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El Sewedy Electric, a multinational cable and electrical equipment manufacturer led by Egyptian businessman Ahmed El Sewedy, has signed a new contract with Egyptian International Pharmaceutical Industries (EIPICO) worth EGP418 million ($21.5 million).
The multimillion-dollar contract for the construction of EIPICO Factory 3 was signed through Rowad Modern Engineering, a subsidiary of Elsewedy Electric, and will be carried out on a turnkey basis over a 13-month period beginning with the signing date.
When completed, the EIPICO Factory 3 will be the largest and first factory in Egypt and the Middle East to produce biological and biosimilar alternatives and medicines. It will be located on the 10th of Ramadan City and will cover an area of 10,000 square meters.
EIPICO is a leading Egyptian pharmaceutical company that manufactures 400 pharmaceutical products across 25 therapeutic classes. It is the leading supplier of antibiotics, lyophilized products, and spansule capsules to the Egyptian market.
The addition of the new contract to El Sewedy Electric’s project pipelines follows the signing of three new contracts worth a combined EGP 2.2 billion ($113.7 million) by the international electrical equipment manufacturer to complete the South Valley development project in Toshka, Egypt.
While the new contract will add to El Sewedy Electric’s backlog of projects in Egypt, the completion of the plant will cement EIPICO’s position as one of the leading players in the Egyptian pharmaceutical industry, as it moves to cement its position as the company’s leading exporter of pharmaceutical products.
The Middle East and North Africa as a whole, as well as Egypt specifically, have seen a number of development projects in recent years, with Ahmed El Sewedy’s El Sewedy Electric at the forefront of many of them.
This has had a big impact on how financially successful the company has been in recent years, as it continues to reap the rewards of a strong award pipeline and pricing strategies that are sensitive to pressures from macroeconomic inflation.
As a result of this, the group’s revenue increased by 51 percent in the first quarter of 2022, from EGP12.3 billion ($661 million) to EGP18.57 billion ($998 million), thanks to a 64-percent increase in turnkey project revenue and a 47.5-percent increase in wire and cable sales.
