Raya Delays Launch of Bareeq Plant – Phase II Until H2/2014
Raya Holding Co for Technology and Telecommunication S.A.E. (RAYA) decided to delay launching of the second phase of granules Bareeq for recycling and plastics plant to the second half of the current year.
Eng. Medhat Khalil, CEO of Raya has informed Amwal Al Ghad in an exclusive that the delay is due to the current instability of the Egyptian market , stressing that Raya will start its project within the second half of 2014 after completing the Presidential and legislative elections.
The expected cost for the second phase reaches around EGP100 million, the company will finance 50% and the rest percentage will finance by banking loans.
Khalil has asserted that the productive capacity of the factory’s first phase reached about 13K tons every year to serve number of local and global factories, noting that Turkey, Saudi Arabia as the important counties that import Bareeq phase I products.
The venture’s investment costs reached EGP 120 million, and built on an area of 10 thousand square meters in 6th October City.
Senior sources informed Amwal Al Ghad that Raya Holding Co is planning to boost its capital by EGP100 million for enhancing its investments in call centers and restaurants.
Amwal Al Ghad quoted Khalil that the increasing of its capital will be through shareholders to buy new shares expected to be completed during the next February.
Khalil explained that Raya is aiming to launch restaurant chains within the current year, starting with ‘Raya Plaza’ that affiliated to the company in Sixth of October city.
The board of directors of Raya approved to file proposal for the general assembly regarding boosting the capital of Raya which issued in an authorized limit from EGP375.52 million to EGP470.52 million, move up by EGP100 million via a call for underwriting in additional shares at par value per share.
Raya’s business results revealed that it achieved EGP28.993 million net profits in the first nine months of 2013, against EGP13.24 million in 2012 move up by 119%.
