Saudi Arabia, UAE, Qatar vie for stake in Egypt power plant, fuel distribution firm after investment pledges: report – ArabianBusiness

Saudi Arabia, UAE, Qatar vie for stake in Egypt power plant, fuel distribution firm after investment pledges: report – ArabianBusiness

Gulf nations are interested in buying stakes in a fuel-distribution company owned by the Egyptian army, as well as a power plant co-built by Siemens AG, among their multi-billion-dollar investment pledges, according to Ayman Soliman, the CEO of the Sovereign Fund of Egypt (SFE).

“Several international investors, including Gulf sovereign wealth funds, have showed interest in Wataniya and the Siemens-built power plant,” Ayman Soliman told Bloomberg.

The sales are planned for 2022 through either an initial public offering, a partnership with a strategic investor, or a combination of both.

“I see that we should secure a strategic investor ahead of the IPO,” Soliman said. “The IPO could be achieved through a private placement to sovereign wealth funds.”

Saudi Arabia’s Public Investment Fund (PIF), the Qatar Investment Authority, and ADQ have all “expressed interest in supporting and accelerating Egypt’s IPO programme,” Soliman said.

Oil-rich Gulf countries are looking to bolster Egypt’s economy as the major food importer has been hit hard by record grain prices fueled by the Russia-Ukraine conflict, and is seeking help from the International Monetary Fund (IMF) to shore up its economy. 

Saudi Arabia pledged $15 billion to support