Nile Fund draws closer to listing: Nile Industrial Direct Investment Fund is set to submit its prospectus to the Financial Regulatory Authority early next month to list on the EGX, Cairo Financial Holding (CFH) Chief Investment Officer Shady Sharaf told Al Mal. Cairo Capital Securities (CCS), the brokerage arm of CFH, is the industrial investment fund’s general partner.

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Nile Industrial Direct Investment Fund? The National Initiative for Developing EgyptianIndustry (Ebda) and Cairo Financial Holding’s brokerage arm Cairo Capital Securities (CCS) plan to launch the fund in May, marking the country’s first specialized industrial investment fund. The fund has the stated aim of investing in the industrial sector to ramp up exports and lower the country’s import bill.

With an initial closing target of EGP 2.5 bn, the fund aims to invest EGP 1.3 bn within its first six months, targeting between six to seven companies in the engineering, chemical and infrastructure supplies sectors with the aim of localizing production. Following acquisition, the fund is planning to up local component ratio in the companies under its wings to at least 60% in two or three years, with some reaching a ratio of 100%.

The PE fund is also mulling the acquisition of 20-40% stakes in local companies, with an average ticket of EGP 200-250 mn per company, and a holding period of five years.

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