Aabar buys stake in Palm Hills Development
Deal reflects the regaining of investor confidence in Egyptian economy
UAE-based Aabar Investments PJS has bought a 5.1% stake in Palm Hills Development, a real estate company listed in the Egyptian Stock Exchange.
Palm Hills Development said the deal reflects the Egyptian real estate sector’s ability to attract regional as well as international investment.
Palm Hills' chairman, Yaseen Mansour, said the acquisition proves Egypt's economy has now successfully regained the confidence of international institutions.
“It has also placed Egyptian companies at the epicenter of attention, which is evident through Palm Hills’ partnerships with Ripplewood and Aabar Investments, a major investment group in Abu Dhabi,” said Mansour.
He added that the move cements his company's commitment to moving forward and developing urban communities which will in turn create around 200,000 employment opportunities for young Egyptians.
Palm Hills has a capital market of approximately EGP5.6bn ($783mn), with investments in Egypt and Saudi Arabia.
Aabar Investments is owned by the Emirati government-owned International Petroleum Investment Company (IPIC), and also has a stake in Arabtec Holding, under which Arabtec Construction acts.
The company invests in aerospace, commodities, real estate development, financial services and energy.