Back to the complete issue
Thursday, 3 December 2020

Juhayna’s Safwan Thabet is detained pending investigation

Juhayna Chairman Safwan Thabet has been detained by authorities “pending investigation,” the FMCG giant said in a statement. The company said the arrest “is not related in any way to the company, its daily operations, or management.” Reuters cites an unnamed security source as saying the veteran businessman was arrested due to allegations of “financial irregularities,” but does not make clear that those were related to Juhayna. Thabet’s son and Juhayna deputy chairman and CEO, Seif, will become the acting chairman, the company said. Daily operations at the company are continuing as normal.

This isn’t the first time Thabet has had issues: Thabet was placed on a terror watchlist in 2017 and saw his personal assets frozen for an alleged affiliation with the Ikhwan. He denied belonging to the banned group, claiming that his “familial ties to former Ikhwan leader Hassan El Houdaiby do not mean he belongs to the Ikhwan.” Thabet appealed the asset freeze several times, but all appeals were rejected, according to Alhurra.

Juhayna was the biggest loser on the EGX yesterday: Shares fell 6.25% following news of Thabet’s arrest to reach EGP 6.45 apiece.

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. © 2021 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of Commercial International Bank (tax ID: 204-891-949), the largest private-sector bank in Egypt; 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; and Act Financial (tax ID: 493-924-612), the leading activist investor in Egypt; and Abu Auf (tax ID: 584-628-846), the leading health foodmaker in Egypt and the region.