80 Percent of SIC Shares to Be Sold to Public
Minister Tahmasb Mazaheri appreciated SIC's offer and the bank's reduction of shareholdings in other companies to 10 percent.
He announced his ministry's readiness to support and cooperate with Bank Sepah.
According to this report, 80 percent of the capital of SIC belongs to Omid Investment Management and Bank Sepah brokerage arm and 20 percent to the private sector.
The annual general meeting (AGM) and members of the Board of Directors of SIC endorsed 20 percent increase in the capital of SIC. This will increase SIC's capital from 340 to approximately 480 billion rials.
SIC has invested about 460 billion rials in 57 companies currently valued at around 670 billion rials in the market.
In the report submitted by the Bank Sepah managing director, it has been emphasized that 60 percent of the valuation of SIC comprises companies with shareholdings in excess of 10 percent each.
CIS will offer all the excess shareholdings above 10 percent in each and every company, comprising ten listed in the Tehran Stock Exchange (TSE) and eight unlisted ones, through initial public offering (IPO) and tender. The market value of these shares stands at 415.5 billion rials.
The managing director's report to Mazaheri refers to the fact that, in line with finalizing structural reforms within SIC by the end of this year, the shareholdings of this company will be offered for sale to the public.
SIC has invested 83.8 percent in listed companies with more than 561 billion rials market value, and 16.2 percent in unlisted companies worth around 109 billion rials.
SIC is the first investment company owned by a bank to be listed by TSE, able to deal in shares with a 10 percent ceiling for each company stock.
The initiative of SIC in this respect complies with the ministry's policy to reduce bank governance duties, including management of companies, issued to bank CEOs recently.