CI Capital, Compass launch Egypt’s first onshore private equity fund

CAPITAL MARKETS-

CI Capital and Compass Capital have officially launched their C3 Capital Fund 1, Egypt’s first onshore private equity fund, after receiving the green light from the Financial Regulatory Authority, according to a joint statement (pdf). The fund, which targets EGP 3 bn at final close, will take active positions in EGX-listed companies through a private investments in public equities strategy.

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REFRESHER- The fund will take 10-33% stakes in EGX-listed firms, securing board seats and driving short- to medium-term growth. Backers include Banque Misr, CIB, Suez Canal Bank, Misr Life Ins., and Midbank.

Advisors: CI Investment Banking (CIIB) advised on the transaction, while Zaki Hashem & Partners and Zulficar & Partners served as legal counsel.

EXPANSION

Alshams for Contracting is eyeing USD 120 mn worth of projects in Iraq, Chairman Shams El Din Youssef told Al Borsa. Some of the projects under study are a 100-bed hospital for the Iraqi Health Ministry with an investment ticket of USD 70 mn and a 1k-unit residential complex valued at USD 50 mn, Youssef said.

REMEMBER- Contractors and construction companies are increasingly looking outside Egypt for projects as the EGP 1 tn cap on public investments continues to take its toll on available state-led projects. Iraq has been seen as a promising market for the sector to tap, with industry insiders telling us last year that they expect demand from the country to exceed USD 500 bn over the next decade. Housing, electricity grids, and drinking water projects are particularly in demand.

INVESTMENT-

Intro Group plans to launch the first phase of its Kemet Data Center project in the Suez Canal Economic Zone (SCZone) next year, Intro Group’s managing partner Ayman Mamdouh Abbas told Asharq Business. The first phase will see USD 150 mn in investments.

What we already know: The project will include four phases each with a capacity of 20 MW and will have a final price tag of USD 1 bn, the company’s representatives said in November. The first phase will see Intro develop a capacity for 2.5k data transport cabinets and an electrical capacity of 20 MW. The project is expected to be fully completed by the end of 2030.

AUTOMOTIVE-

#1- A car window regulator plant incoming? The Industry Ministry is in early discussions with local and foreign investors to establish a factory for automotive window regulators, AlMal reports citing informed sources. Most of the factory’s output will go to local car assemblers and a portion will be allocated for export at a later stage. The project’s groundwork is set to start before the end of 1Q 2025, once investment details, production lines, and marketing plans are finalized.

#2- Two EVs enter the local scene: Chinese EV maker Zeekr’s local agent Egyptian International Motors has launched two of its EV models — the Zeekr 001 and Zeekr X — in Egypt, Al Borsa reports. The company has priced the Zeekr 001 between EGP 2.7-3.3 mn, while the Zeekr X starts at EGP 2.1 mn.

NBFS-

Our friends at Beltone Holding’s Beltone SMEs have joined the SME Finance Forum — a global group of companies working in SME finance managed by the World Bank’s private sector-focused International Finance Corporation (IFC) — according to a statement (pdf) from the company. The forum has over 300 companies under its wings from 190 different nations with the stated aim of expanding access to finance across the globe.

What they said: “Joining the SME Finance Forum represents a strategic step that reinforces our commitment to enhancing financial inclusion and supporting economic growth. Through this partnership, we will have the opportunity to benefit from strong visions, partnerships, and modern innovations that will enhance our ability to empower SMEs in Egypt,” said Beltone SMEs CEO Ashraf Abdel Fattah.