The Egyptian Cabinet had approved the sale of the Egyptian Gas Holding Company (GASCO) stake in the Misr Fertilizer Production Company (MOPCO), for the benefit of the Saudi Investment Fund, reported Russia Today, citing Egyptian local media.
The sources confirmed that the deal is estimated at EGP one billion and 299,154,470 (two hundred and ninety-nine million one hundred and fifty-four thousand four hundred and seventy pounds), in exchange for buying the entire stake of GASCO in the Misr Fertilizer Production Company (MOPCO), which represents 5.72% of the company’s total shares, by 13 million and 100 thousand and 277 shares.
The entry of the Saudi Investment Fund, comes after the Abu Dhabi Investment Holding Company (Alpha Oryx Limited) that acquired 20% of the company’s shares from the Ministry of Finance’s share, to decrease to 6% instead of 26%, last April, at $266.5 million, at a price of $5.8 per share.
The Rassd News Network also reported that “Saudi Arabia acquires the stake of the Egyptian Gas Holding Company (GASCO) in the Misr Fertilizer Production Company (MOPCO) for a billion and 300 million pounds, according to local newspapers.”
MOPCO revenues increased by 40% in 2021
Misr Fertilizer Production Company (MOPCO) on 7 April announced that it has achieved total revenues of around EGP 10.3 billion in 2021, an increase of 40% over the previous year.
This came during a general assembly to review the company’s performance in 2021. MOPCO’s Chairman Ibrahim Mekky praised the efforts made by all employees leading to the achievement of the production plan despite the many challenges that the year witnessed, as it was able to fulfill its obligations and continue marketing its products internally and externally.
Mekky also explained the future plans for development, expansion, and raising production capacity. MOPCO is currently implementing three integrative projects to achieve the highest added value of natural gas and its products, achieve sustainability and preserve the environment. He also discussed a project to establish a unit for the recovery of carbon dioxide from stacks (CO2 Recovery).
He added that there is a project to increase the production capacity of urea and ammonia producers (UREA & AMONIAREVAMP) with a quantity of 109,000 tons per year of ammonia and 190,000 tons of urea. This is in addition to a project to establish a factory for the production of melamine used in adhesives for the manufacture of wood and high-resistance concrete.
The excess urea quantities will be used in value-added projects such as the methanol derivatives project of the Suez Methanol Derivatives Company (SMD), and the melamine project, Mekky added.
The general assembly was attended by Saad Helal, Chairman of the Egyptian Petrochemical Holding Company (ECHEM), representatives of the Financial Supervisory Authority and the Central Auditing Organization, as well as representatives of major shareholders and the public offering.