Egyptian cable giant Elsewedy's investment arm exits university venture

El Sewedy Capital Holding, the investment arm of Egypt's Elsewedy Electric group, is selling its 40% stake in a planned private university in New Damietta to Al Ahly Capital, the investment arm of state-owned National Bank of Egypt, EnterpriseAM reported, citing Al Borsa.

Al Ahly Capital is buying 30 million shares in the joint venture El Sewedy set up with education company CIRA. Egypt's Competition Authority approved the deal earlier this week, and it is expected to close before the end of the year. The price was not disclosed. CIRA will keep its 60% stake.

CIRA and El Sewedy set up the venture in 2021 and secured a 58-feddan plot in New Damietta for a university that EnterpriseAM estimated would cost about 2.5 billion Egyptian pounds. CIRA chief executive Mohamed El Kalla said in August that the university is due to open in September 2027.

A pattern of sales to Al Ahly

The deal is the latest in a series of El Sewedy Capital assets that have passed to Al Ahly Capital. In 2024, Al Ahly Capital completed the purchase of 51% of Easy Lease, El Sewedy Capital's leasing company, and later bought a further 46.55% of Ezelis from El Sewedy Capital.

Al Ahly Capital already works with CIRA in education. In 2021, the two formed Al Ahly CIRA for Educational Services, with CIRA holding 51%. That venture built Saxony Egypt University of Applied Sciences and Technology, which CIRA describes as Egypt's largest private technological university in the greater Cairo region.

CIRA is the largest integrated private education company in Egypt and is listed on the Egyptian Exchange. Private universities outside Cairo and Alexandria have become a growth area, as land is cheaper and the government has eased approval for new institutions in the provinces.