Good afternoon, ladies and gentlemen, and welcome to the homestretch. With Eid just within reach, we’re following news of pending EGX listings, EV battery breakthroughs, and conversations around the proverbial water cooler about this Ramadan’s frontrunning drama series.

THE BIG STORY TODAY-

Valu is one step closer to its EGX debut: EFG Holding’s board of directors has approved a decision to list fintech subsidiary U Consumer Finance, better known by its brand name Valu, on the EGX, according to a company statement (pdf).

EFG Holding will restructure its ownership in Valu ahead of the listing: The board has also approved a restructuring plan that will give EFG Holding a 20.5% direct stake in Valu — which it indirectly owns through EFG Finance. To carry out the plan, EFG Holding will distribute Valu shares equivalent to the target stake to its shareholders in lieu of cash dividends for 2024 earnings. The plan will be pending the General Assembly’s approval and has received the Financial Regulatory Authority’s preliminary approval, according to a statement (pdf) by the authority.

The transaction values Valu at EGP 15.6 bn, based on the independent financial assessment (IFA) of BDO Keys Financial Consulting. Upon completion, EFG Holding will directly own a c.20.5% stake in Valu, while retaining its 67% indirect ownership in the company through other subsidiaries.

Not your regular IPO: The partial distribution of Valu shares to EFG Holding’s shareholders will facilitate Valu’s planned listing on the EGX. Once the shareholders receive their dividends in the form of Valu shares — which will be immediately listed on the EGX — they can either retain ownership in Valu or sell on the open market.

REMEMBER- We first got word of Valu’s plan to list on the EGX in March of last year, when CEO Walid Hassouna announced that the company would offer up to 25% of its shares on the EGX within a year.

^^ We’ll have more on the story in tomorrow’s edition of EnterpriseAM Egypt.

THE BIG STORY ABROAD-

Turkey detained Istanbul mayor Ekrem Imamoglu — President Recep Tayyip Erdogan’s most prominent rival and leading opposition party figure — on charges of terrorism and organized crime. The arrest is the latest in a series of legal crackdowns on opposition figures across the country. The 54-year-old mayor was expected to be elected as the Republican People's Party's official presidential candidate within days.

Turkish markets recoiled: The TRY fell 12% to an all-time low of 42 against the USD before paring some of the losses, while the BIST 100 stock index, the country’s benchmark index, dropped by as much as 7%.

ALSO- A US federal judge ruled that the shutdown of USAID led by b’naire Elon Musk is unconstitutional, blocking him from taking further steps to dismantle the agency. The decision forces Musk and the Department of Government Efficiency to restore access to USAID systems — including email, payment, and security notifications — for all USAID employees. The ruling came in response to a lawsuit by the organization’s employees arguing that Musk illegally took control of the agency without Senate approval.

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

  • The gov’t is working on amending the VAT Law: The Finance Ministry is moving to reduce tax exemptions under the Value Added Tax (VAT) Law, with the government looking to review goods currently exempt from the law and limit goods subject to special tax treatments, either higher than the standard VAT rate — such as telecommunications and cars — or lower at 5%.
  • Fuel bills could go up again next month: The government is expected to raise fuel prices in April as it works to phase out fuel subsidies.
  • Investment Minister Hassan El Khatib continues to drum up investments during his time in New Delhi: Indian energy transmission and cable manufacturing company Sterlite Power is mulling a USD 5-6 bn electricity grid specifically for green hydrogen projects.

☀️ TOMORROW’S WEATHER- The downward trend is still on a roll, with temperatures dropping again in the capital tomorrow, with the mercury set to reach 20°C in the morning and 13°C at night, according to our favorite weather app.

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