Firm linked to Egypt’s billionaire El-Sewedy family secures $50-million EBRD loan
El Sewedy Electric, a multinational cable and electrical equipment manufacturer led and majority-owned by the Egyptian billionaire El-Sewedy family, has successfully obtained a $50 million loan from the European Bank for Reconstruction and Development (EBRD).
The loan, which was secured by United Metals Company (UMC), a subsidiary of Elsewedy Electric, is set to bolster the company’s working capital and facilitate the import of copper cathodes, a crucial component for cable production.
The newly secured $50-million loan from EBRD will further enhance Elsewedy Electric’s ability to meet the growing demand for cables and electrical equipment in the region. This aligns with the company’s commitment to supporting infrastructure development and electrification projects in the Middle East and North Africa.
Established in 1938 by the El-Sewedy family, Elsewedy Electric is a prominent player in the manufacturing of electrical equipment, contributing to numerous projects across the Middle East and North Africa.
Ahmed El-Sewedy and his siblings, Sadek and Mohammed, maintain a controlling and beneficial stake of 68.1 percent in the company, equivalent to a staggering 1,478,358,330 ordinary shares valued at nearly $1 billion.
As one of the leading entities in the electrical equipment manufacturing industry, Elsewedy Electric has played a pivotal role in the development of electrical projects throughout the Middle East and North Africa.
The company’s involvement in various development projects in these regions has significantly contributed to its financial success in recent years. This success is attributed to a strong award pipeline and pricing strategies sensitive to macroeconomic inflation pressures.
In the first half of 2023, Elsewedy Electric, under the leadership of the El-Sewedy family, achieved net profits totaling EGP5.56 billion ($180 million), marking an extraordinary annual leap of 194.8 percent compared to the EGP1.88-billion ($60.8 million) profit recorded in the same period of 2022.