Egypt will hold an international tender for restructuring one of the country’s largest public companies, Egyptian Iron and Steel Company (HADISOLB) within six weeks, minister of public sector affairs announced Tuesday.
HADISOLB refurbishment plan includes a financial reform by increasing its capital through loans or current shareholders, and technical restructuring to outline the company’s upgrading production needs, Minister Ashraf El-Sharkawy said in a press conference following a tour to the company’s factory.
HADISOLB, which was founded in the 1950s, for decades was considered the crown jewel of Egyptian heavy industry. In the 1990s, however, the industry was opened to the private sector which gradually built up a controlling share of the market, and whose firms proved more efficient than HADISOLB. Moreover, years of mismanagement crippled the company’s performance and left behind huge financial problems.