PM — Happy New Year, folks

Good afternoon, wonderful people, and welcome to the last Enterprise issue of 2022. It’s been quite a year for The Enterprise Company, for Egypt, and for the whole world. We’re thankful for each and every one of you for reading us every morning and afternoon.

REMINDER- EnterpriseAM and EnterprisePM will be off tomorrow and Sunday, 1 January, before returning to our publishing schedule from Monday, 2 January. We wish you all a wonderful start to the new year.

THE BIG STORY TODAY

Egypt’s natural gas exports rose 14% y-o-y to reach 8 mn tons in 2022, bringing in USD 8.4 bn, according to an Oil Ministry statement. Revenues from our natgas exports rose 171% y-o-y on the back of elevated global prices, the statement notes.

ALSO- The Supply Ministry is set to announce today its indicative price list for some 10 strategic commodities, according to Akhbar El Yom. The ministry had set up a committee earlier this month to determine the “fair price” of several food items deemed to be strategic commodities, in a bid to regulate market pricing amid soaring inflation.

Kudos to our friends at BTECH, who ended the year on a strong note by receiving the Most Innovative Omni-Channel Consumer Electronics Retailer Award of the year from the UK’s Global Economics Magazine, according to a statement (pdf). The home and consumer electronics retailer launched an innovation hub earlier this year, in addition to rolling out several new financing products. We also sat down with BTECH CEO and Chairman Mahmoud Khattab to talk about the retailer’s growth story.

**DID YOU MISS our annual year-in-review series? You can catch up on our customary year-end wrapup of the biggest stories of the year:

• Macroeconomics
• Debt
• M&A
• Capital markets
• Investments
• Energy
• Startups
• Foreign policy

THE BIG STORY ABROAD

We’re ending the year with yet another mixed bag of nuts in the international business press. Among the headlines this afternoon: Hospitals and funeral homes in China are “under intense pressure” as covid-19 continues to spread (Reuters); Saudi Aramco refining unit Luberef’s shares fell on their debut on the Saudi Tadawul (Bloomberg); and Wall Street bankers are expected to get thinner bonuses this year as revenues plummet (the Wall Street Journal).

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• Oil Ministry kicks off fresh oil + gas tender: State-owned Egyptian Natural Gas Holding Company has launched an international oil and gas tender for 12 exploration blocks in the Mediterranean and Nile Delta.
• The FRA is easing credit limits for homebuyers: The Financial Regulatory Authority has loosened income requirements for mortgage lenders in a move designed to boost lending and help people purchase homes amid rising house prices.
• TCI Sanmar to invest at least USD 160 mn in new loading terminal in Egypt: Indian industrial chemical manufacturer TCI Sanmar plans to invest an initial USD 160 mn to set up a loading terminal near Port Said to import ethylene.

???? CIRCLE YOUR CALENDAR-

Companies have until Saturday to register with the Egyptian Tax Authority’s e-invoicing system after the Finance Ministry earlier this month gave companies an additional two weeks. Only 150k companies had signed up to the new system as of the end of November, well below a sought goal of 1 mn companies to register under the system.

REMEMBER- This deadline no longer applies to the self-employed: The Finance Ministry pushed the deadline for self-employed professionals — including doctors, pharmacists and lawyers — to 30 April 2023 after widespread opposition to the system.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

☀️ TOMORROW’S WEATHER- The last few days of the year and first day of 2023 are forecasted to be mainly sunny in the capital. Expect temperatures in Cairo to peak at 20-21°C during the day Thursday-Sunday, before falling to 10-11°C at night, our favorite weather app tells us. If you’re heading down to Gouna, temperatures are forecasted to hit 24-25°C during the mostly sunny few days, before falling to 13-14°C at night. And over in Alexandria, the mercury will hit 19-20°C before falling to 13-15°C on average in the evening.

Cairo’s Muhammed Ali Museum is displaying some 70 Egyptian artifacts that were seized at Egypt’s ports before being smuggled January 25, the National reports. The exhibition aims to celebrate the palace’s historical anniversary and put a spotlight on authorities’ efforts to maintain the country’s heritage and its tangible valuables, the museum’s director Mohamed El Bardiny tells the news outlet. The palace also houses around 25k objects in storage that will be eventually showcased in 15 halls. Egypt has saved 29.3k illegally smuggled artifacts between 2011-2021, director of the Tourism and Antiquities Ministry’s antiquities repatriation department Shabaan Abdelgawad tells The National.

The 2022 World Cup pulled in over double the viewership than the last iteration: Global network BeIN Sports reported a 135% increase in viewership with 5.4 bn viewers tuning in to this year’s World Cup, compared to 2.3 bn viewers during the 2018 World Cup in Russia, according to a statement. Some 242.8 mn viewers watched the World Cup’s charged final match between France and Argentina.

Which countries watched the most: Qatar led the pack in terms of highest viewership with 93% of the adult population of viewers tuning in, Morocco came second (91%), followed by Lebanon (89%), Algeria (79%), and Egypt (72%).

Agritech and foodtech sectors are struggling to draw investors: VC investments in agritech and foodtech sectors plummeted 44% y-o-y in 2022 amid rising interest rates, costs and concerns over startups’ business models, the Financial Times reports. Companies in the two sectors raised just under USD 30 bn in 2022, according to preliminary analysis by PitchBook. The slump in agritech and foodtech investments in 2022 was more pronounced versus the overall decline of just over a third in total VC financing across all industries. Equity market volatility restricted IPOs, limiting exit options, which made investors reluctant to take part in later-stage funding rounds. The decline in funding raises the likelihood that there will be sector consolidation and more mergers and acquisitions in the upcoming year.

It’s a stark contrast to last year: VCs ramped up investments in various companies developing lab-grown or plant based proteins, vertical farms, and biological fertilizers in 2021, doubling investments amid increased awareness regarding agricultural and meat production and rising concerns over food security.

???? ON THE TUBE TONIGHT-
(all times CLT)

Shahid’s dramedy Mawdo3 3a2ely is back: The new season picks up years after Ibrahim (played by Maged El Kedwany) and his daughter Sara (Rana Raees) reunite, with more comedic tragedies unfolding. Sara receives an impromptu proposal from Hassan (Taha Desouki) at her university graduation ceremony and hilarity ensues. After putting some more thought into his ill-advised timing, he proposes again and she eventually accepts. Meanwhile, while Ibrahim is struggling to come to terms with the idea of his daughter’s impending marriage, he receives a serious diagnosis that leaves him unsure if he’ll even be around to see it happen. The first two episodes are streaming on Shahid now with new episodes released on Thursdays (watch trailer, runtime: 2:09).

⚽ We’ve got quite a few matches in store for you in the last few days of 2022 and the first day of 2023.

Tonight in the Egyptian Premier League:

Pharco v Future (5pm)

El Gaish v Haras El Hodoud (5pm)

Ceramica Cleopatra v Al Ahly (7pm)

And over in the English Premier League: Leeds plays Manchester City at 10pm in the final match of the 17th round of the league.

And the Ligue 1 is back: The 16th week of matches starts today, ushered in by Paris Saint-Germain against Strasbourg, at 10pm.

Tomorrow in the Egyptian Premier League:

Al-Masry v Aswan (5pm)

Zamalek v Ismaili (7pm)

And over in LaLiga: Atletico Madrid play against Elche at 10:30pm.

Friday, 30 December: Competition in the Enterprise Fantasy League intensifies as a new week of the league begins on Friday. If you have not yet signed up, you can catch up with us by clicking on this link or entering the code 8o4sut.

The Egyptian Premier League will see Smouha facing off against Ghazl El Mahalla at 5pm and the National Bank playing against Mokawloon at 7pm.

Over in the English Premier League:

West Ham v Brentford (9:45pm)

Liverpool v Leicester City (10pm)

And LaLiga’s games will include:

Getafe v Mallorca (6pm)

Celta Vigo v Seville (8:15pm)

Cadiz v Almeria (8:15pm)

Real Valladolid v Real Madrid (10:30pm)

On Saturday, 31 December:

English Premier League:

Wolverhampton v Man (2:30pm)

Man City v Everton (5pm)

Bournemouth v Crystal Palace (5pm)

Newcastle v Leeds (5pm)

Fulham v Southampton (5pm)

Brighton v Arsenal (7:30pm)

LaLiga:

Barcelona v Espanyol (3pm)

Real Sociedad v Osasuna (5:15pm)

Villarreal v Valencia (5:15pm)

On New Year’s Day:

The English Premier League will see Tottenham facing off against Aston Villa at 4pm and Nottingham Forest taking on Chelsea at 6:30pm.

???? OUT AND ABOUT-
(all times CLT)

Don’t miss Saint Mercy’s electrifying live performance at Room Art Space in Garden City tomorrow at 9pm.

Americana Plaza Sheikh Zayed is hosting a New Year Bazaar from 29-30 December starting from 9am until midnight.

On New Year’s Eve:

The Funny Hats New Year kicks off at 7:30pm at Room Art Space New Cairo. Get creative with face painting then sing your heart out as the karaoke night begins at 10pm.

The Marmalade Jam featuring Soul Medicine Man will usher in the New Year at The Tap West from 10pm. DJ A.K follows up with hip hop and R&B hits until close.

Head to Cairo Jazz Club 610 for El Leila Dope, with Egyptian pop sensation Moustafa Amar. BubbleGum Kollectiv will keep the party going afterwards with pop hits.

El Waili and Riff are ringing in the New Year with an electro-shaabi journey at The Tap Maadi. Afro Mowgli will open the set starting from 10pm.

???? UNDER THE LAMPLIGHT-

Learn how The Great Air Race sparked the US commercial aviation industry: Written by journalist and pilot John Lancaster, this book documents the daring pilots who participated in a dangerous cross-country race to demonstrate how planes could join trains and boats as a useful transport option in post-war America. Over a century ago in the aftermath of The Great War, the majority of Americans had never seen a plane. Aircrafts had already proven useful in combat, but their service in times of peace had not yet been established. The army's Air Service cut its number of officers from 20k to 1.3k, and the Boeing Company shifted to producing furniture and speedboats. However, a few people saw the potential for commercial aviation and began looking for a peg to spark public interest and drum up congressional funding. Pilots spent their time mapping cities, dragging ads across the skies, searching for forest fires and patrolling borders. When these ideas failed to gain traction, aviation supporters organized a cross-country race in 1919 to capture the nation's attention.

The EGX30 rose 0.6% at today’s close on turnover of EGP 1.2 bn (22.6% below the 90-day average). Local investors were net buyers. The index is up 22% YTD.

In the green: AMOC (+3.8%), Ibnsina Pharma (+3.4%) and Talaat Moustafa Holding (+3.1%).

In the red: Palm Hills Development (-0.5%), GB Auto (-0.2%) and CIB (-0.2%).

Does 3D cinema still have a shot? Despite the decline of ticket sales, James Cameron spent close to half a bn USD and over a decade of time in the 3D sphere with the newly released Avatar: The Way of Water. The long-awaited sequel to the highest-grossing movie of all time (with nearly USD 3 bn in box office revenue) was initially scheduled for a 2014 release, but took an additional eight years to finish due to Cameron getting sidetracked with writing four sequels at the same time and a VR Disney Park ride among other unwieldy ventures. However, the massive blockbuster — which needs USD 2 bn in ticket sales to make a return on investment — re-ignited heated discussions on whether it can help resuscitate the ailing format.

The original Avatar changed the landscape of 3D cinema: Cameron — high off the successes of The Terminator and Titanic — spent four years and between ​​USD 280 to 310 mn working with experts to develop the new technologies that made the film’s immersive, photorealistic environment possible. Reeling in USD 760 mn domestically and over USD 2 bn internationally, cinema goers flocked to experience the lush, adventure-packed world of Pandora leading the sci-fi blockbuster to screen in some theaters for 234 days.

But the uptrend quickly fizzled: While the success of Avatar opened the door for a torrent of 3D movies in the early 2010s, few possessed Cameron’s ambitious and expensive vision for tech-fueled art. Some argue only a portion of 3D films, such as Martin Scorsese’s Hugo and Alfonso Cuaron’s Gravity, managed to gracefully wield the technology. While 3D was ingrained in the fabric of Cameron’s films — with every shot crafted to best suit the 3D format — it came mostly as an afterthought to the film’s successors, opting to convert pre-existing 2D movies to 3D in post-production. Audiences quickly realized they were paying extra ticket prices for an inferior and sometimes headache-inducing experience and ticket sales dipped by the mid-2010s. As demand dwindled, so did the number of 3D releases and the appetite of movie studios.

It’s been a roller coaster ride to get here: The first 3D movie, The Power of Love, was released in 1922 using rudimentary technology to create an illusion of depth. The film was recorded and projected in two separate red-and-green images, superimposed and viewed by the audience with glasses tinted in the same colors. Decades of experimentation followed, but the format failed to pick up steam due to its high production costs. 3D film saw a brief resurgence in the 1950s as studio executives pushed out big productions like Bwana Devil, which sent the 3D market into a frenzy. The medium gained traction once again in the 1980s with the rise of IMAX 3D and theme parks churning out 3D attractions based on popular movies, such as Muppet*Vision 3-D, Honey, I Shrunk the Audience, and T-2 3D: Battle Across Time.

So, could the Avatar franchise be 3D’s savior? The Way of Water has already generated the largest share of 3D ticket sales since 2015’s Star Wars: The Force Awakens, Deadline reports, adding that 79% of more than 4k surveyed ticket buyers would like to see more movies in 3D. The film grossed USD 434.5 mn globally on its opening weekend, netting the third highest weekend sales achieved by a movie in the post-pandemic era. While the sales came in slightly under the USD 450 mn it was expected to cross going into its first weekend, ticket sales are expected to see an upswing over the holiday period with the underperformance partly due to China’s covid lockdowns. Avatar: The Way of Water has so far grossed around USD 1 bn in ticket sales.

And is Egypt gearing up for a foray into 3D cinema? Youm 13 — the first 3D movie in the history of Egyptian and Middle Eastern cinema — is set to hit theaters on New Year’s Day. Written, directed, and produced by Wael Abdullah, the horror film features a star-studded cast including Ahmed Dawood, Dina El-Sherbiny, and Sherif Mounir. Filming ended over two years ago, but the release was delayed by the time it took the filmmakers to finalize the graphics and visual effects.