Good morning, friends, and a happy Thursday to you all. Closing out this week’s set of issues is news that the Finance Ministry and the EGX are preparing to activate a secondary market for sovereign sukuk, moving the instruments from the primary market to open exchange trading, a senior government official tells us.

Also catching our attention in today’s unusually automotive-focussed issue is news of a localization lag as vehicle sales increased nearly 70% in 2025, Piaggio tapping Abou Ghaly Motors to distribute — and one day manufacture — the iconic Italian brand’s two wheelers, new export rules target carbon accounting for Egypt’s biggest industries, and much, much more.

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Watch this space

LOGISTICS — Could Red Sea jitters be disrupting Egypt’s port ambitions? Kuwait’s Alghanim Group will no longer be in charge of developing the Berenice International Port, with the Transport Ministry, instead, effectively taking over the project, a senior government official tells EnterpriseAM.

The ministry decided to take the reins of the project due to a lack of progress on infrastructure and the submission of technical proposals, despite interest and requests from shipping agencies and international shipping lines to operate within the port, which was lined up to become a trade and transit hub, the source added.

The reasons for Alghranim’s withdrawal were not disclosed, but our source hinted that several factors could be to blame, including uncertainty regarding the Suez Canal waterway, the timeline for recovery of traffic through the strait, and the return of international shipping agencies to the Bab El Mandeb region.

We can expect a decision on the fate of the port before the end of 1H, the source noted.

Negotiations are currently underway with several undisclosed international consortia, including US firms, to re-tender the project for the port’s infrastructure development and management — part of a broader trend we’re keeping a close eye on.

IPO — Gourmet’s public offering was 55.8x oversubscribed, according to an EGX announcement (pdf) following the end of the subscription period. The high-end food retailer, which temporarily listed on the EGX last month, priced its shares at EGP 6.9 apiece — the top end of the range it was guiding on — after its private placement was 12.2x covered.

What’s next? Shares will start trading on Monday. The company is looking to raise some EGP1.3 bn by floating a 47.6% stake.

INVESTMENT — Scatec is doubling down on our renewable energy sector, earmarking USD 5 bn for future investments, CEO Terje Pilskog told Asharq Business. The figure does not include the USD 600 mn already tied to the company’s hybrid solar and battery storage in Naga Hamadi — Obelisk.

Remember: The 1.1 GW project inaugurated its first phase last month. The Norwegian player’s Obelisk will wrap construction this summer, Pilskog said.

There’s already more in the pipeline: Scatec is setting up a solar and battery storage facility in Minya, which will produce some 1.95 GW of solar power and 3.9 GWh of battery storage.

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Happening today

The region’s startup ecosystem is gathering at the Grand Egyptian Museum today for the start up RiseUp Summit, which will run through Saturday under the theme, The Turning Point. The event is expected to draw up to 20k attendees for three days of talks, workshops, and high-stakes networking across the technology, capital, and creative sectors.

Data point

USD 1.1 bn — that’s how much Egyptians spent on video games in 2024, up 11.5% from the year before, according to a study (pdf) by Galal & Karawi Management Consulting and Orient Planet Group. The average revenue per user came in at USD 61.76, with mobile phones — which will be no surprise to anyone with teenagers in the family — accounting for 76.4% of the total.

PSA-

WEATHER- It’s heating up in Cairo today, with a high of 24°C and a low of 18°C, according to our favorite weather app.

The mercury is also rising a few degrees in Alexandria, with a high of 24°C and a low of 15°C.

CORRECTION- In yesterday’s edition of EnterpriseAM we mistakenly referred to Nissan as a Korean company as we rushed to wrap up the issue. The automaker is, of course, Japanese. The story has been updated on our website.

The big story abroad

The US and Iran agree to talks — with no set agenda: The US and Iran agreed to meet on Friday in Oman. Washington insists that negotiations zero in on Iran’s missile arsenal, its backing of proxy groups in the region, and its response to protests at home. The Islamic Republic is only willing to discuss its nuclear program.

MEANWHILE, IN MARKET NEWS- The tech selloff continues: Fears that rapid advances in AI could undermine software business models have resulted in USD 1 tn in losses over the past week. Stocks and bonds of Silicon Valley players of all sizes saw hundreds of bns in losses in just two days.

^^ We have more on the software selloff in the news well, below.

Amid AI hubbub Alphabet steps up spending: Google parent Alphabet is doubling its capex for the year to up to USD 185 bn as it doubles down on AI, it said in its latest earnings release (pdf). The figure is well above the USD 120 bn penciled in by analysts and the USD 91 bn spent last year.

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