Qatar: Egyptian firm to set up cables factory
Egypt's El Sewedy Cables has announced the establishment of a power cables factory in Qatar with a total investment cost of US$ 150 million and production capacity of 30,000 tons per year. Operations are expected to commence by end of 2009- beginning of 2010.
The project, which will produce low, medium and high voltage cables, will be financed 40% through equity and 60% by medium term loans, the Egyptian company said in a statement to the Cairo stock exchange. El Sewedy Cables will hold 50% of the venture while Qatar’s Aamal Holding will own the remaining half.
According to Gulf Times, imported machinery, utilities and raw materials for the factory will be exempted from custom duties.
El Sewedy Cables is the largest public producer of power cables & electrical products in the Middle East. Its current total production capacity hits 124.6 thousand tons per annum. Its sales amount to some of US$ 1 billion per year.
El Sewedy Cables was floated in May 2006 through a US$ 224 million international offering. Today, the company is one of the most actively traded stocks on the Cairo and Alexandria Stock Exchanges.