STARTUPS-

More fintech investment from Disruptech this year: Local fintech fund Disruptech Venturesplans to invest some USD 5 mn in four local fintech startups before the end of 2023, Managing Partner Mohamed Okasha confirmed to Enterprise after the news was first reported by Daily News Egypt. Okasha declined to name the firms.

Where the money’s coming from: The early-stage fintech fund made its USD 36 mn second close earlier this year with investments from various DFIs and investment funds, including the French government's private-sector investment arm Proparco and the International Finance Corporation. Similar amounts were contributed by the government’s Micro, Small, and Medium Enterprises Development Agency and Avanz Capital Management’s Avanz Manara fund, Okasha told us. The fund made a first USD 25 mn close in February 2022.

The fund has deployed some 40% of its capital across 14 startups — including Brimore, Cassbana, Fatura, Gahez, Khazna, MNT Halan, and Mozare3 — and has plans to eventually double the number of firms in its portfolio, Okasha said. It has recently invested in companies including WideBot, iSupply, NiceDeer, Teradix, and MalBazaar, he added. Disruptech buys minority stakes of 5-10% in its portfolio firms and is targeting a 3-4 x return on its investment over the 10-year lifespan of the fund.

REAL ESTATE-

More support for real estate developments in new cities: The New Urban Communities Authority (NUCA) has widened support measures introduced in February to help real estate developers complete projects in new cities through the current economic headwinds, Housing Ministry said yesterday.

What’s happening:

  • More time: Developers will receive another 20% deadline extension on their projects — even if they’ve already been granted a 20% extension under the previous set of measures or previously paid to push back their deadlines.
  • Fewer fines: Projects will be considered finished when they are 80% complete, allowing developers to complete the final 20% of construction at their own pace without being fined for late delivery. The ratio was reduced from 90% to 85% in February.
  • Laxer building regs: The authority is also loosening various rules on the maximum building density of projects and the split between buildings, utilities, and services.

Remember: The move is among the 22 measures announced by the government last month aimed at boosting foreign investment.

REGULATION-

Importers have more time to pay customs fees: Importers can now pay just 1% of the tax and fees required to proceed with the customs clearance process before the arrival of imports, down from 30% previously, according to a Finance Ministry decision published in the Official Gazette. The remaining 99% is to be paid upon the arrival of imports, the statement reads. The decision went into effect on 30 May.

TRANSPORT-

Abela Egypt to run the country’s sleeper trains? The Transport Ministry intends to award catering and services company Abela Egypt — a subsidiary of the Sawiris family’s Gemini Holding — a 15-year contract to manage and operate sleeper cars for the Egyptian Railway Authority, Al Borsa reports, citing sources it says are in the know. Set to be signed next month, the contract would hand Abela 3% of revenues during the first five years, 2.5% throughout the second third of the contract, and 2% throughout the last third, the newspaper reports.

CLIMATE-

Six green projects have graduated from the UK-backed Climate Finance Accelerator, according to a press release (pdf). The companies are: alternative plastics manufacturer Al Dawara, agritech company Farmtopia; sustainable infrastructure developer IRSC for Renewable Energy Solutions; environmental tech firmReNile; eco-friendly building materials startup Tile Green; and climate change and farming app Zr3i.

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