INFRASTRUCTURE-

House committee approves two Suez container terminal projects: The House Economic Affairs Committee on Thursday approved the proposed USD 65 mn project to set up a new multi-purpose terminal at the East Port Said port, the Suez Canal Economic Zone said. The bill would allow the SCZone to hand a 30-year contract to Sky Logistics and Reliance Logistics to design, construct, manage, operate and maintain the terminal under a build-own-transfer framework. The second bill would allow Maersk’s Suez Canal Container Terminal to start work on the new container terminal at the port, which is expected to expand its capacity by 40% and cost USD 500 mn.

INVESTMENT-

Turkish healthcare firm to deepen local manufacturing footprint: Turkish consumer healthcare company Hayat is planning to invest USD 210 mn to establish three new production lines here, the Trade and Industry Ministry said Thursday. Hayat Egypt currently operates facilities in Egypt and has invested USD 550 mn in the country in total. The company, which owns the Molfix, Molped and other consumer brands, is among Turkey’s largest exporters.

Remember: A number of Turkish companies pledged to invest a combined USD 500 mn in Egypt earlier this year amid warming ties between the rival countries. Egypt and Turkey last week restored full diplomatic ties for the first time in a decade in a move that could pave the way for closer economic ties.

DEBT-

Drive Finance eyes fresh credit facilities to expand financing:GB Corp’s car finance arm Drive Finance has entered final negotiations with four private and state-owned banks to obtain credit facilities worth EGP 1 bn to support its factoring and consumer financing services, Managing Director Ahmed Osama told Al Mal. The banks in question are National Bank of Egypt, EG Bank and Abu Dhabi Commercial Bank, he added. Drive, which is a subsidiary of GB Corp’s financing arm GB Capital, wants to increase its financing portfolio to EGP 3.5 bn by the end of 2023 and is looking to expand into seven Egyptian governorates.

ENERGY-

More companies handed licenses to establish small-scale power stations: The Egyptian Electric Utility and Consumer Protection Regulatory Agency (Egyptera) has handed out permits allowing companies to establish electricity generators with a combined capacity of 31.5 MW, according to documents seen by Al Borsa. The permits were awarded to projects owned by DNM Textile For Spinning, Weaving and Dyeing, Green Egypt for Agricultural Investment (AGreen), Egypt Poultry, and Karm Solar SPV Mars for Selling and Distributing Electricity.

INDUSTRY-

FX woes see Ezz Steel post 1Q loss despite surge in revenues: Steel giant Ezz Steel recorded almost EGP 9 bn in FX losses in 1Q 2023, according to the firm’s latest earnings release (pdf). The losses contributed to the company reporting a EGP 2.5 bn net loss during the quarter — compared with EGP 1.2 bn in net earnings in 1Q 2022 — despite revenues surging almost 50% to EGP 27.8 bn. Ezz Steel continued to shift its focus towards exports during the quarter to secure the necessary FX to pay for imports.

TECH-

Gorilla Technology to launch multi-mn USD cybersecurity system for gov’t:UK-based data analytics firm Gorilla Technology has signed a three-year, USD 270 mn contract with the government to roll out a new cybersecurity system, according to a company statement. The system seeks to improve security by “enabling better decision-making, proactive threat detection, and quick response to emerging risks,” the statement reads.

A boon for Gorilla: The company’s shares more than doubled in value on the Nasdaq stock exchange on Friday following the announcement. The contract, which Gorilla said is the largest since its establishment in 2001, is set to put the company “on a path toward profitability by the end of 2024,” according to the statement.

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