CAPITAL MARKETS-

Gold rush: The first tranche of Egypt’s first gold fund was more than 15x oversubscribed, raising EGP 153 mn from over 7k primarily local investors, Evolve Holding founder and CEO Sameh El Torgoman was quoted as telling Bloomberg Asharq. Fund managers Evolve and Azimut could look to open the gold fund to investors for a second round after 3Q 2023 “with a different mechanism,” Torgoman added, without providing details. The two companies launched the fund last month

REMEMBER- The strong demand for the fund comes amid soaring appetite for the precious metal due to the current economic uncertainty. The price of 21-carat gold has risen 40% to EGP 2,350 per gram since the beginning of the year as savers look for safe havens to hedge against the weaker EGP.

LOGISTICS-

DHL wants to make Egypt its springboard for Africa: DHL plans to expand its operations here to form a logistics hub for the African continent, DHL Express CEO John Pearson told Moustafa Madbouly during a meeting, according to a cabinet statement. The firm aims to increase the number of its cargo flights to Egypt, Pearson said, adding that DHL has already invested more than EGP 1 bn in the local market.

NBFS-

Contact Financial subsidiary Contact Credit has introduced a new motorcycle financing product, according to a press release (pdf). The product allows Contact customers to finance motorcycles, scooters, golf carts, beach buggies, and motorsport equipment worth up to EGP 2 mn in installments over periods of up to five years.

AUTOMOTIVE-

The African Association of Automotive Manufacturers (AAAM) is set to provide the Trade Ministry’s automotive industry unit with technical support to help it carry out the government’s automotive strategy, according to a cabinet statement. An MoU inked on Sunday will see the organization structure the automotive industry unit, work on a system to automate its operations, create a guide for production incentives, and draft information memos for investors.

REFRESHER- The strategy — known as the Automotive Industry Development Program — seeks to incentivize local assembly and component manufacturing and boost export volumes. AAAM expects Egypt’s automotive industry to become the largest market in the continent by the middle of the next decade, representatives previously told Enterprise.

PETROCHEMICALS-

Maire Tecnimont to take on Kima’s nitric acid project: EGX-listed, state-controlled Egyptian Chemical Industries (Kima) approved an offer from Italian contractor Maire Tecnimont to take the reins on its nitric acid and ammonium nitrate project, the company said in an EGX disclosure (pdf). The project will cost some USD 297 mn, down from the USD 323 mn Maire Tecnimont originally requested, per the disclosure. It will produce some600 tons of nitric acid and 665 tons of ammonium nitrate a day once operational, with construction expected to take two years. The two companies late last year settled a dispute over former projects.

Kima shares soared on the news: Kima’s stock price rose over 10% during yesterday’s trading to close at EGP 8.68, prompting the EGX (pdf) to temporarily suspend trading on its shares.

SMES-

Support for MSMEs in East Port Said: The Micro, Small and Medium Enterprise Development Agency (MSMEDA) inked an MoU with East Port Said Development to support MSMEs in the East Port Said Industrial Zone, cabinet said. The agreement aims to provide small enterprises with infrastructure, industrial space, services, finance, training, and other technical support in a bid to increase investment in the area and create jobs.

FINANCE-

CIB x Noon: CIB has launched a new credit card in collaboration with online shopping platform Noon, according to a joint statement (pdf). Card holders will be entitled to a range of offers and discounts when using the card on Noon’s platform and will be able to pay for items in installments of up to 15 months.

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