The city of Luxor announced that the tourist hotels are full of guests, and have become full, for the first time in 10 years
For Egypt top talks today, the city of Luxor announced that the tourist hotels are full of guests, and have become full, for the first time in 10 years. Mohamed Othman, Head of the Cultural Tourism Marketing Committee, said that for the first time in about 10 years, Luxor hotels have raised the full number logo, as the floating and fixed hotels were filled with tourists of different nationalities, coinciding with the global celebration of the opening of Rams Road, which was scheduled last Thursday. (Al-Mal)
- Equally important, a new form of securitization is closer to being introduced to the Egyptian market as cabinet green-lit amendments to the Capital Markets Act. The changes are related to its proposals from earlier this year to allow utilities and other companies to raise capital by securitizing future cashflows.
The instrument allows companies that provide services to the public a new way of accessing liquidity. Unlike standard securitization which requires a large portfolio of accounts receivables, future flow transactions allow companies to sell securities backed by future income i.e. assets that do not yet exist on the company’s balance sheet. This, in turn, would open securitization to new companies in sectors such as utilities, telecoms, healthcare and education by allowing them to use future phone bills, utility payments, tuition fees and rental payments as securitizable assets. (The Egyptian Cabinet)
- And for our investment talks, BSH Home Appliances Group, a subsidiary of Germany's Bosch, has inked a preliminary contract with Egypt's New Urban Communities Authority to purchase two plots of land to establish an industrial complex for home appliances in the 10th of Ramadan City.
BSH Home Appliances will construct the industrial complex over around 160,000 square meters to manufacture home appliances. With a production capacity of over 350,000 appliances per year, the 30,000 square meter facility will be located on the 10th of Ramadan City close to Cairo. The factory's construction is set to start in 2022, and the production is scheduled to begin in 2024. In 2020, BSH recorded sales of 13.9 billion EUR by meeting consumer needs in 125 markets. (Mubasher)
- Moreover, Coca-Cola Hellenic Bottling Company (HBC) plan to invest $1 billion in the Egyptian market over the coming five years, following its acquisition of Coca-Cola Bottling Company of Egypt (CCBCE).
The new investment will be allocated for building factories and adding production lines. The statement did not give further details. In August, a subsidiary of HBC purchased a 94.7% stake in CCBCE for 427 million USD, giving it access to Egypt, one of the largest markets in Africa. FTSE 100-listed Coca-Cola HBC is one of the largest Coca-Cola bottlers in the world and is 23% owned by the US’ Coca-Cola Company. (The Egyptian Cabinet)
- By the same token, the Micro, Small, and Medium Enterprise Development Agency (MSMEDA) has injected up to 106 million EGP into 3,705 small and micro enterprises (SMEs) in Kafr El-Sheikh, Beheira, and Borg El-Arab areas, generating over 7,000 job opportunities.
The fourth area at MSMEDA operates in the governorates of Alexandria, Kafr El-Sheikh, Beheira, and Matrouh. This is a continuation of the efforts made by MSMEDA within the framework of the presidential initiative “Decent Life”, which seeks to ease the burdens of citizens and raise the social and economic level of the children of the targeted centers by providing them with new skills that help them meet the requirements of the labor market. (Arab Finance)
- Intro Sustainable Resources (IRS) is set to receive 5.3 million USD in green finance from the European Bank for Reconstruction and Development (EBRD).
The loan will be used to finance a pipeline of projects that includes combined heat and power (CCHP/CHP) plants, renewable energy generation, electricity distribution, alternative energy applications and waste management projects in Egypt, with the two most advanced Projects being two CCHP/CHP plants with a combined capacity of 15.5 MWac with private off-takers. The projects will support the company's ambitions to expand its long-term low-carbon energy transition strategy and will support the expansion of private-to-private utility projects in Egypt. (EBRD)
- Moving to our EGX & companies talks, Raya Holding for Financial Investments obtained the approval of the Polish government to buy an additional stake equal to 4.99% of the shares of the company Mkrona Polsky with a total value of approximately 820,000 USD.
Macaroni Polski, which is listed on the Warsaw Stock Exchange, is a company listed on the Warsaw Stock Exchange, and Raya acquires 19.39% of its shares indirectly through Madova Corporation (this share increased after the transaction to 24.38%). It is scheduled to share the banner of an upcoming subscription to increase the capital of the Makroni-Polsky Company in order to finance the company's new expansion plans. Madova's contribution to the subscription will amount to 2.1 million USD, and the company expects this amount to benefit shareholders in the form of greater financial returns in the short and medium term. (EGX)
- Additionally, Oden Investments obtains the approval of the Stock Exchange to split into two companies, one of which is real estate.
The Listing Committee decided to voluntarily stop trading on Oden Investments’ stock, starting from Thursday, November 25th, until the completion of the technical and technical procedures for the split and listing process. The division project requires a decrease in the authorized capital of Oden for Financial Investments (Qasima Company) from one billion EGP to 500 million EGP. (EGX)
- In the same context, Walid Hassouna, CEO of the non-banking finance sector at EFG Hermes and CEO of Valeo, revealed that the company intends to issue securitization bonds worth 500 million EGP in the first half of 2022.
It is noteworthy that EFG Hermes completed last September the first issuance of securitization bonds for its subsidiary Valeo, with a value of about 323 million EGP, according to what the company announced in a press release, and explained that this issuance is the first tranche of the program to issue securitized bonds worth 2 billion EGP. (Al-Mal)
- Likewise, ValU, a subsidiary of Egyptian Financial Group Hermes Holding (EFG Hermes) (HRHO), is seeking to obtain the final approval to enter the Saudi Arabian market and one of the North African markets in 2022.
The company has fulfilled most of the conditions to enter the Saudi Arabian market; however, the Covid-19 pandemic has been an obstacle for this expansion. Moreover, valU has received letters from its partners, informing the company that they will raise the prices of the offered services and products over the coming period. (Arab Finance)
- Furthermore, valU announced last Thursday the signing of a new partnership agreement with Marakez, a major projects development company in Egypt.
Under this agreement, Valu will provide limited-time offers that cover interest-free installment plans without a down payment and administrative fees over flexible periods that are up to 12 months. These offers will be available for shoppers in the chain store affiliated with Mall of Tanta, which has over 60 stores. valU was recently ranked the fifth among Forbes Middle East’s Top 15 fintech apps in the MENA region for 2021 as well as won the best fintech company prize for 2021 at the Gulf Business Tech Awards 2021.
- The consortium comprised Aldar Ventures International Holding and Gamma Forge Limited is seeking to conduct an amendment to Sixth of October Development and Investment Company’s (SODIC) (OCDI) Articles of Association and to change the controlling stake in SODIC.
The consortium aims at changing the percentage of the majority stake in SODIC to become 51%, instead of 66.7% after holding the extraordinary general meeting (EGM). Moreover, the consortium has pledges from shareholders to complete only the voting quota to 67% once it acquires less than a 67% stake in SODIC through the mandatory purchase offer (MTO). (Al Borsa Newspaper)
- Alexandria Container and Cargo Handling Company (ALCN) is planning to launch a bid for supplying around 18 tractors and trailers to Alexandria and El Dekheila terminals.The company is seeking to offer a tender for purchasing nine heavy-duty tractors to the terminals of Alexandria and El Dekheila as of January 2021.
Moreover, the company is intending to launch another tender to buy nine trailer trucks with a capacity of 70 tons on January 2nd, 2022. It is worth noting that the company reported a net profit after tax of EGP 448.15 million for the first four months of fiscal year (FY) 2021/2022, up from EGP 368.78 million in the same period of 2020. (Al Borsa Newspaper)
- And ending today’s talks, with Ezz Elarab Automotive Group, the sole importer of Aston Martin in Egypt, has launched the newest showroom for the luxury English brand at the Park Street Business Complex in Sheikh Zayed City.
The newly opened complex focuses on business ventures and is home to fine dining restaurants and high-end retail outlets and luxury stores. This brand-new showroom is part of the steps taken by Ezz Elarab Automotive Group to expand its ventures by building a solid relationship with the English super luxury brand and providing them with new innovations. (Arab Finance)
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