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Concrete Fashion Group debut on the EGX

Here’s what that means for Arafa Holding, Concrete Fashion Group’s parent company

What:

Concrete Fashion Group, formerly a subsidiary of Arafa Holding, is set to make its debut on the Egyptian Stock Exchange today. The company is splitting to focus on its fashion brand, Concrete, and streamline its operations.

Arafa Holding to Concrete:

Arafa Holding was an EGX-listed company that had Concrete as one of its subsidiaries. Recently it underwent a demerger, and emerged as Concrete Fashion Group for Commercial and Industrial Investment, alongside its sister company GTEX Holding. And yesterday marked their debut on the EGX.

So What:

The company’s deputy CEO, Mohamed Talaat, told Enterprise that the demerger aims to concentrate efforts on the Concrete brand and leverage Egypt’s newfound cost competitiveness in international manufacturing. The pandemic’s impact on global supply chains prompted the move, with Egypt set to capitalize on shifts in European sourcing strategies.

Now What:

Concrete’s expansion is already underway, with plans to establish a presence in Dubai to spearhead offshore growth, according to the same source. Industry veterans, including Maria Luisa Cicognan and Matteo Zappalà, joined the leadership team to accelerate global expansion and tap into the untapped export potential of Egypt’s clothing industry.