The Egyptian government has deferred the sale of select stations belonging to the National Company for the Sale and Distribution of Petroleum Products (Wataniya), an entity under the National Service Projects Organization. Initially scheduled for December, the sale has been postponed for several additional weeks.
Sources familiar with the matter informed DNE that procedural delays, particularly in opening the data room for prospective buyers and extending the deadline for final offers to the end of next week, have caused the postponement.
TAQA Arabia has submitted its bid, and a consortium comprising Shell and a Saudi investor has also presented an offer. Furthermore, both the Abu Dhabi National Oil Company (ADNOC) and the Emirates National Oil Company (ENOC) are in the midst of the application process.
Following the submission of all proposals, the government plans to thoroughly review each application before selecting the winning bid, a process that may extend into the next year.
This delay is not unprecedented, as earlier this year, the government aimed to finalize a national sales deal by the first half of 2023. However, this timeline was revised in a document from the Information and Decision Support Center last August, which indicated October 2023 as the new deadline. Subsequently, a booklet addressing investor queries was slated for release in December.
Nonetheless, the Minister of Planning and Economic Development has announced a further postponement of several weeks for the Wataniya sale.
CI Capital, the financial advisor for the transaction, has completed a restructuring initiative, establishing a company that encompasses approximately 174 of Wataniya’s 300 stations.
DNE sources also revealed that the National Service Projects Authority intends to retain around 126 strategic gasoline stations under Wataniya’s purview, ensuring their continued operation by the agency.
Founded in 1993, Wataniya’s objective was to build and manage car service and supply stations both within and beyond urban areas, as well as to market petroleum products, oils, and lubricants. Initially partnering with Shell and Mobil to acquire expertise, Wataniya has been independently establishing its own branded stations since 2002.