This transaction represents an innovative mechanism to comply with the EGX's listing rules. A portion of the profits of a company listed on the EGX, EFG Group Holding (HRHO.CA), was distributed to its shareholders in the form of shares in the capital of another company, U Consumer Finance (VALU.CA), in preparation for the commencement of trading in U Consumer Finance shares.
It's worth noting that the EGX has implemented innovative and cutting-edge solutions. The implementation was carried out using an upgraded version of the Exchange's offering execution system—the Private Prospects Market (OPR). This process involved technical modifications to improve the speed and accuracy of brokerage firms' listing of these transactions, along with advanced technical updates to the client registration system via the Application Programming Interface (API). The EGX team made precise adjustments to these systems to ensure their compatibility with the requirements for executing these transactions.
This comes within the framework of the EGX's ongoing development efforts to encourage more listings and offerings through innovative solutions and alternatives in accordance with the Exchange's listing rules, leading to increased market depth and higher trading rates. It also falls within the framework of the drive to digitize all transactions and develop all trading systems and mechanisms using the latest innovative technologies, which strengthens the EGX's position as a leading financial institution in market development.