Egyptian Shares end Lower amid EFG-Hermes’ scuppered Deal
Egypt’s stocks ended lower on Monday losing 318 million Egyptian pounds following the failure of Beltone-Sawiris alliance’s offer to acquire 20% stake in biggest investment bank EFG-Hermes. Consequently, the main stock index, EGX30 retreated below 8315 points.
According to the regulator chief Sherif Samy, the deal flopped after the bidders, Beltone Financial and Naguib Sawiris’ New Egypt Investment Fund refused to buy the offered amount of shares of 9.5% in EFG-Hermes (HRHO.CA).
The bid consortium attracted offers for 54.4 million shares, or around 9.49% of EFG Hermes’ outstanding shares, at 16 Egyptian pounds; while they asked for 20% stake in the investment bank, Samy told Amwal Al Ghad in a phone interview.
Meanwhile, the Egyptian Exchange’s indices were wavering in red notes during closing session of Monday.
EGX operates with shortened trading hours during the Islamic fasting month of Ramadan since the exchange would open from 10:00 to 13:30 Cairo time.
Indices
Egypt’s benchmark index EGX30 ended 0.12 per cent lower to 8311.37 pts; while EGX20 finished 0.30 per cent down to 10070.7 pts.
On the other hand, the mid- and small-cap index, the EGX70 dropped by 0.19 per cent to end at 604.76 pts. The price index EGX100 tumbled by 0.12 per cent to conclude at 1058.39 pts.
Furthermore, the market capitalization recorded EGP 483.544 billion on Monday.
Turnovers above EGP 1 billion
Through the closing session of Monday, the trading volume has reached 130.199 million securities, with turnovers worth EGP 1.267 billion, exchanged through 17.004 transactions.
Also during the closing session, 171 listed securities have been traded in; 84 declined, 53 advanced; while 29 kept their previous levels.
Investors’ Activities
Egyptian and Arab investors were net sellers on Monday seizing 87.74% and 1.98% respectively of the total markets, with a net equity of EGP 237.783 thousand and EGP 6.428 million respectively, excluding the deals.
On the contrary, the non-Arab foreign investors were net buyers capturing 10.27% of the total market, with a net equity of EGP 6.666 million, excluding the deals.
