- The Egyptian government is reportedly planning to offload up to 40 per cent of the Gabal El Zeit Wind Power Plant Company on the Egyptian Exchange.
- Gabal El-Zeit stands among the Middle East’s largest wind farms with a total installed capacity exceeding 580MW.
The Egyptian government is reportedly planning to offload up to 40 per cent of the Gabal El Zeit Wind Power Plant Company on the Egyptian Exchange before the end of the year.
The decision follows the government’s withdrawal from talks to sell the company to UK-based global investment company Actis, Al Borsa, an Egyptian financial daily, reported.
Actis had proposed between $300 million and $340 million for the company before negotiations broke down over pricing and contractual terms, the report said, citing unnamed sources.
The share sale process is already in progress and expected to conclude in the coming weeks.
The planned IPO backs Egypt’s strategy to deepen capital market activity and channel both domestic and foreign funds into renewable energy assets.
Gabal El-Zeit stands among the Middle East’s largest wind farms with a total installed capacity exceeding 580MW.
The potential IPO is part of Egypt’s public offerings programme, which aims to draw new capital to the Egyptian Exchange (EGX) and increase private sector participation in managing and owning productive and service-orientated assets.
The move will enhance the company’s operational efficiency, improve transparency and align financial reporting with EGX standards, the report said.
The final valuation of the company is expected to be finalised within the next few weeks.
The International Finance Corporation, part of the World Bank, signed an agreement in 2023 to advise the Egyptian government on its sell-off programme.
In the same year, Egypt’s assistant prime minister, Osama El Gohary, said that the country intended to divest stakes in 250 companies under its privatisation programme.
Egypt’s main index, the EGX 30, is up 27.5 percent year to date, having risen 19.5 percent last year.