Catalyst Partners Middle East (CPME), the first Special Purpose Acquisition Company in the Egyptian market listed on the Egyptian Exchange under CPME.CA, has announced preliminary board approval to proceed with acquiring a controlling stake, potentially up to 100% of the capital, in EIH Consulting S.A.E. and its subsidiaries.
This step aligns with CPME’s broader strategy to expand its footprint in the non-banking financial services sector, with a particular focus on the fast-growing precious metals segment and its associated financial services.
EIH Consulting: A Key Player in Precious Metals
EIH Consulting has established itself as a leading player in Egypt’s precious metals investment and trading landscape. The company has been at the forefront of innovation, notably through the launch of “mngm,” a specialized digital platform designed to facilitate gold and silver trading for individual investors, institutions, and investment funds.
The platform reflects a broader market shift toward digitization in commodity trading, enabling more accessible and transparent investment opportunities in precious metals.
Transaction Structure and Due Diligence Process
Following the board’s in-principle approval, CPME has authorized its Chairman, CEO, or a delegated representative to initiate all required procedures to move the transaction forward.
These steps include:
- Conducting comprehensive due diligence
- Finalizing negotiations with EIH Consulting
- Determining the optimal transaction structure
The acquisition may be executed either through a cash deal or a share swap, depending on the outcomes of the ongoing negotiations. Final terms will be presented to CPME’s Board of Directors for approval upon completion of these مراحل.
Independent Valuation to Ensure Fairness
As part of governance and regulatory compliance, CPME has appointed Gravition Financial Advisory as an independent financial advisor to conduct a fair value assessment of EIH Consulting.
This valuation process is critical to ensuring transparency and alignment with applicable financial regulations, particularly in transactions involving listed entities and strategic acquisitions.
Leadership Perspective on Growth Opportunities
Maged Shawky, Chairman and Co-Founder of CPME, stated that the move reflects the company’s focus on high-potential sectors capable of delivering sustainable growth and long-term value creation.
He highlighted that EIH Consulting represents a strong and promising model that combines operational expertise with a forward-looking vision, especially within the precious metals sector, which continues to attract increasing interest at both local and regional levels.
Shawky further emphasized that CPME intends to leverage its investment capabilities and regional network to support EIH’s expansion plans, while also fostering innovation in financial products linked to gold and precious metals.
EIH Consulting Eyes Next Growth Phase
From EIH Consulting’s perspective, the potential transaction is viewed as a significant milestone in its corporate journey.
Sameh El-Torgoman, Chairman and CEO of EIH Consulting, expressed optimism about the partnership, noting that the company aims to benefit from CPME’s extensive investment expertise to accelerate its growth trajectory and expand its market presence.
He added that the deal could mark the beginning of a new phase of development, driven by enhanced capabilities and broader access to capital and strategic networks.
Conditional Completion Pending Approvals
Despite the strategic alignment between both parties, the completion of the transaction remains subject to several key conditions.
These include:
- Successful completion of due diligence
- Final agreement on transaction terms
- Obtaining all necessary regulatory approvals
As such, the deal is not yet finalized, and further updates are expected as negotiations progress and regulatory processes are completed.
Market Implications and Outlook
If completed, the acquisition would mark a notable development in Egypt’s financial services landscape, particularly within the precious metals segment. It could also reinforce the role of SPACs as an effective vehicle for driving strategic investments and consolidations in emerging markets.
The transaction highlights growing investor interest in alternative asset classes such as gold and silver, as well as the increasing importance of digital platforms in shaping the future of financial services in the region.
Overall, CPME’s move signals a continued shift toward diversified, innovation-driven investment strategies aimed at capturing long-term value in evolving market segments.
