Egyptian contracting giant Hassan Allam Holding has signed an agreement to establish the National Egyptian Company for Railroad Industries (NERIC) in the North African nation.

In an announcement on its LinkedIn page, the company said that NERIC is a national joint venture (JV) initiative formed by Hassan Allam Holding and a group of Egyptian companies.

These include Samcrete Holding, Egyptian Stock Market- and NASDAQ Dubai-listed Orascom Construction, Connect Information Technology in partnership with The Ministry of Transport, Suez Canal Economic Zone, and The Sovereign Fund of Egypt.

The JV will establish a rolling stock plant, that will be a major milestone in Egypt’s strategic industrialisation plan. It will also work in order to help achieve the goals of Egypt’s Vision 2030 that focuses on developing the national railway networks.

The news comes days after, Hassan Allam Holding secured construction works contract for Phase 1 of the Cairo Metro Line 4. The contract was awarded to HAH’s subsidiary, Hassan Allam Construction (HAC), by the North African nation’s National Authority for Tunnels.

HAC will work in a consortium comprising Arab Contractors, — which is associated with the Cairo Monorail project — Petrojet, and Concord.