Egypt's Talaat Moustafa Group Holding (TMG) estimates a potential large-scale, mixed-use project in Iraq could generate total sales of around $17bn and annual recurring income exceeding $1.5bn upon completion, the company confirmed as it pursues regional expansion. In a statement to the Egyptian Exchange (EGX) addressing media reports, TMG Holding confirmed it is in advanced negotiations with Iraq's National Investment Commission for the new development, located southwest of Baghdad. The proposed project spans approximately 14m sqm and is expected to host around 45,000 mixed-use units.
The confirmation follows intensive exploratory meetings and market studies, TMG said. The project aims to replicate the company's "successful, well-tested and unique community model pioneered by the Group in Egypt and Saudi Arabia," focusing on quality housing, infrastructure, services, sustainability, and smart technologies.
Subject to the successful conclusion of negotiations, TMG expects to receive the land from Iraqi authorities by the end of the year. This potential expansion into Iraq aligns with the group's strategy to increase its foreign exchange generation and recurring income portfolio, hedge investor returns against local currency fluctuations, and solidify its position as Egypt's leading exporter of real estate and tourism services, the statement said.
The expansion into Iraq will be executed through the group's Saudi Arabian arm, TMG Saudi. This division launched a 10m sqm sustainable mixed-use smart city project in Riyadh last year, which TMG said attracted significant interest from Saudi customers. TMG highlighted its track record in Egypt over the past 50 years and its recent entry into Saudi Arabia as foundations for this move.
TMG Holding stated it would keep shareholders informed of any further material milestones regarding the Iraq project, in compliance with EGX disclosure rules.
