EGYPT – Development Partners International (DPI) has sold ADP II’s 33.4% stake in Egyptian retailer B.TECH to the Saudi Egyptian Investment Company (SEIC), a wholly-owned subsidiary of the Saudi Public Investment Fund (PIF).
ADP II’s exit comes following a successful partnership with B.TECH, during which the business has accelerated its digital transformation efforts and cemented its position as the leading omnichannel retailer operating at scale in Egypt.
“B.TECH’s transformation is a testament to the long-term vision of Dr Khattab. We continue to share the view that Egypt is a highly attractive investment destination with significant growth opportunities,” Sofiane Lahmar, DPI Partner, said.
“DPI is proud to have supported Dr Khattab and his team to capture the opportunities in the market and make his vision a reality.
“DPI has worked closely with the company, helping to unlock value through actively supporting its expansion, and driving positive impact for the communities the business operates in. We are confident that B.TECH is well positioned for the future.”
Founded in 1997, B.TECH is the largest integrated omnichannel retailing and consumer finance platform in Egypt, selling consumer electronics and household appliances.
DPI invested in the business in 2016 through its second fund, ADP II, partnering with CEO and founder, Dr Khattab, and his experienced management team to execute an ambitious plan and digital transformation which resulted in sales and profits increasing by 5x and 10x respectively during DPI’s investment period.
B.TECH has reinforced its position as one of the largest and fastest-growing eCommerce players in Egypt and continues to grow its third-party marketplace.
The expansion of B.TECH’s footprint, to more than 140 world-class stores across the country, has enabled the company to reach more people, and, with the introduction of new bespoke store formats, remains focused on meeting the evolving needs of its customers.
DPI also supported B.TECH with its ESG and Impact strategy, helping to progress its financial inclusion efforts, demonstrated through the growth and digital enablement of its MiniCash consumer finance product, which allows more customers to access a wide range of financing solutions.
The company has also continued to invest in talent, creating new jobs and supporting the professional development of its employees.
“DPI has been a fantastic partner at each step of our journey, helping us to evolve and scale our business and reinforce our strong position in the market,” Dr Mahmoud Khattab, B.TECH CEO, said.
“Since 2016, we have achieved significant milestones, rapidly expanded our eCommerce business, and doubled our store footprint while also enhancing our digital capabilities.”
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