Egypt's Beltone in US buyout to create regional powerhouse

Mergers and aquisitions1Egypt's largest asset manager, Beltone Financial, says it has acquired a 60% stake in US-based brokerage Auerbach Grayson for an undisclosed sum. The deal is "the first step in our strategy to create a major Middle East-based global investment bank", said Naguib Sawiris, the Egyptian billionaire whose conglomerate, Orascom Telecom Media and Technology, bought Beltone Financial in 2015. Listed on the Egyptian Exchange, Beltone Financial has 30 billion Egyptian pounds ($3.4 billion) under management and maintains offices in Cairo, London, Dubai and Tripoli, Libya. The acquisition is expected to assist Beltone Financial in offering its products to the US while helping it expand in frontier markets. Auerbach Grayson, based in New York, provides research, execution and settlement services for equities, derivatives and bonds to US institutional clients. Morgan Stanley is a minority shareholder in the firm, which maintains a network of local broking partners in 125 countries. Earlier this year, Auerbach Grayson founder David Grayson predicted a deal with Beltone Financial would, "expand our overseas coverage in the European and Gulf markets, giving us broader reach in our core agency broking and capital markets distributions". After its takeover by Orascom Telecom Media and Technology, Beltone Financial tried to buy another investment firm, CI Capital, from Egypt's Commercial International Bank, but the deal was blocked by the local regulator. ©2016 funds global mena

Executive Interviews

EXECUTIVE INTERVIEW: A natural interest in the topic

Mar 08, 2017

Since 2016, Guillermo Ortiz has been a chairman of Latin America’s BTG Pactual. The former central banker of Mexico talks to Nick Fitzpatrick.

We’ll launch our first equity fund next year

Dec 08, 2016

Not many banks plant olive trees, but the Bank of Palestine has a social mission. It also has ambitious expansion plans, says chairman Hashim Shawa. He talks to George Mitton.



Mar 08, 2017

The move to a three-day settlement cycle, the appearance of new stock exchanges, and recent rules on hedge funds were discussed by our panel in Cape Town. Chaired by George Mitton.

ROUNDTABLE: Growing pains

Mar 08, 2017

Our panel in Qatar spoke about frustration with regulators, a shortage of listed companies and plans for a new financial city in Doha. Chaired by George Mitton.