The EBRD has opened talks with the SFE about investing in both United Bank and Banque du Caire but is still waiting for clarity over the size of the stakes the government is willing to sell.

CBE is studying issuing the digital pound, in cooperation with the IMF and the World Bank, with the aim of boosting the country’s digital transformation. 

GAFI will soon announce new free trade and industrial zones.

Turkish textile manufacturer Küçükçalik Group is planning to start work on a USD500 million synthetic fibers factory in the Suez Canal Economic Zone (SCZone) in January, a move that could lower the country’s annual import bill by USD1 billion.

Prime Minister Moustafa Madbouly discussed what the government is doing to address the FX crunch. Steps have so far included investor incentives that aim to boost domestic manufacturing, exports, and FDI.

The government will revive a year-old idea and start offering EGP1 bread loaves for non-ration card holders using prepaid cards starting January. There will not be a ceiling on the number of loaves that can be bought per person. 

South Korean trading company STX Corporation will work with the government to upgrade Gargoub port near Marsa Matrouh and establish an industrial-logistics zone in the area.

Former world leaders and leading economists have signed a joint letter calling on oil-producing states to pay a USD25 billion levy to fund the loss and damage fund.

We upgraded our fair value for EGAL to EGP77.75/share, up from EGP53.58/share, and maintained our Overweight recommendation. EGAL is currently trading at FY23/24e P/E of 6.6x and EV/EBITDA of 3.6x. 

ORAS (FV: EGP192.45, OW) reported 3Q23 results with net income attributable to shareholders decreasing 32.6% YoY to USD16.1 million in 3Q23, bringing 9M23 net income up 98.6% YoY to USD114.8 million. 

Three local and international consortia submitted their financial and technical offers to launch five solar power plants for water desalination on the North Coast. The competing entities are ORAS (FV: EGP192.45, OW) with undisclosed foreign entity, the Egyptian Platform with a Chinese entity, and SES with German Frenell, according to local media. 

EFIH is in talks to acquire two retail-focused digital payments companies. The first one was approved by the board earlier this month and is expected to wrap up by the end of the year. A second acquisition is currently under study and could be finalized during 1H24, according to local press.

ETEL selected Raya Information Technology, a subsidiary of RAYA, to implement the second phase of Telecom Egypt’s data hub.

RMDA launched a new type 2 diabetes med called Gliptalina. It is expected to generate more than EGP20 million in revenues for the company in the first year.

OPEC+ member states are meeting tomorrow to discuss how the cartel of oil-producing nations will respond to falling oil prices, decide on next year’s production targets, and make a decision on whether to prolong production cuts. 

NUCA closed a EGP15.0 billion securitized bond issuance, the second and final issuance in its EGP30.0 billion program.

Saudi grocer Panda (owned by Savola) is among three supermarket chains that are looking to purchase six stores from Alfa Market as it struggles with debts.

Wizz Air is planning to offer daily flights between Sphinx International Airport and Abu Dhabi.