State-run Egyptian Media Production City’s (EMPC) board has greenlit talks to acquire a 55.3% stake in Mövenpick Hotel Cairo-Media City of Arabia Investment and Tourist Development, a subsidiary of Arabia Group, from Arab Contractors and three other affiliates, Invest-Gate reports.
The stakes are owned by Arabia Investment’s affiliates: Arab Contractors, El Masria Real Estate Investment Company, Arab Contractors for Investments, and Egyptian International Company for Contracting and Real Estate Investments, EMPC said in a bourse filing on June 12.
According to the filing, the board members were obliged to buy new properties in the same area as EMPC due to Law No. 180/2018, which forbids channels from broadcasting outside the registered media zones and the news channels’ dire need to broadcast from studios near to the Egyptian decision-making headquarters downtown.
Moreover, EMPC has prepared a feasibility study to open two media services center, overlooking Cairo’s distinctive landmarks, to ensure scenes diversity for viewers. The first office is a four-story building in Agouza, Giza, for EGP 102 mn, while the second one is an apartment situated in Garden City, west Cairo.
The board has agreed to provide both spaces with state-of-the-art technical equipment to be able to offer top-notch media services for the various news channels. The company will purchase logistics, appliances, and engineering equipment for the two premises, with a total amount of EGP 22.8 mn, the statement revealed.
During Q1 2019, EMPC’s net consolidated profit soared by 17.09% YoY to stand at EGP 27.24 mn, compared to EGP 23.27 mn in the year-ago period.