El Gouna Resort - Orascom Development Website
CAIRO – 10 April 2018: Orascom Development Egypt announced the establishment of Orascom Company for Real Estate to develop 1,000 feddan (4.2 million square meters) in west Cairo, in cooperation with the New Urban Communities Authority.
Orascom Development clarified in a filing to the Egyptian Exchange (EGX) that the company will own about 70 percent of the new company’s shares and Sameh Sawiris will contribute the remaining 30 percent of the capital.
The agreement with the New Urban Communities Authority to develop the land in west Cairo is a revenue share deal as a part of a settlement agreement, the company stated.
It added that the procedures and contracts with the New Urban Authority will be finished during a month.
The company earlier announced the selling of non-core assets with a total of LE 1.24 billion.
Chief Executive Officer of Orascom Development Egypt Khaled Bishara said that the company intends to increase the percentage of free trading shares on the Egyptian Exchange (EGX) to 25 percent in 2018, up from the current 15 percent.
Bishara clarified in a press conference that the increase will come from the sale of shares owned by parent company Orascom Development Holding.
Established in 1995, Orascom Development Egypt is a public company listed on the Egyptian Exchange (EGX) since June 1998.
It operates within the Consumer Services sector focusing on hotels, resorts and cruise lines with 52 subsidiaries operating across Northern Africa, Middle East and Southern Europe.