- Eltizam Asset Management Group signs EGP 2 Billion Joint Ventures with Al Ahly Sabbour
- Eltizam Asset Management aims to become one of top five businesses with biggest revenues in country by 2025
February 15, 2021 – During a press conference held at the Nile Ritz Carlton hotel, Egypt’s leading real estate developer Al Ahly Sabbour and UAE industry giants, Eltizam Asset Management Group launched Tafawuq Egypt and Three60 Egypt.
Through signing two joint ventures, with a combined value of EGP 2 billion, the two companies will introduce a provide premium-quality integrated facilities management (IFM) and community management (CM) services to the Egyptian market. This comes as part of Eltizam’s game-changing expansion initiative in Egypt and the rest of the MENA region.
The two contracts separately outlined the terms and services provided by Eltizam Group’s subsidiaries, Tafawuq Facilities Management and Three60 Communities, to Al Ahly Sabbour’s prime properties.
“There’s a rapid increase of large-scale projects across Egypt that’s been taking place over the past few years as part of the government’s 2030 vision. At Al Ahly Sabbour, we believe that implementing IFM services can add tremendous value to labor intensive businesses owing to its profound impact on increasing return on investment and reducing facility operating costs, ultimately driving business & economic growth,” explained Engineer Ahmed Sabbour, CEO of Al Ahly Sabbour.
He went on to emphasize the significance of bringing a new wave of investments to Egypt during challenging times saying that “signing the two JVs allows institutions to outsource single-source providers with a proven track record, helping them to lower operating costs while securing premium-quality facilities.”
Under the terms of the JVs, Eltizam’s services will deliver initially to four of Al Ahly Sabbour’s portfolio of mega property projects. As the partnerships progress, all parties have agreed to expand the existing terms to cover other high-end real estate developments of Al Ahly Sabbour. Chris Roberts, CEO of Eltizam, said: “This development is a historic milestone for us at Eltizam.
Expanding to a market as large as Egypt is a testament to our capability to provide value-added services that meet the highest standards in the area of long-term asset protection. It represents one of our major expansion drives in the region, paving the way for us to showcase our competitive edge and unparalleled technological advantages.
” Subsidiary companies of Eltizam, such as Omnius Estate Services, 800TEK, and others, will also be considered to build a robust industry presence and broaden its reach in the country. “Our key long-term objective is to increase our market share the soonest possible time, with our target being to become one of the top five companies with the biggest revenues in the local industry by 2025,” Roberts added.
Al Ahly Sabbour’s sister company, The Egyptian Company for Entertainment & Tourist Attractions (ECETA), is also part of both agreements. ECETA is Egypt’s first FM company and has been offering forward-thinking, efficient solutions for business services all over Egypt for 20 years. As a premium-quality IFM provider, ECETA supports and improves core processes and increases return on investment by result-oriented use of resources, services, and activities, vital to the success of any organization.
Eng. Sherif Sultan, Chairman of ECETA, clarified that “We are determined to employ our collaborative efforts to magnify the impact these JVs can have on various businesses in both the private & public sectors in Egypt. We see an opportunity in the market for the delivery of high-performing FM and CM services focusing on technical quality standards and customer service. The capabilities and resources of Eltizam and its subsidiaries are suitable to the market’s demands and are projected to add value to an industry that is currently blooming in Egypt.”
In response to the current pandemic, Egypt has cut its interest rate by 300 basis points to stimulate demand to help accelerate the property community’s recovery after being impacted by the global health crisis. Before the worldwide spread of the virus, the sector was strongly attracting healthy investor interest.
Data released by Egypt’s Central Agency for Public Mobilization and Statistics (CAPMAS) showed that real estate investments during 2017-2018 reached EGP 106.9 billion (about USD 6.57 billion), up from EGP 91.8 billion in 2016-2017. “We are confident that our collaboration with Al Ahly Sabbour will help reshape the landscape and the future of the market in the country as the community explores, taps, and seeks new growth opportunities during and after the pandemic,” Roberts added.
Tafawuq Egypt and Three60 Egypt will operate in line with Eltizam’s commitment to ensuring customer happiness and achieving growth by following the Group’s organizational and business enhancement culture called Get Wonky. Both subsidiaries will utilize the latest technologies for faster and more streamlined operations and higher customer satisfaction.
Harnessing the power of next-generation tools, Eltizam has rolled out the latest FM-related technological innovations to further set it apart from its competitors. It has deployed the Internet-of-Things-enabled work orders for hard and soft services, automated the key processes of its soft services, and centralized its command and control center for improved and more efficient monitoring of FM project operations.
Further, for faster delivery of CM services, Eltizam’s technology platforms, including portals, apps and its modern 24/7 contact center, among others, continue to be part of Three60 Egypt’s unique value proposition.