EGX 30 Below 5430 Pts; Midday
During Monday midday session, the Egyptian Exchange (EGX) has posted losses of EGP 3.1 as the capital market has amounted to EGP 377.641 billion, according to data compiled by Amwal Al Ghad at 13:09 p.m. Cairo time (11:09 GMT).
EGX indices were in dark red.
The main index, EGX30 fell by 0.40% to hit 5427.63 p. EGX20 dipped by 0.76% to reach 6295.78 p.
Meanwhile, the mid- and small-cap index, the EGX70 dived by 2.07% to hit 499.53 pts. Price index EGX100 sank by 1.50% to reach 829.39 p.
Traded volume reached 79.851 million securities worth EGP 257.995 million, exchanged through 15.934 thousand transactions.
This was after trading in 161 listed securities; 116 declined 15 advanced while 30 keeping their previous levels.
EGX30’s midday dip was driven by Egyptians’ selling pressures.
Egyptians were net sellers seizing 84.3% of the total markets, with a net equity of EGP 16.036 million excluding the deals.
On the other hand, Arabs and non-Arab Foreigners were net buyers seizing 4.28% and 11.42% respectively, of the total markets, with a net equity of EGP 5.498 million and EGP 10.538 million excluding the deals.
Leading Shares:
EGX’s leading shares witnessed unsteady performance.
EFG-Hermes:
EFG-Hermes Holding (HRHO.CA) pushed down by 2.65% to hit EGP 11.00.
Orascom Telecom Media & Technology Holding:
Orascom Telecom Media & Technology Holding (OTMT.CA)’s stock fell by 1.75% to hit EGP 0.56.
Citadel Capital:
Citadel Capital (CCAP.CA)’s stock climbed by 1.08% to reach EGP 3.74.
Citadel Capital announced on Monday the start of pilot operation at the Arab National Cement Company (ANCC)’s new plant located in the Upper Egyptian governorate of Minya, at a production capacity of 2 million tpa.
The Arab National Cement Company (ANCC), a subsidiary of regional cement producer ASEC Cement, is located some 220 kilometers south of Cairo in the Minya governorate. In addition to creating 400 direct and 1,500 indirect jobs, the plant will provide cement for key infrastructure projects in Upper Egypt.
ANCC is a project of ASEC Cement, a 33.44%-owned investment platform of Citadel Capital.
Orascom Telecom Holding:
Orascom Telecom Holding (OTH) (ORTE.CA) went up by 0.87% to reach EGP 3.48.
On Saturday, Vimpelcom announced that it has hired Standard Chartered to advise it on the sale of its businesses in Burundi, Zimbabwe, Central African Republic, Cambodia and Laos, two people familiar with the matter said.
New-York listed Vimpelcom wants to focus on its largest markets of Russia and Italy, while reducing its debt, the people said. The units on the block came to Vimpelcom when it bought a 51 percent stake in Egypt-based Orascom Telecom and all of Italy’s Wind in 2011 for $6 billion.
“The move is part of a wider strategy by the company to review some of their smaller businesses globally and especially in emerging markets,” said a source familiar with the transaction.
“The group has really grown in size post the Orascom deal and there is a feeling that they need to be only in markets which are strategically important and of relevant size.”
Orascom Construction Industries:
Orascom Construction Industries – OCI (OCIC.CA)’s stock edged up by 0.14% to hit EGP 249.00.
On Monday, Omar Derwaza – Head of Investor Relations at Orascom Construction Industries – said OCI is still in holds negotiations with Egypt’s Tax Authority (TA) so as to put an end to the tax evasion charges against the Group.
Derwaza added that the meeting held on Sunday between the TA and OCI representatives has discussed the overall dimension to the tax evasion charges and the Group’s legal stance expecting that the TA and OCI will likely reach an agreement very soon.
Derwaza further stated that OCI alongside its subsidiaries always submit the annual tax returns and pay the tax dues on time.
The Egyptian Tax Authority (TA) and OCI have agreed in principle during their meeting on Sunday over the Group’s EGP 14 billion tax evasion to reduce the amount to EGP 2 billion.
Senior sources from Egypt’s Finance Ministry told Amwal Al Ghad that the tax charges reduction is not final as there will be coming talks between the Tax Authority and OCI representatives which could result in further lowering.
The sources described the meeting held Sunday between Mamdouh Omar – Head of Tax Authority, and OCI representatives; KPMG Hazem Hassan and Ashraf Abdel Ghani Accountants and Tax Consultants as ‘cozy’ as it showed a genuine willingness to have a happy ending with the Group’s tax file.
