Zilla Capital advising Edita's flourishing journey into Frozen Bakery with Fancy Foods acquisition | Zilla Capital

Newsletter

31 May 2023

Zilla Capital advising Edita’s flourishing journey into Frozen Bakery with Fancy Foods acquisition

Zilla Capital advising Edita’s flourishing journey into Frozen Bakery with Fancy Foods acquisition. In a recent statement, Edita Food Industries (EFID) announced its acquisition of Fancy Foods Frozen Bakery, marking its entry into the frozen bakery sector and granting access to a largely untapped market. The deal, valued at 380 million EGP, positions Edita to expand its activities by investing an additional 400 million EGP in the coming year. Menna Shams El Din, head of investor relations at Edita, emphasized the company’s intention to boost Fancy Foods’ manufacturing capacity to meet the growing demand in the emerging Egyptian market. Notably, Zilla Capital served as Edita’s financial advisor, playing a significant role in facilitating the acquisition while Matouk Bassiouny & Hennawy acted as legal counsel. (Edita Press Release)

Australian consortium set to fuel Egypt's growth: bold 875 million USD mega investment plan.
Australian consortium, including Lion Bridge and Westtech, plans to invest 875 million USD in the construction of a phosphoric acid plant in Egypt's Golden Triangle Economic Zone. The plant, to be implemented by their newly established company "Osiris," will have a production capacity of 692,000 tons per year. This investment aims to boost Egypt's economy amid challenges in foreign investment flows caused by currency fluctuations and global economic factors. The project will be executed in two phases, with the first phase targeting the production of 346,000 tons of phosphoric acid. (Asharq)
EGX's countdown begins: index and stock futures contracts to unleash excitement by year-end.
The Egyptian Exchange (EGX) is set to introduce index and stock futures contracts before the end of the year, as part of their plan to expand financial instruments. This move follows the establishment of a futures settlement company called "Tasawiyat Clearing Services" to facilitate clearing and settlement operations. The EGX aims to attract foreign investors and increase liquidity through the upcoming state-owned initial public offerings (IPOs) and the launch of the derivatives market. (Asharq)
Dana fueling Egypt's energy reserves with an anticipated 80 billion cubic feet of gas.
UAE's Dana Gas is set to begin drilling 11 new wells in Egypt, which is expected to contribute approximately 80 billion cubic feet of gas reserves and production. With investments totaling 100 million USD, the company aims to consolidate its Egyptian concessions and has secured an agreement with EGAS to extract gas from higher-cost areas. Egypt represents 40% of Dana Gas' production capacity. The country's natural gas production reached 50 million tons last year, and it plans to introduce new rigs in the Mediterranean to explore 16 targeted wells in collaboration with foreign companies. (Asharq)
Pharco initiates construction of medicine manufacturing city in Saudi Arabia, set to commence in days.
Pharco, the Egyptian pharmaceutical group, is set to begin the construction of a medicine manufacturing city in Medina, Saudi Arabia, in early June. The project, which involves an investment of approximately 150 million USD, was awarded to the Egyptian Arab Contractors Company. The pharmaceutical city aims to produce a wide range of medicines, including vital products and vaccines, to meet the demand in the Saudi market as well as cater to export markets such as the European Union, the United States, Arab and African countries. (Asharq)
EDC examines strategies to sustain positive balance of payments indicators.
Egypt's Prime Minister, Mostafa Madbouly, chaired a meeting of the Economic Group to discuss the country's balance of payments performance during the first half of the fiscal year 2022/2023. The balance of payments achieved a surplus driven by positive indicators in tourism, petroleum and non-petroleum exports, Suez Canal revenues, and net foreign direct investment. The group discussed proposals to sustain these positive indicators, including progress in the privatization program, expanding in international markets, and focusing on increasing exports, supporting local industries, and attracting investments. Long-term plans involve increasing foreign exchange resources from tourism, the Suez Canal, and remittances. (Arab Finance)
Egypt and Turkey to swiftly strengthen ties and appoint ambassadors.
Egypt and Turkey are set to rapidly improve their relations and initiate the appointment of ambassadors. This surprising development coincided with Iran's supreme leader expressing a desire to enhance ties with Egypt, suggesting a potential restoration of formal relations between the two countries. (Enterprise)
Menoufia Governorate to implement 343 development projects worth 5.1 billion EGP by 2023.
Ministry of Planning and Economic Development has released a report outlining the citizen's investment plan for Menoufia Governorate in the fiscal year 2022/2023. The plan consists of 343 development projects with a total investment of 5.1 billion EGP. Key sectors targeted for investment include higher education and scientific research (31%), housing (20%), local development (15%), pre-university education (7%), and transport (4%), among others. The plan aims to align with Egypt's Vision 2030 and promote sustainable development in the region. (Arab Finance)
Iskafi explores 40 million USD investment in Egypt for food gelatin factory.
Turkish company Iskafi is considering investing 40 million USD in Egypt to establish a factory for food gelatin production and other materials derived from leather. Additionally, Iskafi aims to rehabilitate and operate three production units in Al-Rubiki with an investment of 6 million USD. The company's projects in Egypt aim to meet domestic market demands and export products extracted from leather to foreign markets. (Economy Plus)
Local gold prices rise with 21-carat reaching 2,340 EGP.
Gold prices in the local markets rose on Tuesday, reflecting a slight increase in global ounce prices. This was driven by optimism regarding a preliminary agreement between Republicans and Democrats to raise the US debt ceiling. Market attention also focused on the US Consumer Confidence Index data, which is expected to provide insights into the Federal Reserve's future monetary policy direction. The price of 21-carat gold reached 2,340 EGP per gram, while the ounce price rose to 1,948 USD. (Hapi)