Back to the complete issue
Sunday, 1 March 2020

Sovereign Fund of Egypt assessing 10 military subsidiaries to offer them for co-investment

The Sovereign Fund of Egypt (SFE) is studying 10 military-owned companies to offer them for co-investment, CEO Ayman Soliman tells the Financial Times' Heba Saleh. The evaluations come under an agreement the SFE signed last month with the military-affiliated National Service Products Organization (NSPO) to open up its subsidiaries for investors and address private sector complaints that the military is crowding them out. Soliman noted that the NSPO would be “happy” to exit selected assets 100%. He declined to name the companies currently under assessment.

Background: The agreement signed last month is part of the government’s steps towards privatizing some military-owned companies. President Abdel Fattah El Sisi said twice that we could see army-owned companies and assets selling stakes on the EGX as part of the state privatization program. According to NSPO’s website, the organization holds 32 companies operating in heavy and specialized industry, commodities and food manufacturing, agriculture, fisheries and livestock, quarrying and mining, contracting, and services including conference management.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Etisalat Misr (tax ID: 235-071-579), the leading telecoms provider in Egypt; and Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt.