OCI Deal Approval Drives Egypt’s Benchmark to Cross 4640 Pts – Closing

Egypt’s stock market has extended its gains to the second day this week backed by the OCI N.V.’s  announcements of obtaining the final regulatory approval to launch its tender offer for Orascom Construction Industries S.A.E. (OCIC.CA).

Egyptian Exchange has ended Wednesday’s sessions by gains totaled at EGP 3.5 billion.

The Egyptian Exchange’s indices flourished for the third day in a row this week, except for the mid- and small-cap index, the EGX70 which solely dips on Wednesday afternoon.

Egypt’s benchmark index EGX30 jumped by 2.36% to close at 4641.08 p; while the EGX20, it inched up by 0.74% to end 5108.54 p.

Meanwhile, the mid- and small-cap index, the EGX70 fell by 0.46% to conclude at 356.21 p.  The price index EGX100 edged up by 1.51% to finish at 634.57 p.

The capital market has closed at EGP 317.524 billion on Wednesday afternoon.

Traded Volumes & Trades

Through the closing session of Wednesday, the trading volume reached 64.452 million securities. For the traded value, it reached EGP 183.295 million, exchanged through 9.456 thousand transactions.

Also during the closing session of Wednesday, 154 listed securities have been traded in; 74 declined, 43 advanced; while 37 keeping their previous levels.

Investors’ Activity

Egyptians and Arabs’ buying transactions have backed EGX’s closing gains as they were net buyers seizing 58.43% and 8.86% respectively, of the total markets, with a net equity of EGP 20.362 million and 14.359 million excluding the deals.

On the other hand, the non-Arab foreigners were net sellers seizing 32.7% of the total markets, with a net equity of EGP 34.722 million, excluding the deals.

Egypt Regulator Gives Nod To OCI N.V.’s Tender Offer

OCI N.V. announced Tuesday evening that it has received approval from the Egyptian Financial Supervisory Authority (EFSA) to launch its proposed tender offer for Orascom Construction Industries’ (OCI S.A.E.) (OCIC.CA) outstanding ordinary shares listed on the Egyptian Exchange (EGX).

OCI N.V. will offer all shareholders of OCI S.A.E. an Exchange Offer to convert in to OCI N.V. as well as a cash alternative of EGP 255 per share. The offer will launch on Thursday 27 June and will conclude on Sunday 28 July.

OCI N.V. Starts Bid For 24% of OCI S.A.E Tomorrow

The EGX management announced that the tender offer made by OCI N.V. for 208,938,419 shares, or 100% of issued shares of Orascom Construction Industries (OCI) will start tomorrow Thursday, till Sunday, July 28, 2013.

The number of requested shares amounts to 50.196 million, or 24.024% of the target company’s shares. The offer price is EGP 255 per share, or through swapping shares at 1 in the target company for 1 in the bidding company.

The tender offer will be executed on EGX during five days after the expiry of the tender offer
However, the stock market indicate that, in case of force majeure that prevents the continuation of the tender offer, the duration of the offer will resume after such events.