Good afternoon, ladies and gentlemen, and happy Tuesday. We’re already in the middle of an abridged workweek, but can’t say we’re not happy that we have another long weekend to look forward to soon.

PSA- We’re ringing in May with another short workweek: The public and private sectors will be off on Sunday, 5 May in observance of Labor Day, and Monday, 6 May in observance of Coptic Easter, according to a cabinet statement.

THE BIG STORY TODAY

We’re nearing the finish line of B Investments’ OFH acquisition: Private equity firm B Investments’ board yesterday approved a decision to increase the company’s share capital ahead of its share swap agreement with Orascom Financial Holding (OFH), the company said in a disclosure (pdf). The company will issue some 58.3 mn shares at a value of EGP 5 per share — raising its capital from EGP 800 mn to some EGP 1.09 bn, according to our calculations.

What’s next? B Investments will now need to complete the share swap — its board had agreed to a share swap ratio of one B Investments share to 56.76 OFH shares.

B Investments is snapping up a majority stake in OFH,after owners of some 3.3 bn shares — a 70% stake in the company — have responded to B Investments’ MTO for up to 90% of OFH, according to an EGX disclosure (pdf).

Foreign investors are falling in love with Egypt again… Foreign investors we speak with (debt, equity, and strategic alike) have a growing appetite for Egypt. They’re buying into local debt, eyeing promising shares, and committing bns of USD to both new ventures here and the growth of their existing businesses. They like the Egypt story that’s taking shape after the float of the EGP, and our competitive advantages are clear to many of them: We’re a massive consumer opportunity and the regional export hub of tomorrow.

…but here at home, our community is in a rut. The enthusiasm gap between domestic business leaders and global investors is stark.

We’d all do well to remember: It’s a chicken-and-egg kind of thing. Foreign strategic investors will be reluctant to commit capital here until they see Egyptian businesses leading the way.

The Enterprise Optimism Forum 2024 will do exactly what it says on the tin: Spark conversations about a future that we think is much brighter than so many in our community feel right now. Think of it as much-needed shock therapy combined with an early, actionable roadmap for those of us who are “long Egypt.”

We’ll be talking with you about the agenda over the coming couple of weeks.It features speakers from Egypt and abroad who are future-proofing their businesses and angling to capture tomorrow’s opportunities — and who aren’t afraid to answer some tough questions.

*** Interested in attending? Tap or click here to let us know. Seating is limited.

THE BIG STORY ABROAD

Trump’s hush money trial and ongoing Palestine protests on university campuses in the US are leading the conversation in the international press. The trial of former president Donald Trump is about to take a dramatic turn as prosecutors are preparing to question David Pecker, ex-publisher of The National Enquirer, who is accused of concealing “damaging” news about Trump as he prepared for his presidential campaign. Meanwhile, the New York Police Department cleared an encampment of pro-Palestinian New York University students while California State Polytechnic University Humbolt had a sit-in inside a building and barricaded others from entering. (NYT | Washington Post)

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

  • Alamal Alsharif Plastics stake sale within weeks? The Madbouly government is preparing to fully exit state-owned plastics manufacturer AlamalAlsharifPlastics, selling its entire 46.6% stake within weeks.
  • Egypt could spend up to USD 120 mn a month on LNG shipments this summer to support domestic demand as rising temperatures strain supplies with the Madbouly government planning to import three LNG shipments a month between July and October.
  • Another Chinese manufacturing project headed to the SCZone: Chinese steel maker Wu’an Xin Feng will set up a USD 297 mn hot-rolled steel coils plant in the Sokhna Industrial Zone after the Suez Canal Economic Zone (SCZone) allocated the steel maker a 750k sqm land plot to house the plant under an usufruct agreement yesterday.

☀️ TOMORROW’S WEATHER- We’re riding today’s scorching heat wave into tomorrow, with the mercury continuing to rise to reach 42°C, while the low will be a more tolerable 20°C.

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