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Wednesday, 14 September 2022

THIS EVENING: Expedition gets most of the Domty shares it wanted + Tabreed is investing EGP 1.6 bn in Egypt + We’re getting EGP 2 coins

Good afternoon, friends. It’s a busy Wednesday afternoon here in Omm El Donia, with a little bit of everything coming out of the news cycle.

THE BIG STORIES TODAY

#1- Expedition Investments gets almost all of its targeted shares in Domty: Shareholders in EGX-listed Domty have agreed to sell 93.2 mn shares to the consortium of investors led by Expedition Investments, according to an EGX bulletin. That’s around 97% of the 96.2 mn shares the consortium was targeting in its bid to acquire a 34% stake in the cheesemaker. Expedition sweetened the offer by upping its offer price by 10% last week.

#2- UAE’s Tabreed is investing EGP 1.6 bn in Egypt: DFM-listed National Central Cooling Company (Tabreed) inked a EGP 1.6 bn (AED 306.4 mn) long-term concession agreement with Egyptians for Healthcare Services (EHCS), according to a disclosure to the DFM (pdf). The agreement will see Tabreed build and operate cooling and heating assets to service Badr City medical park CapitalMed.

ALSO- Egypt is going to start minting EGP 2 coins as part of a cooperation agreement with the UK’s Royal Mint, which will set up a branch in the Suez Canal Economic Zone, according to a cabinet statement.

THE BIG STORY ABROAD

The EU is proposing a cap on soaring revenues from non-gas energy companies and could raise over EUR 140 bn for consumers who need help, European Commission President Ursula von der Leyen told the EU Parliament today. The EU has already handed out tax cuts and subsidies to try to contain its energy crisis and is now turning to those who have been making financial gains from the fallout. Wind and solar farms and nuclear plants would face a cap of EUR 180 per MWh on the revenue they receive for generating electricity, with governments recouping excess revenues and recycling it to support consumers, according to the draft of the proposal seen by Reuters. The story is getting plenty of front-page coverage in the international business press: Bloomberg | CNBC | Washington Post


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

  • FRA tweaks listing procedures + scraps margin trading caps: The Financial Regulatory Authority has handed down a slate of changes designed to boost liquidity on the EGX, including measures to simplify listing requirements and boost margin trading.
  • All the industrial investment: Chinese mobile maker Oppo has inked an agreement to build a USD 20 mn factory in Egypt. The announcement came the same day Prime Minister Moustafa Madbouly met with nine foreign and local companies to follow up on pledges to invest more than USD 1 bn in new production facilities.
  • Producers of nitrogen fertilizers could see their natural gas bills rise following a government decision to link them to the price of urea fertilizer.

FOR TOMORROW-

B Investments is going to have to make up its mind over TotalEnergies Egypt: The private equity player has the right to preempt a bid by Abu Dhabi energy giant Adnoc to acquire a 50% stake in the company, which expires tomorrow.

🗓 CIRCLE YOUR CALENDAR-

ADD Art is hosting its inaugural AlDau International Art Festival in Hurghada from 22 September until 7 October, according to a statement (pdf). The festival will begin with a weeklong workshop with nearly 40 artists from countries including the US, UK, France, Jordan, Tunisia, Uzbekistan, and Congo. The workshop will be followed by an exhibition from 2-7 October at the AlDau Art Promenade in Hurghada. ADD Art is a subsidiary of AlDau Developments.

PSA- Tech startups have just a little over two weeks to apply for DMZ Cairo’s second eight-month incubation program, which begins in November. Applications for the cycle are open until Thursday, 29 September, according to a statement (pdf). The incubator is based at the Universities of Canada in Egypt and is backed by the Academy of Scientific Research and Technology and the National Technological Incubators Program.

☀️ TOMORROW’S WEATHER- Temperatures in Cairo will hit 34°C tomorrow during the day before falling to 21°C at night, our favorite weather app tells us.

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