Egypt’s fintech trailblazer Valu is officially making its debut on the Egyptian Exchange (EGX) today, trading under the ticker VALU.CA. This landmark event not only marks a new chapter for the company but also introduces Amazon as one of its newest shareholders.
Not Your Typical IPO
Valu’s parent company, U Consumer Finance, is going public, but not through a traditional IPO. Instead, EFG Holding is spinning off 20.5% of U Consumer Finance and distributing it as dividends to its existing shareholders.
- Shareholders receive stock in U Consumer Finance instead of cash
- Valuation for the distributed shares: EGP 3.2 billion
- Total valuation of U Consumer Finance: EGP 15.6 billion, as per BDO Keys Financial Consulting
This move, according to EFG Holding CEO Karim Awad, is designed to “unlock value” and highlight the market worth of one of EFG’s key assets.
Trading Details You Should Know
Valu began trading on Monday, June 23 at a reference price of EGP 0.777. In its first session, the stock can move freely between EGP 0.10 and EGP 7.40, with no temporary halts.
- Shareholders can hold or sell their new stock
- Market will determine Valu’s value on day one
- Trading is expected to gauge investor appetite in a tough macro environment
This is a closely watched listing for the EGX, especially considering the scarcity of fintech listings and rising regional interest in digital financial services.
Amazon Enters the Scene
One of the biggest headlines around Valu’s listing is Amazon’s official entry as a direct shareholder.
- Amazon will acquire a 3.95% stake in Valu
- Purchase price: EGP 6.04 per share
- The deal executes today via a block trade, subject to regulatory approvals
Amazon’s involvement isn’t new, it first invested in EFG Hermes’ GDRs back in 2022, worth USD 10 million. That deal came with an option to convert into a Valu stake, triggered by a liquidity event like this listing. With Valu now public, Amazon exercised its right and secured its place at the table.
Why is this a big deal?
Valu is a leading Buy Now, Pay Later (BNPL) and consumer finance platform in Egypt, a market with growing demand for flexible, tech-enabled financial solutions. Amazon’s decision to convert its option signals strategic interest in the fintech space across MENA.
- ✅ Strong signal for investor confidence
- ✅ A rare case of foreign tech investment entering Egypt’s public market
- ✅ A potential catalyst for more fintech IPOs in the region
What They Said
Karim Awad, CEO of EFG Holding, called Amazon’s move a “testament to our ability to build greenfield ventures into market leaders.”
Valu CEO Walid Hassouna said the stake signals the strength and adaptability of Valu’s business model, one that continues to evolve for clients, partners, and investors.