Abu Dhabi port operator acquires stake in Egyptian shipping firms
Gulf countries are interested in buying Egyptian assets as the country’s economy falters.
The Abu Dhabi-based port operator AD Ports Group has acquired a stake in two Egyptian companies.
AD Ports Group announced today agreements to acquire a 70% stake in International Associated Cargo Carrier B.V., which owns the Egyptian shipping company Transmar and the Egyptian cargo company TCI. AD Ports Group paid just under $140 million for the stake, according to a series of tweets.
AD Ports Group is part of Abu Dhabi Developmental Holding, aka ADQ, which is a sovereign wealth fund of the United Arab Emirates (UAE).
Why it matters: Gulf entities have shown an interest in buying Egyptian firms recently. The Egyptian government recently decided to list some state-owned companies for sale, which has attracted buyers from the UAE, Saudi Arabia and Qatar. ADQ already acquired a stake in Egypt's Commercial International Bank in April.
