UAE's Corys Investments and Georg Fischer enter fast growing gas and water distribution market in Egypt

UAE’s Corys Investments and Georg Fischer enter fast growing gas and water distribution market in Egypt

Corys Investments LLC (“Corys), the UAE family owned business located in Dubai, today announced its new Joint Venture (JV) with GF Piping Systems, a division of GF, and Egypt Gas, listed on the Egyptian Stock market and probably the largest company for natural gas infrastructure in the Middle East. The JV, in which GF and Corys will take the industrial lead, will invest in a major production site for plastic pipes to take part in the soaring Egyptian gas and water distribution market.

Currently, Egypt is actually undergoing a major governmental initiative to develop its gas and water infrastructure. In 2018, more than 1.3 million households were connected to the network. Based on Egyptian government forecasts, the program is actually for a similar number to be linked to the gas distribution network every year.

Corys, which was created in 1977, has a strong heritage in the UAE and has a long standing and trusted partnership with GF in the Middle East for more than forty years. Corys and GF have collaborated since the 90ies to serve the regional market by selling a complete range of services and products for the industry and utility segments.

Mohammed Abdulghaffar Hussain, CEO of Corys Investments Holding LLC said: “Since the inception of its, Corys has been dedicated to provide best-in-class solutions to customers that address the environmental challenges of the UAE and the wider Middle East. Our companies have shared a good relationship for a long time now. With this new strategic joint venture, we look forward to continuing the partnership of ours and combining our technical capabilities to serve our existing and new customers in Egypt even better.”

Together with GF, Corys will hold equally a combined stake of seventy five % in the new JV whilst Egypt Gas will hold twenty five %. The company Egypt Gas was established in 1983 by the Egyptian government and was the first company in the area of natural gas networking.

Named Egypt Gas GF Corys Piping Systems S.A.E., the joint venture is going to set up a brand new production facility for plastic pipes and fabricated fittings for the domestic market near Cairo. Business production is actually planned to start in 2021. The initial JV investment will amount to approx. AED eighty million in total.

Andreas Müller, CEO of GF said: “By expanding its global footprint to Egypt, GF Piping Systems is actually taking another step in the implementation of the strategy of its 2020. Together with the expertise of the partners of ours, we plan to enhance the presence of ours and bring our know how of alternative solutions for the safe transport of gas and water to the Egyptian market.”

“Egypt offers great investment opportunities. Probably the most significant of these is actually the establishment of many new cities with big utility networks in which Egypt Gas Company is actually involved. Therefore, the thought of this joint venture makes a lot sense and is actually beneficial. It’s an important achievement, and I’m absolutely delighted and very proud of it,” added Wael A. Gowayed, chairman and delegated member of Egypt Gas.

The signing of the JV transaction has already been announced with the closing anticipated for the first quarter of 2020.

GF Piping Systems is actually a leading supplier of piping systems made of metal and plastics. The division focuses on high quality components and system solutions for the safe transport of water, gases and chemicals, as well as corresponding services. The product portfolio of fittings, automation, pipes, valves, and jointing technologies covers all applications of the water cycle.

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