Pioneers Properties for Urban Development, a real estate development firm led by Egyptian businessman Waleed Zaki, has reported a revenue of EGP8.6 billion ($278.3 million) during its inaugural reporting period between Sept. 8, 2021 and Dec. 31, 2022.
The company’s success can be attributed to the recent devaluation of the Egyptian pound, which has made the country’s real estate market more attractive. As a result of its performance, the real estate developer posted a profit of EGP 217.3 million ($7.03 million).
Other players in the real estate industry, such as Palm Hills, led by billionaire Yasseen Mansour, and MNHD, led by Abdallah Sallam, have also benefited from the currency’s devaluation, leading to impressive performances across the sector.
Pioneers Properties’ $22.4-million bond offering signals major expansion ahead
Pioneers Properties, a real estate subsidiary of Egyptian diversified group Aspire Capital Holding, owes its expansion into the real estate and financial markets to the leadership of its founder and chairman, Waleed Zaki, who previously headed Pioneers Holding Company.
In a bid to increase its share of the Egyptian real estate market, Pioneers Properties completed its EGP3-billion ($158.3 million) bond program, which included an EGP425-million ($22.4 million) securitized bond issuance eight months ago. The move was aimed at boosting the company’s operational capacity and supporting its operations.
Zaki, Pioneers Properties chairperson, and CEO stated that the bond issuance is a key part of the group’s strategy to expand its market share and client base, as well as to explore diverse funding solutions to increase its capacities and capitalize on the growing demand in the real estate sector.
Waleed Zaki loses $670,000 in a week as Pioneers Properties’ stake takes a hit
Despite its impressive financial performance, some investors recently sold off a fraction of their stakes in Pioneers Properties, leading to a 4.55 percent decline in the company’s share price during the week, from EGP 2.2 ($0.0713) to EGP 2.1 ($0.0681).
This decline caused Pioneers Properties’ market capitalization on the Egyptian Exchange to fall below the EGP 2.3 billion ($74 million) mark. Additionally, the market value of Zaki’s 19.8-percent stake in Pioneers Properties fell by EGP20.9 million ($677,500) during the week.Â
Despite the recent drop, his current estimated market value stands at $14.2 million, making him one of the richest investors on the Egyptian Exchange.
