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WHAT WE’RE TRACKING TONIGHT

THIS EVENING: EFG closes PHD’s securitized bond issuance

Good afternoon dear readers, and happy new Islamic New Year (and the long weekend it has brought forth). We need not remind you all that Egypt is off starting tomorrow through to next Sunday for the Islamic New Year and Revolution.

Sports to the rescue: For those not planning any trips this long weekend, there is an action-packed schedule of local and global sports events, including the local League Cup, club friendlies and the Fifa Women’s World Cup. Those that can stay up late might want to catch Messi make his Inter Miami debut this Saturday. More on that in today’s Enterprise Recommends, below.

THE BIG STORY TODAY

EFG Hermes closes EGP 472.5 mn securitized bond issuance for PHD: Real estate developer Palm Hills Development (PHD) has closed a EGP 472.5 mn securitized bond issuance, according to a joint press release (pdf) from Palm Hills and EFG Hermes, which acted as sole financial advisor, bookrunner, and underwriter on the sale. The three-tranche issuance carries tenors of 13, 36, and 84 months, rated AA+ through A by Middle East Rating & Investors Service. This issuance brings PHD’s total issued securitized bonds to EGP 1.1 bn in 2023.

THE BIG STORY ABROAD-

UK inflation dips below 8%: The UK’s annual inflation slowed to its lowest pace last month since March 2022, with the consumer price index rising 7.9% in June, down from 8.7% in May, according to data from the UK Office of National Statistics. On a monthly basis, inflation rose by 0.2% in June 2023, down from a rise of 0.7% in June 2022. The UK’s statistics agency attributed the drop to falling fuel prices and food prices rising at a slower pace. This was a larger drop than expected, as economists polled by Reuters had predicted inflation would rise by a steeper margin to 8.2% last month.

What does this mean for BoE rates? The expectation remains that the Bank of England (BoE) will continue to raise interest rates when its Monetary Policy Committee meets next month, Paul Dales, economist at Capital Economics, tells the FT. While inflation did fall below expectations, it remains among the highest in Europe and is well above the 2% target set by the BoE. Economists are predicting, however, that the central bank will raise rates by 25 bps instead of 50 bps priced by markets ahead of the inflation report.

The story is getting coverage in the international press: Reuters | Bloomberg | Financial Times

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

  • Beltone wraps up record capital increase: Investors fully subscribed to Beltone blockbuster EGP 10 bn capital increase, which sees global institutional investors taking stakes in the investment bank. The issuance was nearly 5.5x oversubscribed.
  • MTI to acquire 40% stake in B Investments pharma subsidiary: EGX-listed firm MM Group for Industry and International Trade (MTI) is set to acquire a 40% stake in B Investments subsidiary B Pharma for some EGP 205 mn. B Investments will hold the remaining 60%.
  • More investment into the local fertilizer sector could be on the way: Egypt has received three offers from local and international investors to establish fertilizer complexes worth a combined USD 1.6 bn of investments in the so-called Golden Triangle in the Red Sea governorate.


MARK YOUR CALENDARS- The Enterprise Finance Forum is taking place on 18-19 September at the St. Regis Hotel in Cairo. This flagship forum is the latest in our must-attend series of invitation-only, C-suite-level gatherings that allow senior members of our community to openly and frankly discuss critical issues in key sectors of the economy.

TAP OR CLICK HERE if you want to express interest in attending. We’ll be sending out the first batch of invitations soon.

Do you want to become a commercial partner? Ping a note to Moustafa Taalab, our head of commercial, or fill out this form and we’ll be in touch.

STAY TUNED for more detail about our agenda.


DID YOU MISS THE ENTERPRISE EXPORTS AND FDI FORUM? Tune in to the Enterprise Podcast and listen for yourself : The Enterprise Podcast is back with another installment of our forum series, where we bring you audio recordings of what was said on stage at the Enterprise Exports and FDI Forum, which took place in May.

WANT TO LISTEN? Head to: Apple Podcast | Spotify | Google Podcast . We’re releasing a new episode every Sunday morning.

IN THIS WEEK’S EPISODE- From deciding the target markets, to focusing on quality, marketing in new markets, and restructuring a business around exports, our panelists discuss and provide key insights on what businesses need to focus on when building an exports and FDI strategy. We were joined on that panel by Hossam Sallab, CEO and vice-chairman of Sallab Group and Royal Ceramica, Mark Wyllie, CEO of Beyti Egypt, and Kareem Abou Ghaly, the chairman and CEO of Pasta Regina.

☀️ TOMORROW’S WEATHER- Sunny skies and high temperatures persist at 39°C in the morning and will be dropping to a cooler 26°C in the evening, according to our favorite weather app.

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FOR YOUR COMMUTE

Traditional office hours are fighting a losing battle + Even Ancient Egyptian artists couldn’t get it right in one take

Companies that maintain traditional attendance policies have been growing at a slower pace than companies that maintain work from home policies, according to a report published by the Flex Index yesterday. The study, which polls 4,500 companies with 30,000 locations, notes that companies that have a work from home policy grew their headcount by more than twice the rate as companies that require employees to work fully from the office. Companies with a full work from home policy grew their workforce by 4.5% over the past year, while companies that require employees to fully work from the office only grew by 2.1%. Companies that employ a hybrid policy saw their headcount rise 4.6%. The report comes as large US-based companies — including Meta, Amazon, Starbucks Corporation, and Walt Disney — are slowly reverting their “work from home” policies post-Covid 19.

These companies do have a point:. A US based study reveals that out-of-office talent is 10% less productive than colleagues who are physically at their desk, according to a report (pdf) by WFH Research, cited in Time Magazine. However, the issue does not translate into hybrid work. Companies, nevertheless, are finding solutions to that concern through use of technology with Zoom meetings, and periodic in-person meetings.

But the advantages are undeniable. Remote work has “removed the restraints of physical location,” co-CEO of Atlassian, Scott Farquhar, — a company that has grown from 4k to 11k employees thanks to more flexible policies over the past four years — is quoted as saying in the article. In turn, it appears that remote and hybrid policies have opened endless possibilities for businesses. Hiring pools are now much larger as corporations can hire people living in further locations, or people with disabilities who cannot commute.


Through chemical imaging, archeologists have discovered hidden details and retouches in Ancient Egyptian paintings. By using X-ray fluorescence scientists have been able to map the painting's surface on a molecular level, allowing them to see details that the naked eye cannot see, CNN reports. These methods are being conducted in the tombs of Menna and Ramses II, Pharaohs of the Ramesside Period.

What’s in the details? With the new portable technology, scientists have discovered new colours , shapes, and apparent edits over time. The most notable reworkings recorded have been the modified position and color of Menna’s arm in a portrait and several retouches on Ramses II’s crown. Researchers suggest that these discoveries should be investigated deeper as the question of the time and reasoning behind the reworkings remain unknown.

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ENTERPRISE RECOMMENDS

AI + Military intelligence are creating the perfect warmachine

? ON THE TUBE TONIGHT-
(all times CLT)

Another week, another “Unknown” episode: After the Lost Pyramid, the four-part Netflix docuseries is back with another installment. In this chapter, “ Killer Robots ”, we are invited to delve into the workings of the US war machine — with a terrifying twist. Throughout the feature-length show, scientists show us the role of artificial intelligence in military engagements and the destructive potential they hold. The technology which “does not fear death”, has no moral or legal qualms whatsoever, is also capable of developing hundreds of dozens of chemical weapons through computer-generated formulas in the blink of an eye. We already have a sense of what the ramifications of this so-called advancement may do — think the dehumanization of people as drone targets — but omens do not bode well for what is yet to come if the Terminator series is anything to go by.

The League Shield match: El Ahly is going to receive the Egyptian Premier League Shield after their match with Haras El Hodood which should start at 8:30pm tonight. The reds secured their 43rd title weeks before the end of the championship, and will be the last recipients of the old shield. The current shield will be retiring this year to make way for the new shield which will be introduced next season.

El Masry takes on Ceramica Cleopatra in the League Cup at 8:30pm next Saturday.

The FIFA Women’s World Cup will commence on Thursday night until Sunday, 20 August. Australia and New Zealand will be hosting the 32 participating teams and will be playing the opening matches with the Kiwis playing Norway at 10am. Meanwhile, the Aussies will be facing the Irish at 1pm.

For the first time in women’s World Cup history, four African nations will be competing: Nigeria, South Africa, Zambia and Morocco, with the latter being the first female Arab team to qualify historically. You can view the full championship schedule here.

Lionel Messi will make his Inter Miami jersey debut on Saturday, in the team’s match against Cruz Azul in the America's Cup, which should start at 3am. The Argentinian flea sparked controversy with his move to the US after his run with the French Paris Saint-Germain.

Club friendlies to catch during the long weekend:

  • Manchester United v Lyon (4pm)
  • Arsenal v MLS All-Stars (6:30pm)
  • Liverpool v Karlsruher (7:30pm)
  • Chelsea v Wrexham (Thursday at 2:30pm)
  • Milan v Lumezzane (Thursday at 6pm)
  • Benfica v Al Nasr (Thursday at 10:30pm)
  • PSG v Le Havre (Friday 6pm)
  • Arsenal v Manchester United (Saturday 11pm)

? EAT THIS TONIGHT-

Attention Sahelite socialites, Tender is summering in Sahel. This Cairene cloud kitchen has set up camp in La Vista Bay (their first physical location), and offers a wide range of frozen dishes for delivery that you can pop in the oven when you have people over, especially great for last-minute get-togethers and unexpected guests. Their casseroles, which include lasagna and a decadent broccoli roquefort gratin, are perfectly creamy and flavorful, but their spinach gratin, in particular, is to die for. It’s indulgently rich, but there’s spinach in there, so we can pretend it’s healthy. Their appetizers are always a hit, leaving us no leftovers to enjoy past midnight. Our favorite is the kiri sambousak, but don’t miss out on the mini mesakhan or the spring rolls. There is a wide range of beef and chicken dishes as well for the carnivores out there. It's important to order a day in advance if you have a get-together planned, or just to have some delicious meals on hand for surprise visits.

? OUT AND ABOUT-
(all times CLT)

Sharmoofers, Shaheen and El Walili x Alexandria: Sharmoofers will share the stage with the rap star Shaheen and the music producer El Waili at Al Ittihad Alex Club, Smoha branch tomorrow, 20 July. Doors will open at 4pm. You can book your tickets through TicketsMall.

Muslim x El Sawy Culturewheel . Egyptian pop performer Muslim will perform at El Sawy Culturewheel tomorrow, 20 July at 8pm. Tickets are available on the website through this link.

Get ready for the New Alamein Festival 2023: Tamer Hosny will take the stage for El Alamein Festival’s first concert at El Alamein Arena on Friday, 21 July at 8pm. You can book your tickets now on Tazkarti.

Dress to the nines for a night of fine music. Hisham Kharma will be having a concert at the Cairo Opera House on Wednesday, 26 July at the Open Air theater starting at 8:30pm. Tickets are available on TicketsMall website.

Cairokee Empire returns: Cairokee is hitting the stage with two mega-concerts at New Cairo’s Manara Arena on Thursday, 27 July and Saturday, 29 July. Tickets are sold out.

Samar Tarek x El Sawy Culturewheel . Samar Tarek will perform at El-Nahar Hall, El Sawy Culturewheel on Thursday, 27 July at 8pm. Tickets are available on the venue’s website.

Get your shot of the chuckles. Standup comedian Ali Qandil will be performing his set at El Sawy Culturewheel on Friday, 28 July at 8pm. You can book your tickets from the culturewheel’s website.

? UNDER THE LAMPLIGHT-

If you haven’t read the inspirational I am Malala , now is the time. This heart-warming and informative autobiography is co-written by Malala Yousafzai and Christina Lamb while she resides in the UK. Yousafzai, the youngest-ever Nobel laureate (receiving it at 17) and a female education activist fights for her basic right to education amid Taliban’s dominance in her home Swat Valley, Pakistan. At 15 she was shot on her way back from school — a fatal shot that she miraculously survived. She was taken by helicopter to the Queen Elizabeth Hospital in Birmingham, London and given asylum. Her autobiography reveals her pro-female education father “ Ziauddin ” , a school owner and activist, who encouraged his daughter to go to school and learn how to read and write in a male dominated society, despite several assassination attempts. The book matters as it reveals snapshots of life in Taliban-controlled Afghanistan, through images of her home, school, members of her family, and Yousafzai in action before the near-fatal shot. The book also sheds light on life in Pakistan, the rituals of Pashtuns and the political regime.

This publication is proudly sponsored by

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GO WITH THE FLOW

What the markets are doing on 19 July, 2023

The EGX30 fell 0.2% at today’s close on turnover of EGP 1.59 bn (17.5% below the 90-day average). Local investors were net sellers. The index is up 20.4% YTD.

In the green: Orascom Construction (+2.3%), EFG Holding (+1.0%) and Edita (+0.7%).

In the red: Heliopolis Housing (-1.9%), Qalaa Holdings (-1.6%) and Elsewedy Electric (-1.5%).


JULY

19 July-23 July (Wednesday-Sunday): Egypt Summer Festival, Heliopolis.

20 July (Thursday): Muslim’s musical concert, ElSawy Culturewheel, Zamalek, Cairo.

20 July (Thursday): Sharmoofers, Shaheen and El Waily concert, Al-Ittihad Alex Club, Smouha, Alexandria.

20 July (Thursday): National holiday in observance of Islamic New Year (TBC).

21 July (Friday): Tamer Hosny Concert, New Alamein Festival 2023, Al Alamein Arena, North Coast.

23 July (Sunday): Revolution Day.

26 July (Wednesday): Massar Egbari concert, Cairo Jazz Club 610, Sheikh Zayed, Cairo.

26 July (Wednesday): Hisham Kharma’s concert, Cairo Opera House, El Zamalek, Cairo.

27 July (Thursday): National holiday in observance of Revolution Day (TBC).

27 July (Thursday): Samar Tarek’s concert, ElSawy Culturewheel, Zamalek, Cairo.

27 July (Thursday): Cairokee mega-concert, Manara Arena, New Cairo.

28 July (Friday):Ali Qandil’s stand up comedy show, ElSawy Culturewheel, Zamalek, Cairo.

28 July (Friday): Route Tech Summit 2023, Greek Campus, Tahrir, Cairo.

29 July (Saturday): Cairokee mega-concert, Manara Arena, New Cairo.

29 July (Saturday): Ali El Hagar concert, El Sawy Culturalwheel, El Zamalek, Cairo.

AUGUST

2 August-3 August (Wednesday-Thursday): Fintech Revolution Summit, Cairo Festival City.

3 August (Thursday):Massar Egbari concert, Bibliotheca Alexandrina, Alexandria.

8 August (Tuesday): Jadal Concert, El Sawy Culturalwheel, El Zamalek, Cairo.

10 August (Thursday): Jadal concert, Bibliotheca Alexandrina, Alexandria.

11 August (Friday): Amr Diab Summer Concert, Golf Porto Marina, North Coast.

13 August-19 (Sunday-Saturday): El SawyCulturalwheelbookfair, ElSawy Culturewheel, Zamalek, Cairo.

12 August (Saturday):Massar Egbari concert, El Sawy Culturalwheel, Sheikh Zayed, Cairo.

21 August (Monday): Akher Zafeer concert, El Sawy Culturalwheel, El Zamalek, Cairo.

25 August (Friday): Russ Concert, New Alamein Festival 2023, North Coast.

SEPTEMBER

26 September (Tuesday): Prophet Muhammad’s birthday (TBC).

28 September (Thursday): National holiday in observance of Prophet Muhammad’s birthday (TBC).

OCTOBER

6 October (Friday): Armed Forces Day.

13 October- 20 October (Friday-Friday): El Gouna Film Festival (GFF).

NOVEMBER

15-24 November (Wednesday-Friday): Cairo International Film Festival (CIFF).

EVENTS WITH NO SET DATE

2023: The inauguration of the Grand Egyptian Museum.

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