Egypt has opened the gate for international investment, especially after the 25 January Revolution in 2011, to compensate investments lost both during and after the revolution. Expanding shareholder protection laws may have a positive impact on companies as well as on the Egyptian national income. For example, as companies expand their external financing and decrease conflicts between shareholders and company managers, their profits can increase. Therefore, in order to assess whether the legal and contractual protection of shareholders functions efficiently, it will first be necessary to determine and analyse the system’s possible shortcomings.
Samiha Fawzy‘Assessment of Corporate Governance in Egypt’The Egyptian Center for Economic Studies(2003) p. 13 available at www.eiod.org/uploads/Publications/Pdf/assessingcgegypt.pdf accessed: 1 February 2014.
Steven Bulloch‘Shareholder Agreements in Closely Held Corporations: Is Sterilization an Issue?’Temp. L.Q. 59 (1986): 61defined shareholders’ agreements as ‘simple contracts between all or some of the shareholders of a corporation and may contain whatever the parties choose’.