also awarded 2016’s “Best Asset Manager in the Egyptian Market” by Global Business Outlook.
  • Year to date, CIB Equity Fund Estithmar has been ranked second among all other equity funds by EIMA.
  • Year to date, CIB / FIB Sharia-Compliant Equity Fund Aman has been ranked second by EIMA.
  • Blom Money Market Fund was ranked first among all money market funds for seven consecutive years (2009-2015), maintaining its top ranking in 2016.
Investment Banking
  • CI Capital Investment Banking acted as the exclusive financial advisor to Olayan Financing Company on its EGP 518 million acquisition of a 100% stake in El Rashidi El Mizan, Egypt’s market-leading confectionery player, in November 2015.
  • CI Capital Investment Banking acted as international joint lead manager on Orascom Development Holding’s CHF 135 million rights issue in December 2015. The highly successful transaction is CI Capital’s first international offering on the Swiss SIX Exchange.
  • The arm acted as exclusive financial advisor to Qalaa Holdings on the EGP 422 million sale of a 94% stake in Tanmeyah Micro Enterprise Services, a leading microfinance player in Egypt, in March 2016.
  • CI Capital Investment Banking acted as exclusive financial advisor to Actis on its EGP 959 million sale of a 7.5% stake in Edita Food Industries, a leading F&B player in Egypt and the region, in June 2016.