Qalaa Holdings Plans Capital Increase as Debt Reaches EGP 75 Billion

Qalaa Holdings for Financial Investments plans to proceed with an increase in its issued and paid-up capital as it seeks to ease the burden of debt and accumulated losses.

The proposed increase would raise the company’s capital from EGP 21.132 billion to EGP 25 billion, an addition of EGP 3.868 billion.

The move comes against a backdrop of EGP 75 billion in debt. Qalaa is looking to the capital increase to help reduce its financial pressures, although the information provided does not specify how the additional capital would be used.

No timetable or subscription terms were provided for the planned increase. The size of the company’s accumulated losses was also not disclosed.