Egyptian businessman Hani Berzi’s Edita secures $45-million loan from IFC

Yusuf Abdulfatai -

Edita Food Industries, a Cairo-based consumer goods conglomerate led by Egyptian multimillionaire businessman Hani Berzi, has finalized a finance agreement with the International Finance Corporation (IFC), securing a long-term loan totaling $45 million.

The agreement, valued at $45 million, encompasses a term of eight years. This substantial injection of capital will serve a dual purpose for Edita, bolstering its working capital requirements and fueling capital expenditure initiatives in Egypt and Morocco.

This strategic move aligns with Edita’s international expansion strategy, complementing its recent achievement of securing two loans totaling EGP390 million ($12.6 million), with a seven-year tenure, dedicated to financing new investments.

Notably, these financial maneuvers are also aimed at facilitating the repayment of up to $10 million from a previously granted IFC loan.

Edita holds a commanding presence in Egypt’s packaged snack food market. Renowned for its assortment of branded snack products, including packaged cakes, croissants, rusks (baked wheat), and wafers, the company has established an extensive retail channel across the nation.

Berzi, the visionary founder of the conglomerate in 1996, presently serves as its chairman and managing director, with a substantial ownership stake of 41.95 percent through Quantum Invest BV.

Under Berzi’s leadership, Edita Food Industries experienced a remarkable upswing of 92.8 percent in profit. In 2022, the conglomerate’s profits surged from EGP528.9 million ($17.1 million) in 2021 to a staggering EGP1.02 billion ($33.01 million).

This meteoric rise in profitability was attributed to increased revenue, driven by favorable pricing dynamics and heightened consumer demand for Edita’s wide-ranging product portfolio.

In its relentless pursuit to solidify its position within the fiercely competitive fast-moving consumer goods industry, Edita unveiled an ambitious plan earlier this year. It aims to inject nearly EGP800 million ($25.9 million) into its operations in 2023, reinforcing its market leadership and expanding its footprint throughout the region.