Back to the complete issue
Monday, 23 August 2021

EKH to establish microfinance firm Bedayti by 4Q2021, eyes consumer finance

Egypt Kuwait Holding (EKH) plans to expand its footprint in financial services by establishing a microfinance firm called Bedayti during 4Q2021, source from EKH told Enterprise. The holding company has received initial approval to set up the lender from the Financial Regulatory Authority and expects to receive the final go-ahead before the end of the year, they said.

Bedayti will have an initial capital of EGP 50 mn, with the paid-in capital currently standing at EGP 12.5 mn. The source didn’t disclose the company’s lending targets but suggested it could issue microloans valued between EGP 5-10k.

EKH has tapped Mohamed Mashour to head the new company, banking on his previous experience as chairman and CEO of Reefy — CI Capital’s microfinance arm.

The company is also considering expanding into consumer finance, according to the source, who added that it has not yet decided on a timeline or a plan.

EKH currently has limited involvement in financial services: The move comes as the investment company — which is dual-listed on the Egyptian and Kuwaiti stock exchanges — aims to diversify its portfolio and increase its presence in the financial services sector. The company currently owns stakes in Delta Ins. and Mohandes Ins, but is mainly concentrated in other sectors such as oil and gas, petrochemicals, and fertilizers.

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; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; 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.