{"id":549843,"date":"2022-10-03T06:47:35","date_gmt":"2022-10-03T06:47:35","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/"},"modified":"2022-10-03T06:47:35","modified_gmt":"2022-10-03T06:47:35","slug":"btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/","title":{"rendered":"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in"},"content":{"rendered":"<p><a id=\"tldr-story-01\" class=\"content-anchor\"><\/a><strong> EXCLUSIVE- Saudi Arabia\u2019s sovereign wealth fund has acquired a 34% <\/strong><strong>stake in <\/strong><strong>consumer electronics and household appliances retailer BTECH <\/strong>from Africa-focused investment firm <a href=\"https:\/\/www.dpi-llp.com\/\">DPI<\/a> for an undisclosed sum, according to a <a href=\"https:\/\/ent.news\/2022\/10\/PR_Btech_PIF_Final.pdf\">statement (pdf)<\/a> out this morning. The <a href=\"https:\/\/www.pif.gov.sa\/\">Public Investment Fund<\/a> (PIF)\u2019s wholly owned Egypt arm, Saudi Egyptian Investment Company (SEIC), will appoint two members to BTECH\u2019s board, insiders tell us. The tie-up with PIF will \u201caccelerate [BTECH\u2019s] innovative growth strategy, its digitization efforts, while scaling new business verticals and existing core operations,\u201d the statement reads.<\/p>\n<p><strong>ESSENTIAL BACKGROUND- African Development Partners II<\/strong>, a fund advised by impact investor DPI, <strong><a href=\"https:\/\/enterprise.press\/stories\/2016\/07\/24\/dpi-acquires-a-third-of-b-tech-for-usd-35-mn\/\">acquired the stake in BTECH<\/a><\/strong><strong> back in July 2016<\/strong> in a transaction said at the time to be worth about USD 35 mn. The remaining 66% of BTECH was (and remains) owned by BT Holding, a vehicle owned by the founding Khattab family.<\/p>\n<p><strong>ADVISORS-<\/strong> Arqaam Capital was sell-side M&A advisor, with White & Case providing international counsel to DPI alongside local counsel Matouk Bassiouny & Hennawy and Zulficar and Partners. Our friends at EFG Hermes were buy-side M&A advisors, with Adsero-Ragy Soliman and Partners acting as local legal counsel and Akin Gump doing international legal duties for PIF. PWC were sell-side financial advisors.<\/p>\n<p><strong>So not a great investment, right? After all: Is there an industry on this planet worse than selling consumer electronics and household goods in physical stores? <\/strong>RadioShack, Future Shop, CompUSA and Computer Land (to say nothing of countless local mom \u2018n pop shops) brought the pages of <a href=\"https:\/\/archive.org\/details\/BYTE-MAGAZINE-COMPLETE\">Byte magazine<\/a> to life for a generation of nerds-in-training. Egyptians planned stopovers in Heathrow to snap up the BlackBerry Bold 9900 from Dixons. As dinosaurs once ruled the earth, so these brands dominated consumer electronics retail around the world. And now, like the dinosaurs, they are no more \u2014 closed, liquidated, rolled into onetime competitors, or limping along as shadows of their former selves thanks to ecommerce. What more can you expect from an industry notorious for its low-single-digit net margins?<\/p>\n<p><strong>But two consumer electronics retailers are thriving: Apple, with its ubiquitous stores \u2026 and BTECH. <\/strong><\/p>\n<p><strong>\u201cWait, Enterprise, BTECH?\u201d you ask. Yes \u2014 this is a smart play by PIF. <\/strong>The home-grown chain is on track to deliver revenues of c. EGP 11 bn in 2022 \u2014 up 30% from last year. During DPI\u2019s six-year holding period, BTech grew its top line 5x and its bottom line 10x. It had just under 70 stores when the DPI investment closed in the summer of 2016 \u2014 it has 143 today and will open <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/48b20333-d092-4dae-befc-ab7ddd016164\">10 more stores before the end of this year<\/a>. And from a base of zero when DPI entered the company, some 20% of BTECH\u2019s sales are now online.<\/p>\n<p><strong>DPI\u2019s exit carries one big message for foreign investors: You can make a killing here in Egypt <\/strong>if you pick the right target \u2014 devaluation be damned.<\/p>\n<p><strong>We sat down over the weekend with BTECH CEO Mahmoud Khattab to talk about how far BTECH has come <\/strong>\u2014 and how very much further it has to go before he can sleep. Edited excerpts from our talk are below.<\/p>\n<p><strong>KEY TAKEAWAYS-<\/strong><\/p>\n<ul>\n<li>Revenues grew 5x and the bottom line 10x during DPI\u2019s holding period \u2014 and the company will grow its top line 30% this year. E-commerce now accounts for for 20% of its top line;<\/li>\n<li>BTECH has no plans to expand outside Egypt just yet \u2014 it sees too much potential here;<\/li>\n<li>Launching its MiniCash BNPL service as a standalone brand is \u201cunder discussion\u201d;<\/li>\n<li>A project with McKinsey (one of the consultant\u2019s largest in Egypt) is laying the foundation for a complete re-think of its digital operations;<\/li>\n<li>Khattab thinks retail doesn\u2019t get enough respect as a creator of meaningful employment.<\/li>\n<\/ul>\n<p><strong>ENTERPRISE: Your press release on the transaction talks about how working with the PIF is going to help you accelerate your growth. What do they bring to the table?<\/strong><\/p>\n<p><strong>MAHMOUD KHATTAB: It\u2019s simple: We believe in teaming up with best partners \u2014 on everything. <\/strong>Whether that\u2019s your employees, the independent directors on your board, or your shareholders. That\u2019s why we\u2019re working with McKinsey on a three-year engagement that is, I believe, the biggest project they have in the country and their biggest in the region on household appliances and electronics.<\/p>\n<p><strong>DPI were great partners who brought a lot of added value to the table. <\/strong>It\u2019s great to have someone sitting by your side, helping you reach places you can\u2019t go on your own. When it was time for DPI to exit, we had multiple offers from potential acquirers. But in going with PIF, it\u2019s not about a capital injection or a partner with deep pockets. It\u2019s about someone who can help us be more aggressive \u2014 it\u2019s about more than the retail expansion. It\u2019s about fintech. It\u2019s about logistics. It\u2019s about best practices around the world. It\u2019s about all of the stuff on the back end that we\u2019re going to need to grow \u2014 that\u2019s the PIF\u2019s value add.<\/p>\n<p><strong>E: So does PIF coming on board signal that you\u2019re looking to grow outside Egypt? <\/strong><\/p>\n<p><strong>MK: No. <\/strong>We don\u2019t see ourselves growing outside Egypt for the time being. We\u2019ve been here for 25 years. We\u2019re number one in our industry by market share, by number of stores, by years in business. By any measurement. But we feel we\u2019ve not even scratched the surface, and until we\u2019re good with that, we\u2019ll stay focused on Egypt. Only then will we look outside the borders of a country with 104 mn people.<\/p>\n<p><strong>E: You say you\u2019re aggressive, but BTECH has been fairly quiet about telling its corporate story. What do you mean by \u201caggressive\u201d?<\/strong><\/p>\n<p><strong>MK: In the six years DPI was our partner, we grew the top line 5x and the bottom line 10x. <\/strong>We more than doubled the number of stores we have in the market and now comprehensively cover every governorate except for North and South Sinai and Wadi El Gedid. We were at zero when it came to e-commerce. Now it accounts for 20% of our revenues and we have a 23% market share of online sales in our segment. We just <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/92a24279-172f-4a51-aff0-9db2694f4fe6\">launched a new B2B platform<\/a>. And even as we grow the online business, we\u2019re going to be opening a new store just about every 10 days through to the end of the year. And we\u2019re not content: We\u2019re innovating as we do this. It\u2019s about adding to your revenue mix and using today\u2019s margins to invest in the future.<\/p>\n<p><strong>E: It\u2019s difficult in any industry to grow your bottom line twice as fast as your revenues. What\u2019s behind that?<\/strong><\/p>\n<p><strong>MK: There\u2019s definitely the impact of scale <\/strong>\u2014 the larger we get, the more we\u2019re spreading infrastructure and other central costs out over the business. Scale gives us the chance to buy on better terms, which falls to the bottom line. And we\u2019re very careful to take a balanced approach \u2014 we invest in the future, but we don\u2019t do it at the expense of losses today.<\/p>\n<p><strong>Working on costs and optimizing our expenses all the time is very important<\/strong> \u2014 we\u2019re always trying to bring down expenses, to improve our bottom line. I don\u2019t believe in buying market share, in losing and hoping to be profitable in the future. If you\u2019re not profitable today, you\u2019re not going to be profitable tomorrow. It\u2019s a mindset.<\/p>\n<p><strong>E: What\u2019s the B2B platform you just mentioned? <\/strong><\/p>\n<p><strong>MK: The idea is to serve small retail shops and distributors. <\/strong>We launched on 1 September and already have 5k dealers on the platform. The idea is that we\u2019re giving superior service to smaller retailers through an online platform. From their mobile or laptop, they can check our stock, place an order, compare prices, and get products delivered to their stores the next day. Dealers can pay online or find alternatives if a product is out of stock. We see big growth potential in B2B.<\/p>\n<p><strong>E: You said the business will grow 30% this year despite all of the challenges the market is facing with imports and the slowdown in economic growth. What\u2019s driving growth? <\/strong><\/p>\n<p><strong>MK: It\u2019s simple: We have more stores than anyone else. We\u2019re all over Egypt, we\u2019re very strong online, and we offer our own MiniCash consumer finance product<\/strong>, which enables about 42% of our sales, making us the market leader on consumer finance for household appliances and electronics. That\u2019s about double the nearest competitor. We\u2019re going after the B2B market. We\u2019re adding stores. And we\u2019re being judicious with costs as we do that \u2014 like with the rollout of our BTECH X line of smaller stores that we can roll out faster in areas including malls and Chillout shops with a knocked-down product lineup and then delivery for larger items.<\/p>\n<p><strong>We don\u2019t sit around when market conditions are challenging.<\/strong> We enjoy the downtime to grow our market share and double down on growth plans so we\u2019re in a better place when things swing back to normal.<\/p>\n<p><strong>E: Do you have plans to roll out MiniCash as a standalone brand? To finance purchases made at other retailers?<\/strong><\/p>\n<p><strong>MK: All I can say is that it\u2019s under discussion<\/strong>, but for now, we\u2019re a closed loop \u2014 as it stands today, we only finance our own products and services.<\/p>\n<p><strong>E: Your announcement talks about \u201cprogressing your digital transformation.\u201d What does that mean? <\/strong><\/p>\n<p><strong>MK: Over the next three to four years, we\u2019re going to invest more than EGP 1 bn in digital transformation. <\/strong>It will touch every single corner of the company. Not just the customer experience, but all of the back office, everything. It is one of the most important areas in which we\u2019re working with McKinsey. We\u2019re already taking steps: This past Saturday (1 October) we announced a change to our internal structure and appointed an executive vice president for B.Labs and digital. We\u2019re going to be developing our own technology from the core on out.<\/p>\n<p><strong>E: You\u2019ve been heard saying before that retail, as an industry, doesn\u2019t get enough respect. <\/strong><\/p>\n<p><strong>MK: BTECH will have 6k staff at the end of the year. We will have hired 900 new team members this year. <\/strong>As retailers, we are creators of jobs.<\/p>\n<p><strong>Look, I\u2019m biased on manufacturing vs retail, but it\u2019s all \u201cindustry, industry, industry\u201d in the press. <\/strong>Everyone runs after the manufacturers \u2014 even though more than 34% of the workforce in Egypt works in retail. Nobody talks about trade and distribution. We\u2019re not laying people off \u2014 we\u2019re hiring year-round.<\/p>\n<p><strong>I challenge any manufacturer in Egypt to create jobs and support new households the way retail does.<\/strong> We are in 24 governorates. In 33 cities. And we don\u2019t just hire people \u2014 we invest in them. Our team members have, on average, each had three training courses this year at the BTECH Academy. We\u2019ve created a diploma program in retail management in partnership with the government and we\u2019re going to roll out university-level retail and retail management programs with a couple of universities.<\/p>\n<p><strong>E: If you could change one thing about your business, what would it be? <\/strong><\/p>\n<p><strong>MK: We\u2019re too slow. We could grow faster if we change the way we do business. <\/strong>We need to get a handle on the scope and pace of change happening all around the world. 5x revenue growth and 10x profit growth are great, but they\u2019re just the beginning. I want to keep this beast hungry all of the time \u2014 we want to always, always have the spirit of a startup, even now, 25 years down the road.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>EXCLUSIVE- Saudi Arabia\u2019s sovereign wealth fund has acquired a 34% stake in consumer electronics and household appliances retailer BTECH from Africa-focused investment firm DPI for an undisclosed sum, according to a statement (pdf) out this morning. The Public Investment Fund (PIF)\u2019s wholly owned Egypt arm, Saudi Egyptian Investment Company (SEIC), will appoint two members to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8340],"tags":[335,72,7128,1389,338,2504],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-549843","post","type-post","status-publish","format-standard","hentry","category-coffee-with","tag-coffee-with","tag-enterpriseam","tag-ma-watch","tag-pif","tag-retail","tag-saudi-arabia-in-egypt","wpautop","entry"],"acf":{"mongo_id":"22b78d62-86d0-4331-878e-0da58c84ce0a","is_powered_by":true,"story_type":"1","photo_url":"","photo_position":"above","related_issue":[549839],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in\" \/>\n<meta property=\"og:description\" content=\"EXCLUSIVE- Saudi Arabia\u2019s sovereign wealth fund has acquired a 34% stake in consumer electronics and household appliances retailer BTECH from Africa-focused investment firm DPI for an undisclosed sum, according to a statement (pdf) out this morning. The Public Investment Fund (PIF)\u2019s wholly owned Egypt arm, Saudi Egyptian Investment Company (SEIC), will appoint two members to [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2022-10-03T06:47:35+00:00\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"10 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in\",\"datePublished\":\"2022-10-03T06:47:35+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\"},\"wordCount\":1974,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"keywords\":[\"Coffee With\",\"EnterpriseAM\",\"M&amp;A Watch\",\"PIF\",\"retail\",\"Saudi Arabia in Egypt\"],\"articleSection\":[\"Coffee with\u2026\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\",\"name\":\"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in - EnterpriseAM Egypt\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#website\"},\"datePublished\":\"2022-10-03T06:47:35+00:00\",\"breadcrumb\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/enterpriseam.com\/egypt\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#website\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/\",\"name\":\"EnterpriseAM\",\"description\":\"The State of the Nation\",\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/enterpriseam.com\/egypt\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\",\"name\":\"EnterpriseAM\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/ent.news\/internal\/240894.svg\",\"contentUrl\":\"https:\/\/ent.news\/internal\/240894.svg\",\"caption\":\"EnterpriseAM\"},\"image\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\",\"name\":\"enterpriseam admin\",\"sameAs\":[\"http:\/\/enterpriseam.testing.projectsarea.com\"],\"url\":\"https:\/\/enterpriseam.com\/egypt\/author\/enterpriseam\/\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in - EnterpriseAM Egypt","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/","og_locale":"en_US","og_type":"article","og_title":"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in","og_description":"EXCLUSIVE- Saudi Arabia\u2019s sovereign wealth fund has acquired a 34% stake in consumer electronics and household appliances retailer BTECH from Africa-focused investment firm DPI for an undisclosed sum, according to a statement (pdf) out this morning. The Public Investment Fund (PIF)\u2019s wholly owned Egypt arm, Saudi Egyptian Investment Company (SEIC), will appoint two members to [&hellip;]","og_url":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/","og_site_name":"EnterpriseAM Egypt","article_published_time":"2022-10-03T06:47:35+00:00","author":"enterpriseam admin","twitter_card":"summary_large_image","twitter_misc":{"Written by":"enterpriseam admin","Est. reading time":"10 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/#article","isPartOf":{"@id":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/"},"author":{"name":"enterpriseam admin","@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d"},"headline":"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in","datePublished":"2022-10-03T06:47:35+00:00","mainEntityOfPage":{"@id":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/"},"wordCount":1974,"publisher":{"@id":"https:\/\/enterpriseam.com\/egypt\/#organization"},"keywords":["Coffee With","EnterpriseAM","M&amp;A Watch","PIF","retail","Saudi Arabia in Egypt"],"articleSection":["Coffee with\u2026"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/","url":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/","name":"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in - EnterpriseAM Egypt","isPartOf":{"@id":"https:\/\/enterpriseam.com\/egypt\/#website"},"datePublished":"2022-10-03T06:47:35+00:00","breadcrumb":{"@id":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/03\/btechs-mahmoud-khattab-on-how-his-journey-with-dpi-and-how-hell-grow-the-business-now-that-saudis-pif-has-bought-in\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/enterpriseam.com\/egypt\/"},{"@type":"ListItem","position":2,"name":"BTECH\u2019s Mahmoud Khattab on how his journey with DPI and how he\u2019ll grow the business now that Saudi\u2019s PIF has bought in"}]},{"@type":"WebSite","@id":"https:\/\/enterpriseam.com\/egypt\/#website","url":"https:\/\/enterpriseam.com\/egypt\/","name":"EnterpriseAM","description":"The State of the Nation","publisher":{"@id":"https:\/\/enterpriseam.com\/egypt\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/enterpriseam.com\/egypt\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/enterpriseam.com\/egypt\/#organization","name":"EnterpriseAM","url":"https:\/\/enterpriseam.com\/egypt\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/","url":"https:\/\/ent.news\/internal\/240894.svg","contentUrl":"https:\/\/ent.news\/internal\/240894.svg","caption":"EnterpriseAM"},"image":{"@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d","name":"enterpriseam admin","sameAs":["http:\/\/enterpriseam.testing.projectsarea.com"],"url":"https:\/\/enterpriseam.com\/egypt\/author\/enterpriseam\/"}]}},"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"enterpriseam admin","author_link":"https:\/\/enterpriseam.com\/egypt\/author\/enterpriseam\/"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":550107,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/13\/egas-the-other-pif-plus-news-from-btech-bny-mellon-and-cira\/","url_meta":{"origin":549843,"position":0},"title":"EGAS + the \u2018other\u2019 PIF. Plus; News from BTECH, BNY Mellon and CIRA","author":"enterpriseam admin","date":"13 October 2022","format":false,"excerpt":"EGAS is closing in on an agreement with the Palestine Investment Fund to develop the Gaza Marine offshore gas field, Bloomberg Asharq reports, citing sources it says have knowledge of the matter. EGAS signed an MoU on the project with the Palestine Investment Fund last year. Gas extraction is expected\u2026","rel":"","context":"In &quot;Also on our Radar&quot;","block_context":{"text":"Also on our Radar","link":"https:\/\/enterpriseam.com\/egypt\/category\/also-on-our-radar\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":548377,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/08\/07\/saudi-wealth-fund-sets-up-company-to-invest-in-egypt\/","url_meta":{"origin":549843,"position":1},"title":"Saudi wealth fund sets up company to invest in Egypt","author":"enterpriseam admin","date":"7 August 2022","format":false,"excerpt":"Introducing the SEIC: Saudi Arabia\u2019s sovereign wealth fund has set up a company to manage its investments in Egypt as it prepares to deploy bns of USD in the country in the coming months, it said in a statement on Thursday. The Saudi Egyptian Investment Company (SEIC) will act as\u2026","rel":"","context":"In &quot;Investment Watch&quot;","block_context":{"text":"Investment Watch","link":"https:\/\/enterpriseam.com\/egypt\/category\/investment-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/8\/157.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":578713,"url":"https:\/\/enterpriseam.com\/egypt\/2023\/01\/11\/btech-kicks-off-egp-5-bn-securitization-program\/","url_meta":{"origin":549843,"position":2},"title":"BTECH kicks off EGP 5 bn securitization program","author":"enterpriseam admin","date":"11 January 2023","format":false,"excerpt":"BTECH has closed an EGP 1.038 bn securitized bond issuance, according to a jointstatement (pdf) from BTECH and CIB, which was the exclusive financial advisor on the transaction, as well as issuance manager, general arranger, promoter, and co-underwriter.The details: The three-tranche issuance is the first in a short-term EGP 5\u2026","rel":"","context":"In &quot;DEBT WATCH&quot;","block_context":{"text":"DEBT WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/debt-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2023\/1\/169.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":549304,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/09\/12\/the-public-investment-what\/","url_meta":{"origin":549843,"position":3},"title":"The Public Investment what?","author":"enterpriseam admin","date":"12 September 2022","format":false,"excerpt":"AMOC responds to PIF rumors: Alexandria Mineral Oil Company (AMOC) has not received any information on the Saudi sovereign wealth fund\u2019s reported intention to acquire a minority stake in the company, it said in a disclosure (pdf) yesterday in response to reports in the local press. Al Shorouk reported on\u2026","rel":"","context":"In &quot;M&amp;A WATCH&quot;","block_context":{"text":"M&amp;A WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/ma-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/9\/193.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":577575,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/11\/28\/does-pif-want-more-of-eipico\/","url_meta":{"origin":549843,"position":4},"title":"Does PIF want more of EIPICO?","author":"enterpriseam admin","date":"28 November 2022","format":false,"excerpt":"Among the other stories we\u2019re paying attention to this morning:PHARMA- EIPICO says it hasn\u2019t been formally told Saudi\u2019s PIF wants to up its stake: EIPICO IR Manager Abdel Raheem Ghareeb tells us that the company has not received any official notice that Saudi Arabia\u2019s Public Investment Fund (PIF) intends to\u2026","rel":"","context":"In &quot;Also on our Radar&quot;","block_context":{"text":"Also on our Radar","link":"https:\/\/enterpriseam.com\/egypt\/category\/also-on-our-radar\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/11\/451.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":578012,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/12\/13\/saudi-sovereign-wealth-fund-could-finalize-united-bank-acquisition-this-year\/","url_meta":{"origin":549843,"position":5},"title":"Saudi sovereign wealth fund could finalize United Bank acquisition this year","author":"enterpriseam admin","date":"13 December 2022","format":false,"excerpt":"PIF could acquire United Bank this month for USD 600 mn: Saudi Arabia\u2019s sovereign wealth fund could acquire the state-owned United Bank for around USD 600 mn as soon as this month, Bloomberg reports, citing sources with knowledge of the matter. The Public Investment Fund (PIF) is in \u201cadvanced talks\u201d\u2026","rel":"","context":"In &quot;M&amp;A WATCH&quot;","block_context":{"text":"M&amp;A WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/ma-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/12\/252.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/549843","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=549843"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/549843\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/549839"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=549843"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=549843"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=549843"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=549843"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=549843"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}