EBRD backs Egypt’s pharma logistics with EGP 1.3 bn financing to Ibnsina

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WHAT WE’RE TRACKING TODAY

TODAY: Ibnsina Pharma’s logistics operation secures EBRD backing

Good morning, friends. The news cycle has slowed down a little, and we have a brisk read for the day, led by news of the EBRD’s financial backing for Egypt’s Ibnsina Pharma’s logistics infrastructure.

PLUS: We also take a look at how the shipping industry fared in terms of schedule reliability in 2025. The picture is complex, with geopolitical disruptions and network optimization courtesy of shipping alliances like Gemini telling a tale of two cities for the industry.

But first, we take a look at the latest funding round backing an autonomous logistics player abroad…

The big logistics story abroad

Another funding for an autonomous logistics startup is making the rounds. China-based heavy trucking tech startup DeepWay Tech secured USD 173 mn in funds ahead of a planned IPO on the Hong Kong stock exchange. The backing came from Singapore-based ABC Capital, as well as China-based Lenovo Capital, Puhua Capital, and battery maker Sunwoda Electronic.

We are keeping tabs on the autonomous logistics sector this year, as more players line up expansion plans through fundraising rounds and IPOs. We know that Swedish autonomous and e-trucking player Einride (USD 1.8 bn valuation) is looking at a possible IPO this year, and that the US-based drone delivery startup Zipline (USD 7.6 bn valuation) will expand operations using the USD 600 mn funds it raised last week.

FROM THE TRUMP LAND- The US will hike tariffs on South Korean autos, lumber, and pharma from 15% to 25%, with the US President Donald Trump blaming Seoul’s legislature for not implementing a trade agreement reached last November. The move strains Washington’s relationship with a major trade partner, as South Korea ranks among the top 10 sources of imports to the US, with over USD 150 bn worth of Korean goods heading to the US every year.

Watch this space

DISRUPTION WATCH –– Analysts are on the lookout after the Houthis affirmed their commitment to defend Iran in a statement released amid rising US-Iran tensions following the Pentagon’s announcement that it was deploying naval assets to the region. The Yemeni militant group also issued a video statement (watch, runtime: 00:17) showing their attacks on ships in the Red Sea and Gulf of Aden.

IN CONTEXT- This comes as shipping companies cautiously test a return to the Red Sea, but the French giant CMA CGM recently signaled caution after it said it will reroute vessels on its French-Asia Line 1, French-Asia Line 2, and Mediterranean Club Express back through the Cape of Good Hope.

^^Dig deeper: We sat down with the head marine analyst at EOS Risk Group in December to get his assessment on the Houthis risk profile as shippers were testing their Red Sea return.

RAIL –– Syria’s freight rail is back on the map? The rail freight line connecting Lattakia Port to Aleppo city is back online after it departed from the port on Sunday, carrying grain cargo. The trip marks the first run on the corridor after a 15-year suspension.

This only matters if it becomes regular: Syria still suffers from worn infrastructure and a locomotive shortage, so a consistent freight return depends on whether ongoing track work and locomotive rehabilitation translate into reliable service frequency.

Stargate UAE gets a price tag: Abu Dhabi’s flagship 5 GW Stargate UAE data center will cost USD 30 bn to develop, The National cites AI Minister Omar Al Olama. The revised figure is roughly 50% higher than last year’s USD 20 bn estimate, reflecting the scale and cost of sovereign AI infrastructure.

REMEMBER- Stargate is coming sooner: We reported earlier that G42’s buildout is accelerating, with the first 200 MW due online “in the next couple of months,” followed by 200-500 MW per quarter, alongside incoming advanced US chips under security guardrails — pulling timelines forward from earlier guidance that pointed to 3Q 2026.

AVIATION –– Air Cairo’s first commercial flight touched down at Amman City Airport on Friday –– becoming the second known low-cost carrier (LCC) to line up services at the airport and the airport’s first scheduled flight. The Cairo-based LCC is slated to run two flights a week.

In line with Jordan’s strategy for the airport: Airport operator Jordan Airports Company is positioning the airport as a low-cost, short-haul alternative to Queen Alia International Airport, with the aim of handling 1 mn passengers annually. The strategy involves offering cheaper fees to attract budget carriers seeking lower operating costs on domestic and regional feeder routes.

Market watch

Oil prices fell this morning as resumed production in Kazakh fields outweighed weather-driven disruptions in the US production, Reuters reports. Brent crude futures were down USD 0.44 to trade at USD 65.15 / bbl as of 04:40 GMT, while US West Texas Intermediate (WTI) decreased by USD 0.35 to USD 60.28 / bbl.

From Opec+ land: The oil-producing bloc is set to keep its pause on oil output increases through March at a meeting on Sunday, delegates told Reuters. Opec+ froze planned hikes after a rapid unwinding of production cuts through last year — effectively holding supply flat for 1Q.

The expectation within the group is that policy stays unchanged, though some members caution that discussions have yet to formally begin, four delegates told Bloomberg. There is no sense so far that this month’s turbulence in Venezuela or Iran requires a response, one source said, while another flagged the caveat — a serious supply disruption could change the math fast and push Opec+ to open the taps.

The Baltic Index rises: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — rose 1% to 1,780 points on Monday. The capesize gained 1.7% to 2,626 points, while the panamax index remained steady at 1,612. Meanwhile, the smaller supramax index added 9 points to hit 1,035.

***YOU’RE READING EnterpriseAM Logistics, the essential MENA publication for senior execs who care about the industry that connects producers and retailers to global markets. We’re out Monday through Thursday by 9:15am in Cairo and Riyadh and 11:15am in the UAE.

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EBRD extends EGP 1.3 bn green financing to Ibnsina Pharma

The European Bank for Reconstruction and Development (EBRD) has signed an EGP 1.3 bn financing agreement with Ibnsina Pharma, the company said in a disclosure yesterday (pdf). The facility will back a major green logistics expansion by Ibnsina — Egypt’s largest pharma distributor — and reinforce the growing role of development finance in sustaining capex as elevated local borrowing costs persist.

Under the agreement, the EBRD will fund:

Construction of a new warehouse targeting at least an EDGE standard certification;
Green capex upgrades, supported by EBRD technical advisory services, including energy audits and resource-efficiency enhancements;
Long-term working capital, supporting scale-up across Ibnsina’s distribution network.

Once completed, the warehouse is expected to reduce annual CO2 emissions by 207 tons, alongside material water savings — a key condition for unlocking this tranche of climate-linked financing.

From equity to debt

The transaction comes one year after the EBRD fully exited its equity stake inIbnsina. Having supported the EGX-listed company’s growth as a shareholder since 2015, the bank is now backing Ibnsina’s next phase through project-linked debt rather than ownership.

The loan offers Ibnsina favorable repayment terms, and “the long-standing relationship with the EBRD made the due-diligence process swift,” Mohamed Shawky, Ibnsina’s head of investor relations, told EnterpriseAM. “We view this facility as an international quality seal. Passing the EBRD’s rigorous due diligence validates our governance, transparency, and operational standards to our stakeholders,” Mohsen Mahgoub, Ibnsina Pharma’s managing director, noted in the statement.

Why it matters

The EBRD’s intervention provides long-tenor, EGP-denominated liquidity that allows Ibnsina to continue scaling without compromising balance-sheet stability or delaying capex. Development finance is stepping in to prevent an infrastructure slowdown in a sector where logistics capacity is tightly linked to meds availability and pricing efficiency.

For Ibnsina, the new warehouse will be part of a network optimization and expansion plan that includes up to 12 new warehouses, aimed at boosting capacity in response to rising volumes and a more diversified revenue base.

The broader picture

The EBRD is also set to extend fresh financing to the manufacturing side of the pharma sector: Minapharm secured board approval earlier this month for a EUR 13.25 mn EBRD facility, denominated and repayable in EGP, the company disclosed last week (pdf). Minapharm will use the loan primarily to refinance existing short- and medium-term debt, while also supporting capex tied to a new production facility and the development of a vocational training academy, underscoring how development finance is being deployed across the pharma value chain.

Egypt remains one of the largest pharma markets in MENA, driven by population growth and structurally rising healthcare demand. Distribution infrastructure is a critical bottleneck that cannot afford underinvestment. By channeling green, local-currency financing into logistics-heavy operators like Ibnsina, the EBRD effectively acts as a capex backstop to ensure that expansion plans remain intact despite tight domestic credit conditions.

Global shipping reliability was up 13.3% y-o-y in 2025, despite a tough year for the region

The Middle East ranked at the bottom of Xeneta’s globalshippingschedule reliabilityranking in 2025, bearing the brunt of ongoing divisions in the Red Sea. The region ended the year with the poorest on-time performance, with a mere 28% on-time arrival rate, shedding some 11% over the course of the year.

The Europe-Asia lane was also among the hardest hit by Red Sea disruptions, shedding some 22% of its on-time arrival rate over the year to score 29%.

On a global level, the picture becomes more complex. Network optimization moves by shippers are driving reliability gains in some shipping lanes, while persistent geopolitical disruptions are hurting other areas. On average, global on-time arrivals climbed 13.3% y-o-y to 34%, up from 30% in 2024. US-bound lanes topped the rankings and saw an overall improvement in on-time arrivals, in large part driven by operational efficiency from the Maersk and Hapag-Lloyd shipping alliance, the Gemini Cooperation.

METHODOLOGY- The report is based on comprehensive coverage of vessel arrivals across all global trades. It tracks specific movements on a weekly, monthly, and quarterly basis to identify patterns. The methodology taps into three primary metrics to define reliability: on-time arrivals, average days delayed, and canceled sailings.

Why it matters: The data suggest that even when there are minor improvements in delay times, it may not be enough to move the needle on overall reliability. While Middle East delays improved slightly — falling by 0.5 days — the lane remained at the bottom of the global pack, highlighting that geographical proximity to disruptions outweighs gains from carrier efficiency.

What’s next? The focus for 2026 shifts to whether the industry can move toward the 44% reliability levels seen in 2023 or will slide back toward the 25% seen during the pandemic year of 2022. With only a trickle of the usual Suez Canal transits currently scheduled and carriers rethinking their decision to return, a measurable recovery in Middle East reliability is far from certain. Success in the coming year will depend on which carriers can maintain consistency despite major uncertainties, ranging from tariff wars to the fragility of regional ceasefires.

Alexandria Container and Cargo Handling records dip in earnings in FY 2025/26

Alexandria Container and Cargo Handling’s net income fell 2% y-o-y to EGP 3.4 bn during the first half of FY 2025/26, according to the company’s latest unaudited financial statement (pdf). Revenues for the six-month period dipped 4% y-o-y to EGP 3.8 bn, while gross income saw a 6% y-o-y decline to EGP 2.88 bn. Despite the lower financial figures, actual container throughput saw a 5% y-o-y increase during the period.

The company attributed the top- and bottom-line declines to a reduction in storage revenues. While handling volumes grew, the drop in storage-related income — often a higher-margin service — weighed on overall profitability.

DAE to shell out two Boeing jets to Somon Air + Asyad to locally build LNG tugboat

Tajikistan carrier taps DAE for Boeing jets

DAE brings Somon Air to its 737-8 lease book: Dubai Aerospace Enterprise (DAE) has inked a long-term lease with Tajikistan’s Somon Air for two new Boeing 737-8 aircraft — with delivery due in 2026. The value of the agreement was not disclosed.

Hello, Central Asia? Until now, DAE hadn’t signed agreements with Central Asian airlines — largely dominated by Western giants and Chinese lessors — marking a new market entry.

DATA POINT- Currently, DAE owns, manages, and has orders for a total of 237 Boeing planes, with a wider fleet of 750 aircraft valued at USD 23 bn.

Oman tests local shipbuilding with LNG tugboat build

Asyad Drydock to build Oman’s first locally made tugboat: Asyad Drydock — a subsidiary of Asyad Group — has inked a strategic agreement with global maritime services firm Svitzer to construct Oman’s first domestically manufactured tugboat for Oman LNG. The project marks a step up from providing services to actually building a critical marine asset in-country –– with 50% local components targeted by Asyad.

Lucid pushes for EV supply chain localization in Saudi

PIF-backed Lucid is taking its Saudi localization strategy a step further, extending plans beyond vehicle assembly to include sourcing rare-earth magnets from Saudi suppliers, CEO Marc Winterhoff told Semafor on Friday. The EV maker is looking to source output from a rare earths processing plant planned by Ma’aden in partnership with the US-based PM Materials, Winterhoff said. The move would anchor the entire EV supply chain within the Kingdom.

Global dynamics are at play: Turning to Saudi suppliers would effectively cut China out of Lucid’s supply chain as early as this year, after the world’s largest supplier of rare earths imposed export restrictions last year amid escalating trade tensions with the US. “We are well underway to move completely away from China in 2026,” Winterhoff added.

BACKGROUND- Lucid expects its first Saudi-made vehicle to roll off the line before the end of the year at its factory in King Abdullah Economic City, where construction wrapped up in December. The plant will have an annual capacity of 150k units, mostly for export, and will later expand production to include existing models, such as Air and Gravity.

UAE’s Lithium lock-in

The UAE has stepped into the global EV supply chain. Abu Dhabi-based manufacturer Titan Lithium Industries signed a multi-year supply framework agreement worth over USD 300 mn with Mercedes-Benz to deliver battery-grade lithium for the carmaker’s global EV portfolio, state news agency Wam reports. Commercial supply is set to begin in 2028.

Why it matters: The agreement positions the UAE securely in the downstream section of critical minerals production, as it looks to boost localization efforts and establish itself as a player in the various steps of the supply chain

Calendar

2026

FEBRUARY

3-4 February (Tuesday-Wednesday): Middle East Bunkering Convention, Dubai, UAE.

4-5 February (Wednesday-Thursday): Breakbulk Middle East, Dubai, UAE.

4-5 February (Wednesday-Thursday): MRO Middle East, Dubai, UAE.

9-11 February (Monday-Wednesday): Future Warehouses & Logistics, Dubai, UAE.

10-12 February (Tuesday-Thursday): Sustainable Aviation Future MENA, Dubai, UAE.

12 February (Thursday): Technical Seminar on Marine Biofuels, London, UK.

15-17 February (Sunday-Tuesday): World Advanced Manufacturing Logistics Summit and Expo, Riyadh, Saudi Arabia.

20-22 February (Friday-Sunday): Dubai Freight Camp, Dubai, UAE.

24-25 February (Tuesday-Wednesday): Green Shipping Summit, Athens, Greece.

25-27 February (Wednesday-Friday): Air Cargo Africa, Nairobi, Kenya.

25-27 February (Wednesday-Friday): Air Law Treaty Workshop, Tanzania, Dar es Salaam, Tanzania.

MARCH

5-6 March (Thursday-Friday): CargoIS Forum, Miami, United States.

9-13 March (Monday-Friday): WCA Worldwide Conference, Singapore.

10-12 March (Tuesday-Thursday): World Cargo Symposium, Lima, Peru.

18-19 March (Wednesday-Thursday): IntraLogisteX, Birmingham, United Kingdom.

18-19 March (Wednesday-Thursday): Green Marine Transport Conference, Amsterdam, The Netherlands.

26 March (Thursday): Gulf Ship Finance Forum, Dubai, UAE.

APRIL

12-15 April (Sunday-Wednesday): Saudi Smart Logistics, Riyadh, Saudi Arabia.

16-17 April (Thursday-Friday): Global Supply Chain and Logistics Summit, Amsterdam, The Netherlands.

MAY

19-21 May (Tuesday-Thursday): Ground Handling Conference (IGHC), Cairo, Egypt.

12-14 May (Tuesday-Thursday): Aviation Energy Forum (AEF), Paris, France.

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