Egypt, new dimensions, new frontiers

Mr. Adel Youssry Hassan Khedr, Chairman of FinRate Consulting

Interview with Mr. A. Y. Hassan Khedr,
Read our exclusive interview

Egypt -

"The Ultimate Corporate Finance Boutique"

Mr. Adel Youssry Hassan Khedr
54, Lebanon street, Mohandessin 12411
Tel: (202) 305 31 61
        (202) 305 31 47
Fax: (202) 305 31 49
Company profile

Egypt -

FinRate Consulting, founded in 1990 by Mr. Adel Youssef Khedr, Chairman and Mr. Sherif Samir Samy, Managing Director, provides corporate finance advice, management consulting and executive search & selection services to companies and financial institutions. It is the only consulting firm in Egypt providing this combination of professional services under one roof ; all aiming at enhancing the value of its clients' businesses.

Corporate Statement

FinRate Consulting:

  • Is a Merchant Banking Boutique recognized for its restructure and value creation capabilities.

  • Is committed to building value for their clients through the design and implementation of innovative and custom tailored solutions in the areas of corporate finance, management consulting and executive search & selection.

  • Capitalizes on its successful track record in assisting businesses in enhancing market value and optimizing the outcome of financial transactions (placements, divestitures, mergers or acquisitions) through sound structuring, execution and financial advice.

  • Hosts a team of qualified professionals from a variety of backgrounds (banking, consulting, investment management, auditing and information technology. To ensure the continuous development and motivation of the FinRate Consulting team, a significant part of the company's revenues is dedicated to staff compensation, benefits and training.

  • FinRate style emphasizes developing close, long term relationships with clients oriented and built on mutual trust and achieving results ; and objective all-around advice and services.

  • FinRate Consulting adopts an integrated approach in the designing and building of management infrastructures. This approach encompasses people, processes, information and technology.

    People aim at institutionalizing the organizational roles and relationships, as well as objectively defining various human resources management aspects: compensation, performance, measurement and skills development.

    Processes address policies and work methods to encourage efficiency, standardize service levels and, more importantly, support delegation of authority against clearly set accountability guidelines.

    Information refers to enhancing the collective awareness and knowledge sharing within the organization. It also provides timely and meaningful data to support decision making, market intelligence and risk management.

    Technology provides many tools to enable the above management infrastructure components.

    Services Offered

    FinRate Consulting executive search & selection services offer significant advantages and a much higher success rate over direct recruiting, due to the following:

    Wider reach through our extensive contacts, attractive advertising and constant presence in the job market.

    Selling the employer, in light of the short supply of highly component managers, is a key aspect of the executive recruiting process in Egypt. Candidates may have subjective reservations concerning a particular organization or may not be aware of the full potential of the available position.

    Egypt -

    Significant savings
    in time are achieved when meeting a short list of suitable candidates, as opposes to the effort of reviewing, screening, interviewing and assessing candidates, as well as negotiating offers. The cost of this time-consuming process to the employer exceeds any fees paid.

    Discretion is critical to avoid staff instability caused by publicizing that an incumbent is being replaced. It also minimizes unwanted solicitations. Similarly, senior executives are more comfortable exploring career opportunities with an independent professional firm.

    Corporate Finance

    Offering sound structuring and support for equity and debt raising, and divestitures (strategy, equity, story development, creating and strengthening value drivers, placement agent selection, research support, etc.) Additionally, provide post transaction support (in issues such as investors communication, image enhancement, etc.)

    Mergers & Acquisitions

    Advising on mergers and acquisition through conducting thorough business diagnostic, valuation, advising on transaction structuring, supporting financing arrangement, negotiation assistance, managing due diligence process and developing post merger / acquisition "program" to support successful business results.

    Corporate Restructure

    Typically conducted for a business contemplating an IPO/private placement in the medium term or, for a newly investment. Such a service thoroughly analyses all aspects on an entity, designs restructure programs / actions and oversees their implementation with the objective of drastically enhancing the entity's market value and attractiveness to investors.

    Key elements of corporate restructure address

    * Business Value

  • Business profile

  • Sustainable revenue / profit stream

  • Corporate structure (legal)

  • Financial structure

  • Management infrastructure (organization, MIS, policies.)

  • Senior management

  • Compensation & Incentives

  • Tax situation

  • * Market Value

  • Business model soundness (market perception)

  • Growth story

  • Benchmarking to peer group

  • Market capitalization

  • Transparency & Communication

  • Corporate governance

  • Conflict of interest elimination

  • Samples

    * Leading Automotive Group

    Revenues: LE 1.2 billion

    Staff: 4000

    Corporate restructure for 9 independent entities operating in various assembly, trading and service activities. A coherent group structure was created, optimizing transparency, tax benefits, management focus in addition to leveraging financial resources. The associates organization structure and MIS needs were also introduced. Special efforts were dedicated to building the management infrastructure of the retail credit capability since it was identified as the Group's main vehicle for growth.

    * Textile & Garments Group

    Revenues: LE 100 million

    Staff: 800

    A careful diagnostic of this group of companies has resulted in its splitting into a textile group and a ready made garment group. For the latter an aggressive retail expansion plan through owned shops and franchising was developed to support growth and enhanced profitability / market value.

    * Construction Industry Group

    Revenues: LE 1.2 billion

    Staff: 1500

    Advised on the structuring of this group of 15+ companies in the fields of construction, building material and infrastructure. Sound structuring mandated spinning off certain activities to comply with international industry models and support growth story thus maximizing value.

    * Large Home Appliances Group

    Revenues: 800 million

    Staff: 7000

    Conducted a thorough business, management and corporate diagnostic of the Group that resulted in significant changes to its business priorities (shifted focus to particular segments) ; its corporate structure (spinning off several entities and merging others), and introduced a strong head office organization with group wide responsibilities which in turn mandated the recruitment of a number of senior positions.

    The restructure also resulted in creating a significant tax shelter for the Group and supported better utilization of fixed assets.

    Strategic Advisory Services

    Aside from the -previously presented- core activities, FRC is selectively invited to advise businesses on a wide range of strategic issues. These range from strategic planning and strategic viability assessment to organizational issues and executive compensation.


    * Strategic Assessment

    Of the merits and feasibility of the mergers of an international bank's branches in Egypt with a leading Egyptian joint venture bank.

    * Strategic Formulation

    Advised the shareholders of a USD 50+ million investment J.V. company on their alternatives for operating in the Egyptian market and most suitable structure. This was supplemented by a road map and implementation pre requisites and plan.

    * Organization Strategy

    Advised the Board of the Cairo & Alexandria Stock Exchange on the new organization (rational, strategy, structure, roles .) to support a more advanced, active and regional competitive Exchange.

    * Executive Compensation

    Advised a large publicly listed telecoms. company on structuring a long term incentive scheme for its senior executives via the introduction of a stock option plan.

    A Client List We Are Proud Of:

    * Industrial / Trading

  • Ghabbour Group

  • Olympic Group

  • Al Fotouh Group

  • Shatex / Dalydress

  • SCIB Chemicals

  • Egyptian American Medical Co.

  • * Banking

  • Misr International Bank

  • Egyptian American Bank

  • Misr Exterior Bank

  • American Express Bank

  • Egypt Arab African Bank

  • National Bank of Oman

  • * Real Estate

  • InTours (Sheta)

  • OPTD

  • Mena Group

  • Golden Pyramids

  • Remco Touristic Villages

  • Cairo Housing

  • Suez Industrial Dev.

  • * Construction

  • ORASCOM Construction

  • Arabian Int'1 Construction

  • Ginza Construction

  • Sokhna Port Development

  • * Capital Market

  • Cairo Stock Exchange

  • Misr Exterior Fin. Inv.

  • Gulf Arab Investment

  • First Arab Dev. & Inv.

  • Mansour & Maghrabi Inv.

  • Triple A Securities

  • * Technology

  • ORASCOM Telecom

  • ORASCOM Techology

  • Egyptian Mobile Services

  • Key developments

    SKILLRate Advisors was created in 2000 as a continuation of FinRate Consulting efforts to assist in successfully achieving such a task.

    While SKILLRate Advisors SAE (as an independent legal entity) has started its operations as an autonomous division within FinRate Consulting (a corporate finance and strategy advisory firm) en 1997. Its rapid growth and success have necessitated its spin off into an independent company, the first of its kind dedicated to executive search consulting in Egypt.

      Read on  

    © World INvestment NEws, 2000.
    This is the electronic edition of the special country report on Egypt published in Forbes Global Magazine.
    August 7th 2000 Issue.
    Developed by AgenciaE.Tv