The Qatar Investment Authority’s Maha Capital has submitted an offer to acquire majority stakes in two state-owned terminal operators in Egypt, the Al-Mal economic newspaper reported.
Quoting unnamed sources, Al-Mal said Maha Capital submitted an offer to acquire major stakes in terminal operators Port Said Containers & Cargo Holding Company (PSCCHC) and Damietta Container & Cargo Handling Company (DCHC), both subsidiaries of the Holding Company for Maritime Transport.
According to the sources, the offer came after representatives of the Qatari company visited the port of Damietta and Port Said last October, a month after signing a memorandum of understanding with the Egyptian Ministry of Transport to explore investment opportunities in Egyptian ports.
The sources said the Egyptian ministry had reservations about relinquishing control in the two companies, but it was likely that the two sides would reach an agreement where the Qatar Investment Authority would acquire smaller shares while the Egyptian government retains a majority stake.
Port Said Containers & Cargo Holding Company (PSCCHC) operates the West Port Said container terminal, which plays an important role in the Egyptian maritime transport market.
Qatar had pledged to invest $5 billion in Egypt as part of a Gulf investment package to support Cairo in the face of the severe economic repercussions resulting from the coronavirus pandemic and the war in Ukraine.