Ahmed Ali

A quick report that includes the most important economic news in Egypt, updated several times throughout the day.

Telecom Egypt

The board of directors of Telecom Egypt has approved in principle a binding offer submitted by British investment firm Helios Investments to acquire a stake ranging between 75% and 80% of a subsidiary that will own the regional data center complex (RDH), according to a statement issued by Telecom Egypt on Sunday.

The statement added that Helios' investment percentage in the company, which will own the regional data center complex, will range between 75-80%, while the remaining stake will be owned by Telecom Egypt.

Helios Investment's offer included a valuation of 100% of the data center complex at no less than US$230 million (EGP 11.16 billion), with the possibility of increasing this valuation to a maximum of US$260 million based on the achievement of certain performance indicators. Helios will pay Telecom Egypt the transaction consideration based on this valuation upon completion.

As part of the deal, Telecom Egypt appointed EFG Hermes as its financial advisor, in addition to appointing an independent consultant to determine the fair value of the complex.

subsidized loans for industry

The Ministry of Finance has approved manufacturers' applications for subsidized loans under the Industrial Sector Financing Initiative at a 15% interest rate. This follows complaints from the Federation of Egyptian Industries that the program has not been implemented and that access to financing has been difficult, according to local media.

The Ministry of Industry launched the first phase of the new EGP 30 billion financing initiative last April, with interest rates reduced by 15% for seven priority industrial sectors: pharmaceutical, food, engineering, chemical, and textile industries, as well as mining and building materials.

Securitization bonds

Al Taamir Leasing and Factoring Company (Al Oula) issued securitization bonds worth EGP 1.3 billion, as part of a three-year, multi-issue securitization program worth EGP 5 billion, according to a statement issued Sunday by El-Derini & Partners, the legal advisor for the transaction.

Haitham Serag, CEO of Al Tameer Leasing Company, said that the company's portfolio is valued at approximately EGP 7 billion, and that it aims to increase it to EGP 8.5 billion by the end of the year.

Gold prices

The average selling price of 21-karat gold, the most popular type of gold used in jewelry, was EGP 4,865 per gram, while 18-karat gold—which has been in high demand in Egypt recently due to its low price and weight in jewelry—reached EGP 4,170 per gram, according to data from an online gold price platform.

21 and 18 karat are used in gold jewelry sold in gold shops.

The price of 24-karat gold, used in gold bullion and typically purchased as an investment, was recorded at around EGP 5,560 per gram.

Dollar prices

The official dollar exchange rate recorded approximately 48.53 pounds for buying and 48.63 pounds for selling, according to data from local banks.

On the parallel market, the average price was around 49.29 pounds for buying and 50.14 pounds for selling, according to traders and mobile applications.

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(Prepared by: Ahmed Ali, for communication: zawya.arabic@lseg.com)

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