Egypt Aluminum to offer 65% of its capital hike to Arab sovereign fund

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Cairo – Egypt Aluminum announced that it will offer 65% of the restoration cost, totaling $300 million ($200 million), to an Arab sovereign fund.

This will be done by increasing the company’s capital to finance its development and maintain the current production capacity at 320,000 tonnes per year, according to a bourse statement on Wednesday.

The statement was made after the Head of the Metallurgical Industries Holding Co. (MIH) revealed to an Egyptian television channel the company’s intention to offer 65% of its capital raise to an Arab sovereign fund.

Last month, Egypt Aluminum made a statement in line with the news reporting that Saudi Arabia’s Public Investment Fund (PIF) aims to invest in it.

Egypt Aluminum revealed that it is currently studying increasing the company’s capital, adding that it will present the transaction to a strategic investor.

During fiscal year (FY) 2021/2022, net profits of Egypt Aluminum amounted to EGP 2.42 billion, compared to profits of EGP 28.27 million during the twelve-month period ended 30 June 2021.