M&A

Admaius takes minority stake in Minapharm majority shareholder Triquera: Africa-focused private equity firm Admaius Capital Partners has acquired a minority stake in Triquera — which owns a 79.59% stake in local drugmaker Minapharm — the companies announced in a joint statement (pdf). The transaction was executed through a capital increase in Triquera and aims to accelerate Minapharm’s growth strategy, particularly in complex biologics and regional biotech leadership.(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)Where’s the money going: Minapharm licenses out proprietary platform technologies in monoclonal antibodies, vaccines, and cell and gene therapies — some of which are already used in FDA-approved products. The transaction “will focus on accelerating the development and production of complex genetically engineered therapies, while expanding access to high-quality, affordable recombinant proteins by investing in innovation and scaling distribution to better serve patients across underserved markets in Africa and the Middle East.” We had an idea this was coming: A report earlier this month that the European Bank for Reconstruction and Development and Admaius were eyeing an indirect 15-20% stake in Minapharm via a capital increase in Triquera. And last year, Triquera announced that it signed a preliminary agreement with an unnamed investor looking to buy a minority stake in the firm through a capital increase, saying that the transaction would help it and its subsidiaries grow in the biotech field and support future investments in similar companies.More to come? Triquera and Admaius will pursue strategic acquisitions of international contract development and manufacturing organizations to boost Minapharm’s growth. What they said: “This partnership reflects the accelerating momentum of Minapharm’s growth as we extend our leadership in biotherapeutics, cell and gene therapies, and proprietary platform technologies,” said Minapharm CEO Wafik Bardissi. “We are pleased to be able to partner with Triquera… and will help to internationalize and grow the business further,” Admaius Managing Partner Marlon Chigwende added. ADVISORS- Zilla Capital was the sole financial advisor to Triquera and its shareholders, and Matouk Bassiouny served as legal counsel on their side. Meanwhile, Admaius was advised by White & Case as legal counsel and Arthur D. Little as commercial advisor.

M&A activity saw a strong start to the year, with industry leaders including our friends at Fawry, Hassan Allam, CIRA, and Taqa Araba driving the momentum and local corporates actively reshaping their portfolios. The first half brought major consolidation moves across fintech, ins., education, and energy — setting a dynamic tone for 2H. IN FINTECH-Fintech giant Fawry was easily the most acquisitive firm in 1H, kicking off its spree in February with the acquisition of a majority stake in local hospital and medical institutions manager Code Zone. That was quickly followed by a 56% stake in SME-focused financial services provider Virtual CFO, and a 51% stake in ERP software firm Dirac Systems. The moves — worth a combined EGP 80 mn — are part of the launch of Fawry Business, a platform offering digital transformation tools for SMEs and large enterprises.Elsewhere in fintech: Basata upped its stake in Jordan’s MadfoatCom to 25%, part of its broader play to expand regionally and potentially raise its holding to 49%. EFG Finance exited its 51% stake in PayTabs Egypt in March, selling it to Saudi parent PayTabs Global as part of a portfolio streamlining effort. EDUCATION-CIRA Education submitted an MTO (pdf) earlier this month to up its stake in EGX-listed subsidiary Cairo for Educational Services (CAED). CIRA is looking to increase its stake in CAED to up to 90% from the current 69.4%. CIRA is looking to snap an additional 20.6% of its subsidiary — represented in 2.5 mn shares — at an initial price tag of EGP 32.7 per share. CIRA plans to keep CAED listed on the exchange if the MTO goes through. INS.- The ins sector also saw heightened M&A interest, with a major bid from Morocco’s Wafa Assurance to acquire up to 100% of the Egypt Kuwait Holding subsidiary Delta Ins. The bid values the insurer at around EGP 5 bn. Wafa is looking to take Delta Ins. private, with plans to delist the company from the EGX. In June, insur-tech broker Bringy acquired healthtech startup HealthTag, which provides affordable medical access to the uninsured — a strategic move aimed at deepening Bringy’s footprint across the MENA region. CROSS-BORDER TRANSACTIONS-In June, Hassan Allam Utilities secured regulatory approval to acquire a 30% stake in Acwa Power Luxor, a local subsidiary of the Saudi renewables player. In May, Elsewedy Electric acquired a 60% stake in Dubai-based Thomassen Service, which includes Middle East and Africa operations, filters manufacturing, and an African business unit. The transaction marked Elsewedy’s entry into oil and gas services as it looks to diversify its energy portfolio. DIDN’T MAKE IT ACROSS THE FINISH LINE-Arla foods still has Domty on its radar: Danish dairy giant Arla Foods delayed submitting a mandatory tender offer (MTO) to acquire EGX-listed Domty in April, citing its inability to complete legal, financial, and technical due diligence while Domty proceeded with a spin-off. Arla emphasized that the deal is on hold, not off the table.In March, Dice scrapped plans to acquire Twin Top for Real Estate Investment, citing pricing disagreements. WHAT’S NEXT?Looking ahead, consumer finance appears to be poised to take the lead in 2H with Al Ahly Capital and our friends at Taqa Arabia both hinting at transactions in the pipeline, signaling continued dealflow in sectors ripe for scale and integration. If the first six months are any indicator, 2025 could be one of the busiest M&A years in recent memory.

Announced M&A transactions in the MENA region increased 149% y-o-y in 1H 2025 to USD 115.5 bn, their highest level on record since 1980, Zawya reports, citing LSEG data. The number — including intended, pending, and completed agreements — also grew 16% y-o-y to a three-year peak.By the numbers: Inbound M&A, where MENA companies were the targets, amounted to USD 48 bn, representing an 18% y-o-y increase. Meanwhile, outbound M&A from the region set an all-time 1H record at USD 64.5 bn, an 8% y-o-y increase.Emirati firms were the most targeted, with inbound agreements to the UAE totaling USD 39.8 bn, followed by Saudi Arabia at USD 3.5 bn, Kuwait at USD 1.7 bn, Egypt at USD 1.3 bn, and Bahrain at USD 700 mn.The materials sector came in the lead with 67% of the total agreements value, largely due to the pending USD 30.9 bn merger between UAE-based Borouge and Austria's Borealis. Meanwhile, the financial sector saw the highest number of transactions, which were valued at a total of USD 3.3 bn.Behind the leap: Growth in the M&A activity is attributed to strong investor confidence, strategic diversification efforts, and robust sovereign capital, Zubair Mir, senior partner at Norton Rose Fulbright, told Zawya. The region’s ongoing regulatory reforms and initiatives to attract foreign direct investment are also fostering a favorable environment for both inbound and outbound transactions, Mir added.Sectors to watch: M&A activity is expected to pick up in the second half of the year, particularly in the energy, clean energy, digital infrastructure, healthcare innovation, and technology sectors, Mir expects.The leading advisors: Rothschild & Co topped the financial advisor league table for announced M&As in the first half of the year, advising on agreements worth a combined USD 76.1 bn and capturing a 65.9% market share. Goldman Sachs followed in second place with USD 75.6 bn, and Citi came third with USD 48.4 bn. Morgan Stanley, which held the top spot in 1H 2024, dropped to seventh place.ALSO FROM PLANET FINANCE- US inflation is projected to hit 3% a year from now, the same level it was before President Donald Trump began taking trade protectionist measures, CNBC reports, citing a New York Federal Reserve survey. MARKETS THIS MORNING- Asian markets are still trading mixed this morning, with Japan’s Nikkei down 0.5% while the Shanghai Composite is up 0.3%. Meanwhile, Wall Street futures are slightly inching down following S&P’s first gains in three sessions.EGX3033,152+0.4% (YTD: +11.5%)USD (CBE)Buy 49.54Sell 49.67USD (CIB)Buy 49.58Sell 49.68Interest rates (CBE)24.00% deposit25.00% lendingTadawul11,278-0.1% (YTD: -6.3%)ADX10,049+0.4% (YTD: +6.7%)DFM5,834+0.7% (YTD: +13.1%)S&P 5006,263+0.6% (YTD: +6.5%)FTSE 1008,867+0.1% (YTD: +8.5%)Euro Stoxx 505,446+1.4% (YTD: +11.2%)Brent crudeUSD 70.19+0.1%Natural gas (Nymex)USD 3.21-3.8%Gold USD 3,321+0.1%BTCUSD 111,080+2.0% (YTD: +18.9%)S&P Egypt Sovereign Bond Index878.400.0% (YTD: +13.0%)S&P MENA Bond & Sukuk145.61-0.2% (YTD: +4.1%)VIX (Volatility Index)15.94-5.2% (YTD: -8.1%)THE CLOSING BELL-The EGX30 rose 0.4% at yesterday’s close on turnover of EGP 4.1 bn (16.9% below the 90-day average). Local investors were the sole net sellers. The index is up 11.5% YTD.In the green: Qalaa Holdings (+5.6%), GB Corp (+4.8%), and Rameda (+4.6%).In the red: EFG Holding (-2.4%), Telecom Egypt (-2.3%), and Sidpec (-1.8%).

Nawy buys into SmartCrowd, enters UAE market: Cairo-based and e&-backed proptech platform Nawy acquired a majority stake in the UAE’s first licensed fractional property investment outfit SmartCrowd for an undisclosed sum, according to a statement (pdf).A stepping stone to regional dominance? The move marks Nawy’s first foray into a GCC market, giving it immediate exposure to the UAE’s booming real estate investment market, which is forecast to hit USD 33 bn by 2030 on the back of heightened cross-border participation, tokenization, and demand for fractional ownership models, the statement said.The acquisition comes on the heels of one of the region’s largest series A rounds. Nawy raised USD 52 mn in a funding round back in May, alongside USD 23 mn in debt financing from local lenders. The firm said it would use the capital to expand across the Middle East and North Africa, acquire startups, and embed AI across its product stack. Nawy claims its revenues have grown more than 50x in USD terms since 2020, with gross merchandise value hitting USD 3 bn to date, up from USD 1.4 bn in 2024.Not the first acquisition for Nawy this year: The proptech player acquired property management company ROA earlier this year in a bid to launch Nawy Unlocked — a new service “designed to help property owners generate income from unused or unfinished properties.”About SmartCrowd: Founded in 2018, the Dubai-based firm allows investors from over 130 countries to co-invest in income-generating properties starting from as little as USD 150. It has processed over USD 110 mn in property transactions to date, distributed more than USD 40 mn in rental income and capital gains, and exited more than 50 properties as of June 2025. One of its flagship offerings, Flip, acquires and renovates undervalued assets to resell within 15 months, yielding an average 30% ROI as of June 2025, the statement said.What they said: “SmartCrowd’s platform gives us a proven investment engine built on trust, performance, and regulatory strength,” Nawy CEO Mostafa El Beltagy said. “The perfect match for Nawy’s techfirst approach to real estate. Together, we’re unlocking a new era of seamless property investment across MENA: data-driven, accessible, and built for today’s digital investor.”

Egypt’s first SPAC draws closer to striking twin acquisition: Shareholders of the country’s first-ever special purpose acquisition company (SPAC) Catalyst Partners Middle East (CPME) signed off on the firm’s plans to fully take over digital lender Qardy and NBFs player Catalyst Partners Holding in a share swap worth a combined EGP 2.8 bn, according to a press release (pdf). The rationale: This aims to “enhance integration among group entities, and to establish a leading non-banking financial institution focused on fintech and financial innovation, thereby supporting financial inclusion efforts and contributing to the country’s development goals,” the release said.ALSO- Shareholders approved the allocation of proceeds from the December capital increase to support the expansion of Catalyst Leasing and Factoring activities.REMEMBER- CPME became Egypt’s first SPAC after receiving the green light from the Financial Regulatory Authority in September 2024, before listing on the EGX two months later. The SPAC is currently listed but there’s no trading activity on its shares.ADVISORS- CPME tapped our friends at Beltone Holding for their investment banking and brokerage services on the transaction and Matouk Bassiouny & Hennawy as counsel. BDO Keys Financial Consulting will act as independent financial advisor and Grant Thornton as tax advisor.THERE’S MORE TO THE STORY- EnterpriseAM spoke to Catalyst Partners Chairman Maged Shawky to learn more about the acquisitions and CPME’s future plans earlier this year — check out the story here.

Qalaa Holding’s mining arm Ascom will submit a EGP 641.0 mn purchase offer for Raya Holding's entire 90% stake in freight subsidiary Ostool after its board greenlit the offer, according to a disclosure (pdf) to the EGX. The potential transaction values Ostool’s shares at EGP 8.22 each.What’s next? Archer Financial Consulting will conduct a fair value study for Ostool. If it moves forward, Ascom will carry out the acquisition through one of its subsidiaries.REMEMBER- Raya Holding upped its stake in Ostool to 90% back in 2023 after purchasing an additional 27.7% stake from Egyptian Gulf Holding Financial Investments, EGBank’s investment arm. Prior to that, Raya was looking to sell its 62.3% stake in Ostool, but the sale didn’t go through because the buyer didn’t transfer the funds within the required time.MARKET REAX-Raya’s shares went up 0.4% at today’s trading to close at EGP 2.82 apiece, and Ascom saw its shares jump 5.4% to EGP 33.75 a pop.

Attijariwafa Bank’s ins. arm Wafa Assurance submitted a mandatory tender offer to acquire up to 100% of Delta Ins. — or 125 mn shares — at EGP 40 apiece, according to an EGX disclosure (pdf) by the Financial Regulatory Authority (FRA). The transaction, valued at up to EGP 5.0 bn, requires a minimum acceptance threshold of 51% of shareholders to go through and is currently being reviewed by the FRA.ICYMI- Wafa Assurance, along with Axa Egypt, registered its interest in snapping up to 100% of the Egypt Kuwait Holding subsidiary in December by submitting a non-binding offer. However, Axa pulled the plug on its bid in late May, triggering a six-month cooling-off period during which it is barred from launching new tender offers for Delta Ins.The details: The acquisition includes an additional 25 mn new shares pending EGX listing. Wafa has also committed to purchasing any remaining shares not tendered at the same EGP 40 price within six months of the bid closing should a shareholder notify the company of their intention to sell.Wafa Assurance is also looking to take Delta Ins. private, with plans to delist the company from the EGX following the acquisition, according to the disclosure.The Moroccan ins. player also plans to merge Delta Life Assurance — a subsidiary of Delta Ins. — with its own life ins. arm within two months of closing the transaction, or a maximum of six months from filing a request with the FRA.

MENA dealmaking surged in 1Q, with M&As jumping 66% y-o-y in value to USD 46 bn across 225 transactions (up 31% y-o-y) driven by “regulatory reforms, policy shift and a favorable macroeconomic outlook,” EY MENA Leader Brad Watson said in the firm’s latest M&A Insights report. The UAE dominated the region’s M&A league table as the top target country in 1Q with 63 transactions totaling USD 20.3 bn, followed by Kuwait (USD 2.3 bn).Cross-border activity hit a five-year high in 1Q, driving the bulk of growth. M&As with companies based in different countries accounted for 81% of the region’s total transaction value and 52% of volume across 117 plays in the first three months of the year. The value of domestic transactions hit USD 8.7 bn, up 5x y-o-y. Transactions in the technology sector accounted for 37% of total domestic M&As value, and 27% of their volume. G42’s USD 2.2 bn acquisition of a 40% stake in Khazna Data Centers was the region’s largest domestic M&A last quarter. The quarter saw more M&A capital outflows than inflows. Outbound M&A activity hit USD 19.7 bn, representing 43% of total transaction value in the region. Saudi Arabia and the UAE alone made up 77% of outbound activity by volume and 94% by value. The UK was the region’s top target country by dealcount in 1Q, while Canada and Peru led in outbound value, thanks to Adnoc and OMV’s joint acquisition of Canada’s Nova Chemicals for USD 6.3 bn.Inbound M&A value clocked in at USD 17.6 bn last quarter, representing a 7x y-o-y increase.The UAE captured the bulk of inbound funds into the region, accounting for 53% of all inbound transactions and nearly all of the total value (99%) fueled by the USD 60 bn merger of Adnoc and Austrian energy giant OMV’s polyolefin businesses. Austria topped the investor chart, making up 94% of the UAE’s total inbound value. The MENA M&A pipeline looks strong for the rest of 2025, with more action expected in consumer, tech, and energy. And with AI set to shake up how value is created, it’s expected that more investment will flow into the tech space, said Anil Menon, EY’s head of M&A and Equity Capital Markets. EGX3032,697+0.6% (YTD: +9.9%)USD (CBE)Buy 49.68Sell 49.81USD (CIB)Buy 49.70Sell 49.80Interest rates (CBE)24.00% deposit25.00% lendingTadawul10,990-0.6% (YTD: -8.7%)ADX9685-0.6% (YTD: +2.8%)DFM5481-0.2% (YTD: +6.2%)S&P 5005912-0.01% (YTD: +0.5%)FTSE 1008772+0.6% (YTD: +7.3%)Euro Stoxx 505367-0.1% (YTD: +9.6%)Brent crudeUSD 62.78-0.9%Natural gas (Nymex)USD 3.45-2.1%GoldUSD 3315.40-0.9%BTCUSD 104,677.30+0.1% (YTD: +12.0%)S&P Egypt Sovereign Bond Index875.67+1.0% (YTD: +12.6%)S&P MENA Bond & Sukuk143.56+0.1% (YTD: +2.6%)VIX (Volatility Index)18.57-3.2% (YTD: +7.0%)THE CLOSING BELL-The EGX30 rose 0.6% at Thursday’s close on turnover of EGP 5.2 bn (9.8% above the 90-day average). International investors were the sole net buyers. The index is up 9.9% YTD.In the green: Palm Hills Development (+4.6%), Beltone Holding (+3.7%), and Eastern Company (+2.7%).In the red: Telecom Egypt (-2.3%), Emaar Misr (-2.3%), and Edita (-1.8%).CORPORATE ACTIONS-EGX-listed Egyptian Modern Education Systems appointed Osoul Arabia for Investment as an independent financial advisor for its potential acquisition of a 90% stake in Al Arafa for Investment and Consultancies, replacing Elite Financial Consulting due to the latter's delay in preparing the fair value study and determining the swap ratio for both companies, according to a disclosure (pdf).

UAE-based Nas Investment Holding upped its bid price to acquire an additional 57.5% stake in EgyFert to EGP 102 per share from EGP 95, and the decision was approved by the Financial Regulatory Authority (FRA). The authority granted Nas a one-day extension for the mandatory offer until Sunday, 1 June, according to a statement (pdf).(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)The new price is 1.1% lower than the current share price of EgyptFert, which closed 5.3% higher at EGP 103.2 apiece yesterday. The offer, which could raise Nas’ stake in EgyFert to 90%, is now valued at around EGP 563 mn, by our math. REMEMBER- The transaction will be financed through Nas’ own resources. Nas doesn’t have plans to delist Egyfert from the EGX.ADVISORS- Nas enlisted Al Ahly Pharos as broker on the transaction, while MHR & Co and White & Case are providing counsel.IN OTHER M&A NEWS-Axa Egypt decided to walk away from submitting a bid to acquire a majority stake in Delta Ins., according to a statement (pdf). The withdrawal triggers a six-month cooling-off period during which the bidder is barred from launching any new tender offers for Delta Ins., the statement read. In March, the FRA granted Axa a 60-day extension to submit a mandatory offer for its now-obsolete takeover of Delta. There’s no publicly available information as to why Axa decided to pull the plug on the transaction.REMEMBER- In December, Axa registered its interest to buy up to 100% of the Egypt Kuwait Holding subsidiary at an estimated EGP 5 bn valuation, with plans to merge Delta Ins. into its Egypt operations.What’s next for Delta: Axa’s withdrawal opens the way to other bidders, including Morocco’s Wafa Assurance, which had pegged Delta’s fair share price at EGP 50 a pop — the same valuation given by Axa.ADVISORS- EFG Hermes is acting as the sell-side advisor.

CIRA Education now has until early July to submit its mandatory tender offer (MTO) to up its stake in EGX-listed subsidiary Cairo for Educational Services (CAED) after the Financial Regulatory Authority granted it a 30-working-day extension starting 21 May, the authority said in a statement (pdf). REMEMBER- CIRA is looking to increase its stake in CAED to up to 90% from the current 69.4%. CIRA is looking to snap an additional 20.6% of its subsidiary — represented in 2.5 mn shares — at an initial price tag of EGP 30 per share, putting the total transaction value at some EGP 74.2 mn by our math. CIRA plans to keep CAED listed on the exchange if the MTO goes through.IN OTHER M&A NEWS-#1- EGX-listed Ajwa Group is planning to take control of Saudi logistics firm Atco by acquiring a 70% stake through a share swap, the company’s Chairman Ahmed Tarek told Asharq Business. Not Ajwa’s first logistics venture in the Kingdom: Ajwa already owns Saudi-based Ajwa Port Services, and acquiring a majority stake in Atco is likely to achieve operational and cost synergies, giving the buyer a stronger hold in the Saudi market.Ajwa loves the Kingdom: Ajwa is set to open branches in the Kingdom within the next few months, Tarek said. #2- Elite Financial Consulting is preparing two healthcare companies for upcoming acquisitions and is currently conducting their fair value assessments, Amwal Al Ghad reports citing Elite’s Vice Chairman Tamer Hussein. One of the companies is a major orthopedic surgery hospital, while the other is a general multispecialty hospital, Hussien said.

A look at CPME’s acquisition plans: Impact investor Catalyst Partners’ SPAC Catalyst Partners Middle East (CPME) is set to acquire majority stakes in two companies — Qardy and Catalyst Partners Holding — through share swaps, after raising its authorized capital to EGP 14 bn, up from EGP 1 bn. CPME’s play: The two acquisitions are intended to drive growth in the target companies’ services including leasing, factoring, and SME lending, Catalyst Partners Chairman Maged Shawky told EnterpriseAM.REMEMBER- CPME became Egypt’s first SPAC after receiving the green light from the Financial Regulatory Authority in September 2024, before listing on the EGX two months later. The SPAC is currently listed but there’s no trading activity on its shares, CPME’s IR Head Osama Rashad told us. Acquisition #1: CPME is inching closer to closing the takeover of digital lending marketplace Qardy in a landmark SPAC transaction worth EGP 1.2 bn, according to a statement (pdf). The transaction is expected to accelerate Qadry's regional expansion and ramp up its growth plans. A share swap agreement: Egypt’s first-ever SPAC acquisition will see CPME take full ownership of Qardy through a share swap, issuing new CPME shares in exchange for 100% of Qardy’s equity. The details: The fair value of CPME was determined at a total of EGP 235 mn, while that of Qardy is EGP 1.2 bn, and the share swap ratio was set at 3.9 newly-issued CPME shares for every one share of Qardy.What we know about Qardy: Founded in July 2022, Qardy is Egypt's first online lending marketplace connecting financial institutions with micro, small, and medium enterprises (MSMEs) seeking funding. Qardy partners with national and commercial banks, as well as leasing, factoring, and microfinance companies, to offer tailored financial programs supporting MSMEs' working capital and expansion needs. The company says it has facilitated over USD 19 mn in loan transactions and serves a client base of more than 7k businesses. Acquisition #2: CPME is also gearing up to acquire a majority stake — potentially up to 100% — of Catalyst Partners Holding through a share swap valued at EGP 1.64 bn, according to a bourse disclosure (pdf). Catalyst Partners Holding shareholders will receive 32.9 newly-issued CPME shares for each share they hold.What’s next: This year, CPME will focus on closing the two acquisitions, setting strategic plans, and injecting fresh capital, Shawky said. He said last year that the SPAC was looking to acquire six to ten companies — including two fintech and NBFS firms.ADVISORS- CPME tapped our friends at Beltone Holding for their investment banking and brokerage services on the transaction and Matouk Bassiouny & Hennawy as counsel, Shawky told us. BDO Keys Financial Consulting will act as independent financial advisor and Grant Thornton as tax advisor, he added. MAGRABI TO ACQUIRE KUWAIT’S KEFAN- Egypt-born eyewear retailer Magrabi Retail Group is planning to fully acquire Kuwait-based Kefan Optics for an undisclosed sum, according to a statement (pdf). The transaction, pending regulatory approvals, will see Magrabi add 37 stores to its network, significantly expanding its presence in the Kuwaiti market, and pushing its total store count to more than 350 across the GCC and Egypt by year-end. Magrabi says it will retain the Kefan brand post-acquisition while integrating its own retail and customer service standards into the chain. ICYMI- The transaction marks Magrabi's second major retail acquisition in less than a year, following its acquisition of Dubai’s Rivoli Vision.

MaxAB-Wasoko acquired EFG Finance’s B2B e-marketplace Fatura after EFG Finance approved the acquisition, according to a statement (pdf). Following the acquisition EFG Finance will become a significant shareholder in MaxAB-Wasoko and part of its board. (Tap or click the headline above to read this story with all of the links to our background as well as external sources.)ICYMI- Egyptian B2B e-commerce platform MaxAB and Kenya-based Wasoko merged in August 2024 to create Africa’s largest network of B2B informal retailers, with more than 450k merchants connected to over 65 mn consumers across Egypt, Morocco, Kenya, Tanzania, and Rwanda.The details: The acquisition strengthens MaxAB-Wasoko’s position in Egypt by adding new cities and wholesalers to its network. The move “marks a pivotal step in MaxAB’s broader strategy to consolidate the B2B ecommerce and fintech space across Africa,” the statement read. Fatura is expected to contribute around 25% of MaxAB’s revenues in Egypt by the end of the year.What they said: “The acquisition of Fatura is more than a growth play; it’s the realization of our ambition to become the go-to, one-stop-shop for retailers throughout Africa … By bringing together operational strength, product depth, and innovative fintech offerings, we’re setting a new standard for retail across the region,” MaxAB-Wasoko CEO Belal El Megharbel said. REMEMBER- EFG Holding’s microfinance arm Tanmeyah acquired Fatura back in 2022 to grow its network of merchants and fill the B2B credit market gap.

Egypt saw the biggest jump in M&A activity across the Middle East last year, with the number of transactions rising almost 23.7% y-o-y, according to a PwC blog post. A total of 120 transactions were logged in 2024, up from 97 the year before. While that’s still below the highs of 2022, the recovery is real — and it’s being driven by a mix of fresh reforms, growing investor interest, and Gulf money flowing into the country.(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)Some big transactions helped shape the story. In hospitality, TMG’s subsidiary Icon Investments snapped up a 51% stake in Legacy Hospitality in an USD 800 mn transaction. Over in fintech, MNT-Halan pulled in USD 157.5 mn from private investors. In financial services, B Investments snagged a 70% stake in Orascom Financial Holding for just under USD 50 mn. The report also took note of the central bank’s IPO of United Bank last year as part of the government’s privatization program.There have been serious efforts to make Egypt’s regulatory environment more investor-friendly. The report cites the government’s pre-merger control regime, which was rolled out last year. The move “introduced greater clarity and predictability for investors, streamlined approvals, set clear thresholds for notification and ensured compliance with global best practices,” the report read. REFRESHER- In April 2024, cabinet approved amendments to the executive regulations of the Competition Act that set the wheels in motion on the long-awaited pre-merger control regime, signing off on bringing the regime into force the following June. Under this regime, the Egyptian Competition Authority must approve any transaction resulting in an economic concentration — including mergers, acquisitions, and full-function joint ventures — that meets certain turnover thresholds.M&A activity was also spurred by new tax incentives introduced in 2H 2024 for high-growth sectors — including tech, renewables, and manufacturing — the report notes. In September, the government introduced a new tax incentive package aimed at easing the burden on taxpayers and building greater trust in the tax system. These measures included launching a central clearing system, simplifying tax returns, and capping late payment penalties.Another major driver? Gulf money — and lots of it. The UAE’s ADQ led a USD 24 bn transaction to develop land in Ras El Hekma, which also unlocked USD 11 bn in Emirati deposits held by the Central Bank of Egypt. Saudi’s PIF in September followed up with a commitment to invest USD 5 bn, and Qatar Energy snapped a 23% stake in a Chevron-run gas block in North El Dabaa Block in November. All of these inflows point to rising Gulf confidence in Egypt’s long-term prospects.And the country is poised to sustain its M&A growth momentum in 2025 as transactions led by the private sector continue to rise, the report reads. The investment climate is expected to further improve, with potential investments emerging in finance, infrastructure, tourism and digital transformation. ETHMAR INT’L BUYS INTO ARQAAM CAPITAL- Ethmar invests in Arqaam: Abu Dhabi’s Ethmar International Holding made an undisclosed investment in Dubai-based investment bank Arqaam Capital, according to a statement (pdf). Arqaam also has offices in Egypt, Saudi Arabia, and Lebanon. The fresh capital injection will fuel Arqaam’s growth strategy across MENA, the statement said. The firm is also looking to grow its share of the equity and debt capital markets, corporate brokerage, and investor relations segments. Arqaam in Egypt: The firm had advised on a number of acquisitions and was one of the top 20 firms on the EGX brokerage league table in April with a 1.4% market share. At the moment, Arqaam is one of two firms leading real estate investment firm Bonyan’s upcoming IPO, slated for sometime this year.

Egyfert shareholders have until 25 May to sell their shares to NAS Investment Holding starting today, as part of the UAE-based company’s mandatory tender offer to increase its stake from 32.4% to up to 90%, according to a bulletin from the EGX (pdf) and a disclosure from the Financial Regulatory Authority (pdf). The transaction is valued at EGP 524.4 mn with shares priced at EGP 95 apiece, and will be financed through Nas’ own resources. Nas doesn’t have plans to delist Egyfert from the EGX.The FRA granted Egyfert 15 days to disclose its opinion on the feasibility of the offer. It also obligated the company to appoint an independent financial advisor not related to the offer and to disclose to shareholders the findings of the advisor's report at least five days before the end of the mandatory tender offer period, according to a separate disclosure (pdf).ADVISORS- Nas enlisted Al Ahly Pharos as broker on the transaction, while MHR & Co and White & Case are legal advisors.

Private equity giant Development Partners International (DPI) has taken over management of Nclude’s USD 105 mn in AUM under a fund restructuring transaction between the the Africa-focussed firm and the local fintech-focused VC, according to a statement (pdf). As general partner, DPI will both run Nclude’s existing investments and make investment decisions going forward.Not a fintech nerd? You should still care of the transaction: DPI taking over Nclude is a significant vote of confidence in the Egyptian economy. The London-based PE firm is a no-BS investor that has AUM of c. 3.1 bn and co-investments across three funds in Africa. That includes some USD 850 mn it has invested here over the last decade in big local names including MNT-Halan and Kazyon. In choosing to up its exposure to Egypt, DPI is signalling that it thinks it can make money here in the years to come. Venture capital investors typically hold investments for a longer period than do PE firms, leaving DPI Venture Capital more exposed to any potential swings in the domestic economy. DPI could have gone anywhere, and it chose here. Food for thought.It’s also big news for the continent’s fintech scene, considering that Nclude is the largest fintech-focused firm in Africa. Nclude has deployed upwards of USD 28 mn in companies including Khazna, Paymob, Connect Money, and Flapkap. The firm was set up with the help of the Central Bank of Egypt and is backed by the nation’s three largest state-owned banks, with an Egypt-first mandate that also includes the option of investing up to 30% of its commitments in startups from other African and Middle Eastern nations, with a view to helping them set up shop in Egypt. Leading the team in Egypt is Mohamed Aladdin, a GP who will manage Nclude and the DPI Venture Capital Platform. Ashley Lewis (a familiar face in the local fintech community) will oversee things as managing partner and head of DPI Venture Capital. Lewis’ mandate is to invest across the Middle East and Africa. The firm announced yesterday the launch of DPI Venture Capital, saying the push into venture capital will give it the ability to offer its investors “exposure to highly innovative growth-orientated businesses.” The launch “fulfilled our long-standing ambition to provide investors with a range of investment strategies in Africa,” DPI Co-Founder and CEO Runa Alam said. Bloomberg also has the story.

ENERGY- #1- Egypt entered into a five-year leasing agreement with Germany to charter an LNG regasification vessel — the Energos Power — which is set to dock at Ain Sokhna port by June, two sources with knowledge of the matter told EnterpriseAM. Germany — which reportedly has a charter contract for the vessel until 2032 — will lease the vessel to Egypt at an estimated cost of USD 80 mn per year to provide 500 mn cubic feet of gasification capacity per day. The government is preparing for a surge in demand over the summer months, which has led the country to target importing 155-160 shipments of LNG this year to close the gap between demand and supply. Egypt reportedly needs around 6.2 bn cubic feet per day (bcf/d), but domestic production currently only contributes 4.4 bcf/d, increasing the need for energy imports. #2- Italian energy giant Eni has plans to invest around EUR 24 bn over the next four years in Egypt, Libya, and Algeria to boost production, Reuters reports, citing comments made by CEO Claudio Descalzi during an energy conference in Italy. The investment amount will be split equally between the three countries, with each country in store for EUR 8 bn in investment. “Internal demand in these countries — because of demographic growth — is increasing at about 7-8% every year, this means they need gas ... they need investment,” he said.EXPANSION-#1- Egyptian grocery delivery startup Rabbit stepped into the Saudi market, launching a network of dark stores and setting up its GCC headquarters in Riyadh as part of a “pragmatic strategy for GCC expansion,” according to a statement (pdf). The company is targeting Saudi Arabia’s USD 60 bn food and grocery market, with plans to deliver 20 mn items across major cities by 2026. No details on the size of Rabbit’s investment in Saudi Arabia were provided.#2- Local industrial machinery manufacturer Simplex is planning to expand to Qatar and Algeria this year as part of a wider regional and international expansion plan, CEO Ahmed Shaaban told Al Borsa. Simplex is also expanding its footprint into the Saudi market, having inked an MoU with KSA’s National Industrial Development Center in January to build its first factory in the Kingdom with investments of USD 13 mn. The company has secured the funding needed for the plant, Shaaban told Al Borsa.M&A- #1- Fintech player Maseera Holding acquired local consumer finance platform Adva, making it its data and tech hub for North Africa, according to a press release. The company — which has now applied for a digital consumer finance license in Egypt — focuses on offering financing for middle- and low-income segments through an AI-driven credit scoring model that uses alternative data like mobile usage insights.REMEMBER- 2PointZero, the investment arm of Abu Dhabi’s International Holding Company, acquired Cairo-born fintech Maseera in February, pledging USD 1 bn to the local fintech to support its expansion, rebranding, and the establishment of a new Abu Dhabi-based entity under the Maseera Holding name.#2- Apex Securities is in advanced talks with Emirati institutions to sell a stake in the firm as part of a broader strategy to transform into a full-service investment bank, CEO Ahmed Turki told Al Mal. Apex, formerly MedCap Securities and Leaders Securities, set up a holdco to consolidate its brokerage and asset management arms. The firm has EGP 720 mn in assets under management. OUTSOURCING-Indian IT services company IGT Solutions has opened a new office in Egypt, as part of its expansion plan to quadruple its Egypt-based workforce to 2k employees by 2027, according to a statement (pdf) from the Information Technology Industry Development Agency. The firm currently operates a multilingual service center supporting eight languages and serves clients across sectors including travel, fintech, gaming, and e-commerce. While inaugurating the facility, ICT Minister Amr Talaat noted that Egypt now hosts over 200 global delivery centers — triple the number it had three years ago.

Regional M&A is set to pick up over the next three years -PwC survey: Corporate divestitures, regional expansion and portfolio expansion are among the key trends expected to support regional M&A activity, which is expected to pick up after a sluggish 2024, PwC said in its latest report (pdf), citing LSEG Refinitiv data. While the region saw a 4% y-o-y decline in volume of M&A activity in 2024, which is still narrower than the 17% global decline, a PwC annual CEO survey showed that more than half of regional business leaders plan to engage in M&A transactions in the next three years. (Tap or click the headline above to read this story with all of the links to our background as well as external sources.)ICYMI- EY recently said that the MENA region saw 701 M&A transactions last year, worth USD 92.3 bn, with the bulk of activity being in the GCC. The decline came amid a dip in cross-border transactions: Cross-border outbound transactions declined 32% y-o-y to 191 transactions in 2024, with the culprits being high valuations, stricter regulations, and unfavorable market conditions. “Despite these challenges, regional champions, such as the UAE’s Mubadala and Saudi Arabia’s PIF continued their global expansion, acquiring assets across Europe, Asia, and North America.” Inbound transactions also continued their multi-year decline, falling 7% y-o-y to 182 transactions last year. This might not last too long: “The push to develop energy infrastructure, leisure, and tourism assets is expected to create new opportunities for inbound investment,” the report said.In other good news: appetite is strong for big-ticket transactions. Last year saw five transactions worth over USD 1 bn across the region, up from just one in 2023, with the largest reaching USD 3.6 bn. “The region saw a notable rise in large-ticket [transactions], reflecting the bold ambitions of investors to accelerate regional diversification, bringing in new capabilities and strategic expertise to strengthen key industries,” said Romil Radia, deals market leader at PwC Middle East. Foreign PE interest also strengthened, highlighted by Main Street Capital's USD 40 mn investment in UAE's Gulf Manufacturing to support its acquisition of Maass Global Group, and TA Associates' acquisition of a majority stake in Dubai's AlephYa Education. Private equity transactions accounted for 44% of total transaction volume. Still, corporates continued to dominate activity in 2024, representing 56% of total volume, with corporates favoring intra-regional transactions.Sovereign wealth funds topped investor charts during the year, with Mubadala investing USD 29.2 bn across 52 transactions in AI, telecom infrastructure, logistics, and data centers, among others, the report said, adding that other notable active SWFs include Saudi Arabia’s PIF and the Qatar Investment Authority (QIA).Industrial transactions dominated activity, accounting for 110 transactions — the highest number across all sectors, the report said, highlighting Adnoc's USD 3.6 bn acquisition of OCI's 50% + 1 share stake in Fertiglobe. This was followed by consumer markets and financial services tied for second spot, with 103 transactions each.Artificial intelligence + green energy are leading trends: Some of the most notable transactions in AI-driven solutions include Presight AI Holding’s acquisition of an 11% stake in Athletic Intelligence Quotient (AIQ) from Adnoc for USD 350 mn.. Another key trend driving investments in the regional M&A industry is green energy, highlighted by Masdar's acquisition of a majority stake in Terna Energy for USD 2.7 bn, the report said.MARKETS THIS MORNING- Asian markets are broadly in the green, with Japan’s Nikkei up 0.14%, South Korea’s Ksopi up 0.13%, and Hong Kong’s Hang Seng index up 0.1%. Meanwhile, China’s CSI 300 is flat. Over on Wall Street, futures are higher, indicating a possibly good week for US indices, after closing last week in the green and recovering from four weeks of losses. EGX3031,934+0.8% (YTD: +7.4%)USD (CBE) Buy 50.59Sell 50.72USD (CIB)Buy 50.59Sell 50.69Interest rates (CBE)27.25% deposit28.25% lendingTadawul11,695-0.6% (YTD: -2.8%)ADX9,3680.0% (YTD: -0.5%)DFM5,100-0.6% (YTD: -1.1%)S&P 5005668+0.1% (YTD: -3.6%)FTSE 100 8647-0.6% (YTD: -5.8%)Euro Stoxx 505424-0.5% (YTD: +10.8%)Brent crude USD 72.16+0.2%Natural gas (Nymex)USD 3.98+0.1%Gold USD 3,021.40-0.7%BTC USD 85,270+1.6% (YTD: -8.9%)THE CLOSING BELL-The EGX30 rose 0.8% at yesterday’s close on turnover of EGP 3.0 bn (13.3% below the 90-day average). Local investors were the sole net sellers. The index is up 7.4% YTD.In the green: CIB (+3.7%), Palm Hills Developments (+2.8%), and EgyptAlum (+2.7%).In the red: GB Corp (-4.1%), Eastern Company (-2.2%), and Sidpec (-1.6%).

One step closer to the Banque du Caire stake sale: Banque du Caire owner Banque Misr is seeking USD 1-1.2 bn from the direct sale of a 45% stake in BdC, a senior banking source told EnterpriseAM, implying that BdC boasts a valuation of c. USD 3 bn, according to our calculations. A separate stake could be debuted on the EGX while the parent company — Banque Misr — retains a non-controlling stake, the source told us, adding that BdC is also open to competing bids from strategic investors.One suitor is in line: Emirates NBD is currently conducting its due diligence of the state-owned lender as the Dubai-listed lender looks to acquire an undisclosed stake in the state-owned bank. This comes after the government turned down a separate offer by an unnamed Kuwait-based bidder, Asharq Business reports, citing two unnamed sources it says have knowledge of the matter. The transaction is expected to reach a close in a matter of six weeks, according to the news outlet. BACKGROUND- Plans to sell part of Banque du Caire have been floated — and repeatedly delayed — since 2018. The government has continued to position BdC as a prime privatization target, with Prime Minister Moustafa Madbouly highlighting it in December as one of ten state-owned companies — including fellow banking sector stalwart Alexbank — slated for stake sales in 2025.Last we heard: Sourced had told Al Shorouk last month that Emirati and Kuwaiti financial institutions have begun due diligence to acquire at least 60% of Banque du Caire. The state was said to be looking to exit the lender in 2Q 2025, with CI Capital reportedly appointed as the financial advisor for the sale.Our take: Don’t hold your breath for an IPO. BdC is not just one of the nation’s largest lenders, it’s among the crown jewels of the financial system, and the central bank together with management has long invested in preparing it for sale. With the 2025 IPO climate shrouded in uncertainty, the odds of the state getting the best possible valuation (to say nothing of finding a good “corporate parent” for the bank) would be maximized by selling Banque du Caire to a qualified strategic — ideally an Emirati one.The caveat: Unresolved issues over BdC’s Sinai-based assets — which under Egyptian law cannot be owned by foreign investors — are still being worked through, with options including selling those assets to a local investor or transferring them to a state-owned bank currently under review, Asharq Business reported.Part of a wider privatization push: The transaction is unfolding against the backdrop of a broader government push to accelerate state asset sales and attract Gulf capital as part of efforts to shore up FX reserves and stabilize public finances. The potential sale would also reflect the deepening strategic alliance between Egypt and the UAE, which has already seen major investments like the Ras El Hekma project and Al Dahra’s agricultural expansion.

Al Organi Group’s ODI has acquired a 26.25% stake in Misr National Steel (Ataqa) in a EGP 1.9 bn transaction, according to a statement (pdf). The acquisition, subject to regulatory approvals and due diligence, values Ataqa at EGP 7.2 bn. (Tap or click the headline above to read this story with all of the links to our background as well as external sources.)The rationale: The acquisition comes as part of Al Organi Group’s efforts to expand its scope of activities through partnerships with industrial players like Ataqa parent company El Garhy Group. The two companies are also looking into potential cooperation in the fields of chemical industries and building materials as part of the state’s efforts to localize industry. REMEMBER- Al Organi Group has been expanding its investment portfolio as of late, most recently acquiring a 50% stake in Rolling Plus Chemical Industries to restart its EUR 1 bn tire factory in the SCZone alongside Concrete Plus. The group is also setting up construction and infrastructure projects in Egypt and abroad, under a USD 5 bn strategic agreement inked with China’s CSCEC.

The MENA region saw 701 M&A transactions last year, totaling USD 92.3 bn, with the bulk of activity in the GCC, where 580 transactions totaled for USD 90 bn, according to EY’s latest MENA M&A insights report. This marks a 3% increase in transaction count and a 7% rise in value y-o-y, likely fueled by capital market reforms, policy shifts, and growing interest from foreign investors, the report reads.Emirati and Saudi sovereign wealth funds (SWFs) remained the key drivers of dealflow in the region, with Abu Dhabi’s Mubadala Investment (along with two USA-based PE firms) clinching the heftiest cash-based M&A last year, with its USD 15.5 bn acquisition of an 80% stake in the US’ fifth largest ins. player Truist Ins. in February 2024. PIF-backed Aramco followed, with its acquisition of an additional 22.5% stake in Rabigh Refining and Petrochemical (Petro Rabigh) for USD 8.9 bn. The Abu Dhabi Investment Authority (Adia) and Mubadala were part of a consortium that acquired a 60% stake in Chinese property giant Zhuhai Wanda Commercial Management Group for USD 8.3 bn, estimated to be the region’s third largest transaction last year.Cross-border transactions topped the M&A league table, making up 52% of the total volume, and 74% of the total value of transactions. Domestic M&As accounted for 48% of total activity in the region last year with 339 transactions worth USD 24.4 bn, up only slightly from 333 in 2023. Technology and consumer products industries accounted for a combined 35% of the total domestic count.Outbound investments accounted for the lion’s share of total consolidated transaction -value (61%) with 199 transactions worth USD 56.6 bn. Inbound investments totaled USD 11.4 bn, up 42% y-o-y, across 163 transactions, up 18% y-o-y.KSA + UAE captured the bulk of inbound + total M&As: The UAE stood out as the foreign investors’ preferred M&A market in the region, locking in the highest count (96) of inbound transactions, and the highest value (USD 7.6 bn), at around 67% of the total. Combined, the UAE and Saudi Arabia were home to 318 M&A transactions worth a total of USD 29.6 bn last year.The US was the biggest bidder into the MENA region last year, logging 48 transactions worth USD 4.6 bn. The capital flowed both ways, with MENA investors also making the USA their prime destination 2024, with 41 M&As valued at USD 19.9 bn.The technology sector led inbound investments in the region last year,accounting for 23% of total inbound and domestic deal-volume. The UAE’s tech scene alone captured 35 transactions.

DFM-listed Talabat acquired 100% of Dubai-based on-demand online grocery delivery platform Instashop in a USD 32 mn related-party transaction with its Berlin-based parent company and majority shareholder Delivery Hero as part of a restructuring push, it said in a statement (pdf). Instashop will continue to operate as an independent brand, under Talabat’s grocery and retail vertical. (Tap or click the headline above to read this story with all of the links to our background as well as external sources.)The cash-based transaction was financed by Talabat’s internal reserves, with the amount reflecting Instashop’s capital amount rather than its fair value. The company was valued at USD 360 mn — USD 270 mn paid upfront, with the rest deferred and tied to Instashop’s future performance — when it was bought by Delivery Hero in 2020 — making it a favorable acquisition for Talabat’s shareholders. Instashop operates in the UAE and Egypt.REMEMBER- Talabat listed a 20% stake on the DFM in a USD 2 bn IPO last December.It’s all about creating synergies: Talabat expects the transaction to result in operational and technology synergies across both businesses, with streamlined delivery and product operations once integration, which is currently underway, is complete.The acquisition put Talabat’s gross merchandise value — the total value of all goods sold — in 2024 at USD 2.5 bn on a pro forma basis. Instashop’s GMV rose 16% y-o-y to USD 631 mn last year, equivalent to 8% of talabat's 2024 GMV, with positive and improving EBITDA margins, according to the statement.Market reax: Talabat’s stock closed down 0.7% on Thursday following the news to trade at AED 1.53.

Hello all you wonderful people, and happy Thursday. We have a relatively brisk issue for you to close out the work week, with all the latest on Talabat’s acquisition of Instashop, the best ads to watch this Ramadan season, and the food industry’s Machiavellian plans to develop foods that circumvent the effects of weight-loss drugs like Ozempic.THE BIG STORY TODAY DFM-listed Talabat acquired 100% of Dubai-based on-demand grocery delivery marketplace Instashop in a related-party transaction from its Berlin-based parent company and majority shareholder Delivery Hero as part of a restructuring push, it said in a statement (pdf). Instashop will continue to operate as an independent brand, under Talabat’s grocery and retail vertical. The sale and purchase agreement was first announced in September 2024, according to the statement. The cash-based transaction was valued at USD 32 mn which was financed by Talabat’s internal reserves, with the amount reflecting Instashop’s capital amount rather than its fair value, the statement reads. Good news for Talabat’s public shareholders? The purchase price is a discount from the valuation price (USD 360 mn) at which Delivery Hero bought Instashop back in 2020. This could be viewed favorably by the public shareholders of Talabat which took a 20% stake to market in USD 2 bn IPO in December 2024. It’s noteworthy that the valuation amount was paid by Delivery Hero through an initial payment of USD 270 mn, while the remaining amount was tied to Instashop’s future performance through an earnout clause.THE BIG STORY ABROADThe EU’s 27 national leaders are meeting in Brussels today alongside Ukrainian President Volodymyr Zelenskiy to pledge support for Ukraine and plans to ramp up European defense spending, following US President Donald Trump’s suspension of military aid to Kyiv earlier this week. The meeting aims to offer political backing to several European Commission proposals unveiled earlier this week that could see EUR 800 bn mobilized for regional defense, including a EUR 150 bn fund earmarked for member-country defense borrowing. Get Enterprise daily The roundup of news and trends that move your markets and shape corporate agendas delivered straight to your inbox. Subscribe here ** CATCH UP QUICK on the top stories from today’s EnterpriseAM:Egypt’s inflation is expected to have cooled significantly in February, with analysts only divided over just how far the month’s annual headline urban inflation reading will fall.A whole lot of Cypriot gas will be coming our way by the end of the decade: Egypt’s liquefied in facilities will start receiving 400 mn cubic feet per day (mcf/d) from Cyprus’ Cronos gas field starting mid-2027 and another 500 mcf\d of gas from the country’s Aphrodite field by 2030.Al Ismaelia targets USD 100 mn in fresh funding:Ismailia for Real Estate Investment is looking to boost its EGP 385 mn capital by USD 50-100 mn through a regional funding round in 2H 2025.☀️ TOMORROW’S WEATHER- Things are starting to warm up in the capital, with tomorrow’s mercury set to rise to 23°C before dipping to a chilly low of 13°C at night, according to our favorite weather app.

Global private equity fundraising took a hit in 2024, with buyout funds securing 23% less capital than the previous year as the tighter rate environment and a slowdown in exits led to weaker capital distributions, prompting LPs to scale back new commitments, according to Bain & Company’s global private equity report (pdf). “While global buyout AUM has tripled over the past decade, distributions as a percentage of net asset value have fallen from an average of 29% from 2014 to 2017 to 11% today,” the report reads.Global buyout assets under management (AUM) dipped for the first time on record — since Bain began tracking industry assets in 2005 — to USD 4.7 tn as of June 2024, down 2% y-o-y. Still, 2024 saw higher buyouts + more exits: The total value of buyouts was up 37% y-o-y to USD 602 bn last year (excluding add-on transactions) with an increase in transaction count. Exits were also up 34% with transactions worth a total of USD 468 bn, with an increase in exit count over the same period, according to the report. The number of closed funds dropped, and over a third of those that did close had been fundraising for two years or more. Limited partners (LPs) prioritized established firms with strong track records, making it tougher for smaller or newer funds to attract capital, Bain said. The key takeaway: GPs will need to differentiate themselves through operational value creation rather than relying on financial engineering, Bain advised. Mega-funds and sector specialists are expected to lead in fundraising, while generalist strategies are more likely to face headwinds, according to the report.“That spells a clear mandate for GPs: If you can’t offer investors a differentiated value proposition, raising your next fund is going to be a serious challenge,” according to the report.GPs have already started to get creative, leveraging minority stake sales, dividend recaps, secondaries, and NAV loans — strategies that have already generated USD 360 bn last year without full divestments. A bumpy year ahead: “It won’t all be better in 2025 [...] it's a three- or four-year problem,” Chair of Bain’s global private equity practice, Hugh MacArthur told the Financial Times, adding that “the pace of liquidity coming back to [fund investors] continues to be stressed.”MARKETS THIS MORNING- Asian markets opened higher this morning, tracking gains on Wall Street following US President Donald Trump’s decision to delay tariffs on some automakers. Japan’s Nikkei and the Topix were both up nearly 0.8%, while South Korea’s Kospi was up 0.6% and Hong Kong’s Hang Seng was up 2% on the back of rallying tech stocks. Over on Wall Street, futures are dipping slightly as a volatile week of trading nears its end. EGX3030,876+0.4% (YTD: +3.8%)USD (CBE)Buy 50.62Sell 50.75USD (CIB)Buy 50.62Sell 50.72Interest rates (CBE)27.25% deposit28.25% lendingTadawul11,899-0.3% (YTD: -1.1%)ADX9,557-0.4% (YTD: +1.5%)DFM5,313-0.8% (YTD: +3.0%)S&P 5005,843+1.1% (YTD: -0.7%)FTSE 1008,7560.0% (YTD: +7.1%)Euro Stoxx 505,489+2.0% (YTD: +12.1%)Brent crudeUSD 69.39-2.3%Natural gas (Nymex)USD 4.47+2.9%GoldUSD 2,926+0.2%BTCUSD 90,217-3.1% (YTD: -3.5%)THE CLOSING BELL-The EGX30 rose 0.4% at yesterday’s close on turnover of EGP 2.9 bn (17.9% below the 90-day average). Regional investors were the sole net buyers. The index is up 3.8% YTD.In the green: Orascom Development Egypt (+2.6%), Eastern Company (+2.2%), and CIB (+1.6%).In the red: Emaar Misr (-2.3%), Fawry (-2.1%), and Sidpec (-1.9%).CORPORATE ACTIONS-#1- Dairy maker Domty’s board approved a dividend payout proposal of EGP 0.85 per share, which will now be sent to the ordinary general assembly for approval, the company said in an EGX disclosure (pdf).#2- Shareholders of Arab Developers Holding will be able to subscribe to the rights issue of 6.2 bn new shares with a nominal value of EGP 0.10 per share from 19 March to 17 April, according to a disclosure (pdf). The issuance will see the company’s capital nearly double to EGP 1.4 bn. The subscription rights will be separately tradable from 19 March to 14 April.

REAL ESTATE- PHD is heading to Abu Dhabi: Real estate developer Palm Hills Developments’ (PHD) board approved the company’s expansion to the UAE via the establishment of a subsidiary and wholly owned limited liability company in Abu Dhabi, according to an EGX disclosure (pdf). (Tap or click the headline above to read this story with all of the links to our background as well as external sources.)ICYMI: Palm Hills established its new Saudi branch last August and has plans to develop urban projects and 15 international schools in the kingdom under an agreement with Saudi investment group Dallah Albaraka subsidiary Dallah Real Estate. M&A- Dirac Systems revealed to be the latest in a string of startups freshly acquired by Fawry: Fintech giant Fawry has nabbed a majority stake (51%) in Dirac Systems, an enterprise resource planning (ERP) software company, as part of its wider push to acquire startups that offer complementary services, it said in a press release (pdf). The move follows Fawry’s acquisition of a 56% stake in financial services and accounting firm Virtual CFO and a 51% stake in local hospitality and medical institutions manager Code Zone. Combined, the investment tally landed at EGP 80 mn. The pitch: “These investments reinforce Fawry’s position as a one-stop digital business solutions provider by expanding “Fawry Business” suite in ERP and financial management tools, seamless digital payment integrations with advanced accounting and HR solutions, and tailored fintech innovations for SMEs, and large enterprises,” Fawry CEO Ashraf Sabry said. STARTUPS-Design and furnishing made easy: Valu, The Mob Collective, and Le Marché have launched Dream Space, a platform offering designer-curated home furnishing packages with transparent pricing and flexible financing, the companies said in a press release (pdf). The platform gives customers the chance to choose from ready-made room packages in various design styles, crafted by The Mob Collective. Le Marché will provide access to premium furniture brands, while Valu will offer tailored payment plans with its lowest-ever interest rates, extending up to 60 months. The initiative aims to simplify home furnishing by eliminating the complexity of sourcing individual pieces. EXPANSION-Elsewedy lands a major Hungarian power plant contract: Elsewedy Electric has been awarded an engineering, procurement, and construction contract for a combined cycle power plant in Hungary, by MVM Matra Energia — a subsidiary of Hungarian Electric Company, according to a press release (pdf). What we know: The project — set to be Hungary's largest combined cycle power plant in decades and the country's first hydrogen fuel-ready plant — marks Elsewedy Electric’s first major venture in Europe. Elsewedy is part of a consortium that includes two other Hungarian companies. The project is set for completion by 2028.ENERGY-The Oil Ministry has concluded the tender for 13 blocks, with submitted proposals exceeding USD 700 mn worth of investments, according to a statement. The bids come as part of a wider offering of 61 potential investments. The bids will be evaluated and announced within 1-2 months.

UAE’s Aghthia takes bigger bite of Abu Auf: ADX-listed food giant Aghthia Group nabbed an additional 10% stake in homegrown snack-maker Abu Auf, bringing its total holding in the specialty nut and date processor to 80%, it said in a filing (pdf) to the ADX. The financial terms of the transaction were not disclosed. (Tap or click the headline above to read this story with all of the links to our background as well as external sources.)Not the first we’re hearing of it: Aghthia — majority-owned by Abu Dhabi sovereign wealth fund ADQ — has been gradually upping its stake in the company. The Emirati food giant first acquired a 60% interest in Abu Auf back in 2022 before it secured another 10% in February 2024.The move strengthens Agthia’s foothold in Egypt’s fast-growing food market and bolsters its local operations, which contributed 20% of total revenues in 2024, up from 15-16% the previous year, despite economic headwinds.Abu Auf, by the numbers: Abu Auf has expanded aggressively since the acquisition, opening 100 new stores over the past two years. The company reported a 33% y-o-y jump in revenues in 2024 in AED, despite the float of the EGP, with EBITDA soaring by over 70% y-o-y in AED terms.What they said: “With Agthia’s scale and expertise, Abu Auf has accelerated on the growth journey and remains firmly committed to continued innovation and expansion,” Abu Auf CEO Ahmed Auf said.