Egyptian, Saudi companies show interest in reviving Delta Fertilizers under USD 450 mn redevelopment: State-owned fertilizer producer Delta Fertilizers — which has been inactive and racking up losses over the last four years — may soon be up and running again under a USD 450 mn plan to revive the company, Asharq Business reports, citing three anonymous government sources. Four local and Saudi companies have expressed interest in taking over the company’s development.

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The suitors: Partially state-owned fertilizer giants Abu Qir Fertilizers and Misr Fertilizer Production Company (Mopco) as well as Oil Ministry’s Egyptian Petrochemicals Holding Company are all reportedly competing to join the project. A fourth unnamed company is also in the running that is purportedly affiliated with Saudi Arabia’s Public Investment Fund. One of the four companies will be chosen in 1Q 2025.

Remember: This isn’t the first time that we’ve heard that Delta had lined up funds for its revamp, with reports coming out at the start of the year that German conglomerate ThyssenKrupp will help revamp the company. A few months before this, we also heard that the government was planning to invest USD 350 mn over three years to bring operations online again.

Delta isn’t the only state-owned fertilizer company looking for funding: We heard from unconfirmed media reports last month that the Madbouly government has plans to onboard private players to help Delta, Egyptian Chemical Industries (Kima), and El Nasr for Fertilizers & Chemical Industries (Semadco). In exchange for providing FX to fill financing gaps, it was reported that the private sector companies will receive a share of the projects under development.

Advisors: Baker Tilly is finalizing the fair value assessment and Al Ahly Pharos is promoting the project to potential investors.

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