Daily News Egypt learned that the Saudi sovereign fund, known as the Public Investment Fund (PIF), is awaiting the approval of Egypt’s Financial Regulatory Authority (FRA) to subscribe to the 65% capital increase of Egyptalum company.
A source told Daily News Egypt that the company submitted a request to increase its capital, amounting to $320m, to the FRA and is awaiting approval.
The sources added that it is possible for the deal to be completed during the next month, as soon as the necessary approvals are completed. The fund will inject about $200m investment in the company.
The company revealed earlier that it is currently studying an increase in its capital by a strategic investor. The capital increase would help Egyptalum finance development operations and maintain its current production capacity of 320,000 tonnes annually.
The company, owned by the Holding Company for Metallurgical Industries, is looking forward to a comprehensive reform, as the company hired Bechtel to conduct a feasibility study for the development.
Earlier, the Saudi Egyptian Investment Company, owned by the PIF, has acquired government-owned minority stakes in four publicly listed companies worth $1.3bn.
The companies are Abu Qir Fertilizers, Misr Fertilizers Production Co., Alexandria Container and Cargo Handling, and efinance for financial and digital investment.
