The International Finance Corporation (IFC), a member of the World Bank Group, is investing in a 20 percent equity stake in Egypt-based Sphinx Glass, to boost the glass manufacturing sector in the region, support the company’s expansion, and spur job creation and growth.
Sphinx Glass is a subsidiary of Saudi-based Construction Products Holding Company (CPC). The IFC investment will enable Sphinx Glass to optimize production, improve its energy efficiency and create more jobs, as well as boost the development of Egypt’s industrial infrastructure. The company is a key supplier of float glass to Egypt’s construction sector, and a significant regional and international exporter.
Mu’taz Sawwaf, Vice Chairman of CPC said: “IFC will play a strong role as an equity partner helping a regional player in its expansion plans in Egypt. We aim to build a long term relationship with IFC, as we continue to execute on our international expansion strategy, capitalizing on increasing demand for building materials and glass in Egypt and Africa.”
The investment is part of World Bank Group strategy in Egypt to boost job creation through the manufacturing sector and promote energy efficiency improvement initiatives. It will also strengthen regional integration through a South-South investment, a key pillar of IFC’s strategy in the Middle East and North Africa.
Nada Shousha, IFC Country Manager for Egypt, Libya and Yemen, said: “Creating new jobs and strengthening the manufacturing sector, particularly in an area that can boost exports, is vital in this period of transition for Egypt. We hope this investment will also help restore investor confidence in the country, and send a positive message to international and domestic investors.”
Between fiscal years 2011 and 2015, IFC’s investments in Egypt totaled close to $1.2 billion, including mobilization. Those investments covered 18 projects across a host of sectors, including financial markets, infrastructure, oil and gas, agribusiness, manufacturing, and health care.
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