PPP Transaction for 10th Ramadan Dry Port, the Arab Republic of Egypt - Financial and Commercial Consultant – Due Diligence

Financial and Commercial Advisor for PPP Structuring and Transaction Advisory of a Strategic Logistics Infrastructure Project

Egypt

PROJECT HINTERLAND

EBRD

FUNDING AGENCY

Container Dry Port

FOCUS INFRASTRUCTURE

2021-23

PROJECT DURATION

Project Snapshot

Located in the 10th of Ramadan City — one of Egypt’s most strategically significant industrial corridors east of Cairo — this project centres on the development of a Dry Port and Value-Added Logistics Centre (VALC), a flagship infrastructure initiative identified under Egypt’s Master Plan for a Nationwide Transport System. The site’s exceptional development potential was independently validated through an EBRD Transport Project study, which ranked this location second-highest among all candidate logistics centre sites across Egypt.

The project is managed by the General Authority for Logistics Development and Planning (GALDP), with the European Investment Bank (EIB) co-undertaking a parallel feasibility study. ASCELA was engaged by the European Bank for Reconstruction and Development (EBRD) as Financial Advisor to provide end-to-end transaction advisory — from reviewing foundational studies and structuring the PPP framework to preparing the financial model and finalising procurement documents — positioning the project for successful private sector participation.

The Challenge

Fragmented Planning Landscape

Multiple studies, legal documents, and feasibility assessments had been developed across different agencies and timelines. Synthesising these into a coherent, bankable project structure required careful forensic review and gap analysis to surface risks before they could deter international financiers.

Bankability Concerns in Emerging Market PPPs

Dry port and logistics PPPs in emerging markets often carry structural risks — around tariff recovery, demand guarantees, and regulatory clarity — that can make international investors hesitant. Identifying and mitigating these concerns early was critical to the project’s viability.

Complex Multi-Agency Coordination

With GALDP as the project authority, EIB conducting a parallel feasibility study, and EBRD as the financing anchor, aligning stakeholder expectations across multiple institutions with distinct mandates required robust advisory management.

Establishing a Viable Commercial Model

Structuring a PPP that fairly allocates risk between the public and private sectors — while remaining attractive to executing agencies and financially self-sustaining — demanded sophisticated tariff modelling, fiscal risk assessment, and options analysis across multiple implementation structures.

What we Delivered

Egypt’s logistics infrastructure gap is an opportunity. ASCELA built the financial and commercial foundation to attract the right private sector partner.

Financial Model & PPP Fiscal Risk Assessment

Development of a robust financial model incorporating a PPP Fiscal Risk Assessment Model (PFRAM) — enabling scenario analysis, fiscal impact evaluation, and stress-testing of the project's financial structure against international financing standards.

PPP Options Study, Business Plan & RFP

An options study evaluating multiple implementation structures, leading to a recommended PPP model with a full business plan and investor-ready RFP and procurement documents — designed to launch a competitive, transparent process for selecting the executing agency.

Commercial Due Diligence & Tariff Structuring

A detailed commercial due diligence report examining demand dynamics, competitive positioning, and revenue potential — paired with rigorous tariff structuring to ensure cost recovery, commercial viability, and alignment with market benchmarks.

Bankability & Risk Assessment

A forensic review of all existing legal documents, technical studies, and EIB findings to identify structural risks, regulatory gaps, and concerns that international financiers could raise — delivering a clear risk register that shaped the entire advisory strategy from the ground up.

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