Suez Industrial Development Company (SIDC), a subsidiary of Orascom Construction, has signed an agreement to establish an industrial park in Egypt with Al Ahly Capital Holding, an investment arm of the National Bank of Egypt.
Orascom Construction is an international engineering and construction firm, with operations and investments in the Middle East, Africa, and the United States.
Nassef Sawiris, Egypt’s richest man, owns 28.97 percent of the company, or 33,825,323 ordinary shares, while OS Private Trust Company owns 51.8 percent of the Egypt-based contractor for the Sawiris family’s benefit.
According to a press release issued on Monday, the industrial park, which will be located in Abu Rawash, Giza, will be built over 2.2 million square meters. The park is expected to become a hub for various sectors, including logistics, light industries, and SMEs.
SIDC, an Orascom Construction subsidiary, will own a 25-percent stake in the industrial park as part of the deal.
Hisham Okasha, chairman of NBE, commented on the strategic agreement with SIDC, stating that the industrial park development project is consistent with Al Ahly Capital Holding and NBE Group’s strategy of directly contributing to industrial localization.
Osama Bishai, CEO of Orascom Construction, stated that the project will pave the way for a successful collaboration between two leading public and private sector entities aimed at increasing new industrial investments in Egypt.
According to recently published financial results, the leading engineering and construction behemoth reported a profit of $15.3 million in the first quarter of 2022, down more than 43.1 percent from the $26.9 million in profit reported in the first quarter of 2021.
The board proposed a $27-million dividend distribution to be paid in the third quarter of 2022 as part of its commitment to shareholders. This is the fifth year in a row that the company has paid dividends.
