(Cairo, Egypt) – Professionals Investment Banking (PIB), a leading boutique investment bank in Egypt, has entered into a memorandum of understanding to provide the Saudi-Egyptian Business Council with advisory services and feasibility studies for the establishment of three Egyptian shareholding companies with total investment of up to EGP 4 billion.
The companies will work to promote trade ties between Egypt, Saudi Arabia and other GCC countries; identify investment opportunities within Egypt in industry, agriculture and the service sector; and provide skilled human resources, particularly in the medical and rehabilitation fields.
Under the terms of the agreement, PIB will carry out full economic and financial feasibility studies for the three companies and market the opportunities to qualified investors.
PIB will also deliver market studies on high-growth sectors of the Egyptian, Saudi and GCC markets to draw opportunities into sharper relief.
“We are honored to have won the trust of the Saudi-Egyptian Business Council for a mandate of clear national importance,” said PIB Founder and Chairman Nasr Abu El Abbas.
The first company, which will undertake the Egyptian-Saudi Export Development Project, has a proposed capital investment of EGP 1 billion and will work to deepen trade ties between the two historic allies. The company will also work to grow Egypt’s trade with the GCC and with other export markets. The company will line-up market opportunities and be responsible for preparing feasibility studies and marketing strategies.
The second company – also with a projected investment of EGP 1 billion – aims to provide medical services and support to Egypt and the GCC through the education, training and employment of qualified graduates of professional and technical programs. The entity will search for investment opportunities in the field of education, aiding in the development of skills needed by hospitals, psychiatric centers, rehabilitation centers, and diagnostic radiology.
Finally, the third company targets the generation of long-term returns through the formation of new businesses to take advantage of investment opportunities available in Egypt, with a starting capital of EGP 2 billion. This entity plans to finance the expansion of existing companies, whether in Egypt or the GCC, as well as governmental megaprojects and small and micro-enterprise investments.
Saudi investments in Egypt currently total about USD 27 billion, with an estimated 3,000 companies supporting more than two million jobs. The signed agreement is a testament to the confidence placed in President Abdel Fattah Al-Sisi and the Egyptian government to overcome obstacles standing in the way of regional investments.