IMPLEMENTATION LEVEL

NFI

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 18 Jan 2015 | Removal date: open ended
Still in force

Bailout (capital injection or equity participation)

On 18 January 2015, ezzsteel officially announced that it has signed a long-term loan agreement with the National Bank of Egypt (as the lead arranger & facility agent) as well as the Arab African International Bank (as the lead arranger & security agent). The amount of this long-term loan is EGP 1.7 billion (ca. 234 million USD) and the repayment period is 7 years (on a quarterly basis).

ezzsteel will use this loan for the purpose of restructuring its existing loan facilities (facilities representing a major part of the company's debt), in the face of the sharp financial losses that the company suffered in the fiscal year 2014 - i.e. financial losses that were in part caused by the natural gas shortage in Egypt in 2014.

ezzsteel is the largest steel company in Egypt as well as the entire MENA region. ezzsteel's headquarters are based in Mohandessin, Giza, Greater Cairo.

The National Bank of Egypt is a state-owned institution as well as the largest and oldest Bank of Egypt.

Arab African International Bank is Egypt's first Arab multinational Bank. The Central Bank of Egypt and the Kuwait Investment Authority are the core shareholder base of this Bank.

 

The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets and from foreign subsidiaries.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

412 Products of iron or steel
7208 Flatrolled products of iron or nonalloy steel, of a width of 600 mm or more, hotrolled, not clad, plated or coated.
720810 In coils, not further worked than hotrolled, with patterns in relief
720825 Of a thickness of 4.75 mm or more
720826 Of a thickness of 3 mm or more but less than 4.75 mm
720827 Of a thickness of less than 3 mm
720836 Of a thickness exceeding 10 mm
720837 Of a thickness of 4.75 mm or more but not exceeding 10 mm
720838 Of a thickness of 3 mm or more but less than 4.75 mm
720839 Of a thickness of less than 3 mm
720851 Of a thickness exceeding 10 mm
720852 Of a thickness of 4.75 mm or more but not exceeding 10 mm
720890 Other
7214 Other bars and rods of iron or nonalloy steel, not further worked than forged, hotrolled, hotdrawn or hotextruded, but including those twisted after rolling.
721420 Containing indentations, ribs, grooves or other deformations produced during the rolling process or twisted after rolling
7217 Wire of iron or nonalloy steel.
721710 Not plated or coated, whether or not polished
721720 Plated or coated with zinc
721730 Plated or coated with other base metals
721790 Other
429 Other fabricated metal products
7314 Cloth (including endless bands), grill, netting and fencing, of iron or steel wire; expanded metal of iron or steel.
731441 Plated or coated with zinc

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