Six Egyptian companies are studying to bid for the new steel licenses offered by the Industrial Development Authority: Ezz Steel, Sixth of October for Light Industries, Al Marakbi, IIC for Steel Plants Management, Al Ahram Steel and Port Said National Company for Steel.
In a note, HC Brokerage reported that Egypt’s Industrial Development Authority might hold a public auction for the steel plants, if an excess number of bids are received.
According to the bidding documents, the plants cannot be established according to the free zone system and cannot be converted to that system in the future. The documents also reveal that the ownership structure cannot be changed in the case of a capital increase and that the shares of the companies cannot be sold until production is complete.
The documents give investors the right to bid for a steel or billet license or for a combined one. The deadline for submissions is 25 November, Al-Mal reported.