KOCHI: ADQ, one of the largest holding companies in Abu Dhabi, has entered into an agreement with Lulu International Holdings (LIHL) to invest $ 1 billion to back the Yussuf Ali M A-founded hypermarket chain's expansion in Egypt.
This is over and above the $ 1 billion ADQ had earlier this year invested in the Lulu Group.
Under the terms of the agreement, ADQ and LIHL will work to collectively develop up to 30 hypermarkets and 100 express minimarket stores as well as state-of-the-art logistics hubs, distribution and fulfillment centres to strengthen the retailer’s e-commerce business across Egypt. It is estimated that this expansion will create up to 12,000 jobs, fostering economic and social growth throughout the country, a release said here.
The agreement was signed by Mohamed Hassan Al Suwaidi, chief executive officer of ADQ, and Yusuff Ali MA, chairman of Lulu Group.
Mohamed Hassan Al Suwaidi, CEO of ADQ, said: “Our agreement with Lulu International Holdings reflects our wider commitment to investing in Egypt, following the announcement of our joint investment platform with the Sovereign Fund of Egypt agreed late last year."
Yusuff Ali said Egypt is a very important growth market and there was great potential for future business there. "Our agreement with ADQ will better position us to continue the rapid expansion of our operations across Egypt," he said.
In November 2019, the launch of a joint strategic investment platform worth $ 20 billion, to be funded equally by ADQ and the Sovereign Fund of Egypt, was announced. The platform aims to establish joint strategic investment projects, as well as specialized funds and investment tools in several key sectors such as food and agriculture, healthcare, mobility and logistics, and utilities.