Egypt's EFG Hermes said on Thursday its board had approved the sale of a 40 per cent stake in Credit Libanais to Arab and Lebanese investors at $33 per share, along with plans to sell its remaining shares by May next year.

According to its website EFG Hermes' total holding in Credit Libanais amounts to 63.7 per cent, with the sale price valuing the bank at around $765 million.

EFG Hermes bought the stake in 2010 for $542 million, saying at the time that the deal would aid expansion into Lebanon and the Levant and help broaden its product range. But the civil war in Syria has hit Lebanese banks hard.

It said on Thursday the initial sale of the 40 per cent stake is expected to be completed by June 30 but the board had also approved an irrevocable underwriting agreement with Credit Libanais Investment Bank, a subsidiary of Credit Libanais, for the sale of its remaining 5.5 million shares at $33 a share, on or before May 31, 2017. – Reuters