Ethiopian Investment Holdings (EIH) Adds Eight State-owned Enterprises to its Portfolio: Including the Subsidiaries of Ethio Pharma Group – the National Veterinary Institute and ShieldVax Enterprise
The Ethiopian Investment Holdings (EIH) has expanded its portfolio with addition of several key State-Owned Enterprises (SOEs).
EIH announced the successful addition of eight Enterprises to its portfolio as per the decision of its Board of Directors and Council of Ministers Regulation No. 487/2022.
Article 8 of this regulation states that ownership of a state-owned enterprise or asset can be transferred to the Ethiopian Investment Holdings upon the Request of the CEO of EIH and with approval of the Board of Directors.
Accordingly, the Sovereign wealth fund says eight companies formerly under the Public Enterprises Holding and Administration portfolio will now be managed and owned by EIH.
These include Ethio Post, Ethio Engineering Group, Ethiopian Industrial Inputs Development Enterprise, Ethiopian Railway Corporation, Industry Parks Development Corporation, Developmental Bank of Ethiopia, Ethiopian Electric Power Corporation, and Subsidiaries of Ethio Pharma Group – National Veterinary Institute and ShieldVax.
Brook Taye, CEO of Ethiopian Investment Holdings, said “we are thrilled to welcome” these enterprises into the EIH family, stating that:
“This addition will further strengthen our mission as the strategic investment arm of the Government of Ethiopia. At EIH, we are committed to creating wealth to finance development and ensuring a high-quality standard of living for future generations.
“These SOEs are integral to Ethiopia’s industrialization and growth ambitions, and we are confident that through our focused, professional management and active ownership, we will bring these organizations to new heights of performance and innovation.
The latest addition will boost EIH’s portfolio to grow further, encompassing key sectors of the economy from infrastructure and energy to finance and industrial development.
“Our goal is to modernize Ethiopia’s state-owned enterprises, enhance their global competitiveness, and ensure they play a pivotal role in the country’s economic success by diversifying their activities,” said Brook.
The EIH was incorporated in 2022 with a capital of 100 billion Birr to serve as the country’s sovereign wealth fund and the strategic investment arm of the government. It has since been overseeing close to 30 state-owned enterprises collectively hold over 150 billion dollars in assets.
Source: Ethiopian Monitor