Banque Misr Leads a Banking Consortium with Suez Canal Bank and Al Baraka Bank Egypt to Provide a $108 Million Joint Financing to MAFI
Cairo, January 2025
A banking consortium led by Banque Misr, in collaboration with Suez Canal Bank and Al Baraka Bank Egypt, has successfully provided long-term Syndicated loan of $108 million to MAFI for Agricultural Products Manufacturing. The facility aims to finance part of the project's investment costs, which total approximately $180 million.
Banque Misr acted as the facility agent, Bookrunner, capital account bank, revenue account bank, and initial mandated lead arranger within the consortium. Suez Canal Bank served as the security agent, debt service account bank, and initial mandated lead arranger, while Al Baraka Bank Egypt also participated as an initial mandated lead arranger. Notably, the project's shareholders have already contributed their full equity share of $72 million before securing the facility.
The signing ceremony was attended by Mr. Ahmed Issa, Deputy CEO and Executive Board Member of Banque Misr; Mr. Akef El Maghraby, CEO and Managing Director of Suez Canal Bank; Mr. Hazem Hegazy, CEO and Vice Chairman of Al Baraka Bank Egypt; and Mr. Ahmed Abou Hashima, Founder and Chairman of MAFI for Agricultural Produce Industries, along with senior executives from the participating banks and the company.
Mr. Hazem Hegazy, CEO and Vice Chairman of Al Baraka Bank Egypt, commented: "We are proud to be an initial mandated lead arranger in this banking consortium, reflecting our commitment to supporting promising and innovative investments in Egypt. The facility of MAFI’s agricultural manufacturing project aligns with our vision to drive sustainable development and strengthen the private sector's contribution to the national economy."
He further stated: "This project not only supports Egypt's agricultural manufacturing sector but also positions the country as a regional hub for food industries. It will create both direct and indirect job opportunities, fostering local economic empowerment. We view this partnership as a strategic step toward enhancing collaboration between the Egyptian banking sector and private enterprises, contributing to the goals of Egypt’s Vision 2030 for a more diversified and sustainable economy. Moreover, the project underscores our confidence in the Egyptian agricultural sector’s ability to deliver high value-added products and to build a prosperous future for future generations."
The project involves the construction and operation of a manufacturing complex in Sadat City, which will consist of five production facilities: a citrus concentrate factory, a cloudy concentrates factory, a tomato and multi-fruit concentrate factory, a freezing factory using IQF (Individual Quick Freezing) technology, and a dry freezing factory. The project's entire output will be dedicated to exports.
MAFI for Agricultural Products Manufacturing has appointed Beltone Investment Banking as the exclusive financial advisor and lead coordinator, Matouk Bassiouny & Hennawy as the company’s legal advisor. Meanwhile, Sarie-Eldin & Partners is serving as the legal advisor to the financing banks.
The manufacturing complex is designed to double production capacity in a second phase and has the potential to add new product lines in the future. This initiative will enhance local agricultural manufacturing using advanced technology, create added value for Egyptian products, and increase exports to global markets, particularly to Europe, the United States, the Gulf region, and Japan.
About Al Baraka Bank Egypt:
Al Baraka Bank Egypt is a subsidiary of Al Baraka Group, a leading Bahrain-based Islamic banking conglomerate. With a robust global presence spanning 13 countries across 3 continents, the group offers comprehensive financial services through its network of over 600 branches.
Al Baraka Bank Egypt has been operating in Egypt for over 40 years, establishing a strong position with 37 branches strategically located in Cairo, Alexandria, the Delta region, and Upper Egypt. The bank is committed to expanding its reach, aiming to increase its branch network to cover most Egyptian governorates by the end of 2025.
Al Baraka Bank Egypt adheres to Sharia principles in delivering a wide range of banking products and services tailored to individuals, businesses, treasury, and investment needs. All bank operations and transactions are meticulously reviewed by an independent Sharia Supervisory Board.
The bank provides direct financing solutions to creditworthy individuals, corporations, and institutions, while also actively participating in syndicated financing for large-scale projects with significant economic viability and employment creation potential.
Al Baraka Bank Egypt has won over 15 international awards in 2024, including the " Best Sharia Investment Banking Services Egypt 2024" from Global Business and Finance magazine, the " Best Islamic Bank in Egypt 2024" from the Union of Arab Bankers, and the "Best Banking Experience in Egypt 2024" and "Best Bank for Corporate Social Responsibility in the Middle East 2024" from International Business Magazine. The bank also won the “Best Local Currency Finance” and “Best Restructuring in Africa award” from EMEA Finance Magazine. Moreover, the bank has won “The Fastest Growing Digital Transformation Bank in Egypt” and “The Fastest Growing Islamic Bank” awards from International Finance awards in 2024. In addition, the bank received several prestigious international awards in 2024, 2023, and 2022, and was listed in Forbes’ Top 50 Companies in Egypt for 2022, 2023, and 2024 consecutively.