Home StocksEGX EGX 30 Hits 5537 Pts, OCI 0.65% Up; Thursday Midday

EGX 30 Hits 5537 Pts, OCI 0.65% Up; Thursday Midday

by Yomna Yasser

During Thursday midday session, the Egyptian Exchange (EGX) has posted gains of EGP 1.4 billion as the capital market has amounted to EGP 381.854 billion, according to data compiled by Amwal Al Ghad at 13:28 p.m. (11:28 GMT).

The main index, EGX30 surged by 0.48% to hit 5537.14 p.  EGX20 went up by 0.48% to reach 6493.81 p.

Meanwhile, the mid- and small-cap index, the EGX70 climbed by 1.06% to hit 508.14 pts.  Price index EGX100 rose by 0.88% to reach 859.55 p.

Traded volume reached 117.305 million securities worth EGP 379.449 million, exchanged 21.076 thousand transactions.

This was after trading in 176 listed securities; 55 declined 104 advanced while 17 keeping their previous levels.

The main reason behind the EGX 30’s midday upwards was that Egyptians and Arabs were net buyers seizing 86.64% and 3.16% respectively, of the total markets, with a net equity of EGP 8.644 million and EGP 5.654 million excluding the deals.

On the other hand, non-Arab Foreigners net sellers seizing 10.2% of the total markets, with a net equity of EGP 14.298 million excluding the deals.

Leading Shares:

EGX’s leading shares witnessed unsteady performance.

Orascom Telecom Media & Technology Holding:

Orascom Telecom Media & Technology Holding (OTMT.CA) declined by 1.72% to hit EGP 0.58.

Orascom Telecom Holding:

Orascom Telecom Holding (OTH) (ORTE.CA) fell 0.81% to reach EGP 3.66.

Orascom Telecom – OT announced Wednesday that it will go on completing the necessary procedures to go for the international arbitration against People’s Democratic Republic of Algeria in respect of the unlawful actions taken since 2008 by the Algerian government against Orascom Telecom Algerie (OTA) – Djezzy.

Khalid Al Leithy, Deputy Chief Finance Officer of Orascom Telecom – OT, said the company will continue completing the arbitration procedures so as to reach a solution with the Algerian government.

“If Vimpelcom reaches a settlement with the Algerian government, Orascom will not go for the International arbitration.” Al Leithy added

Leithy said talks between Vimplecom and the Algerian government on acquiring a controlling stake in Djezzy are continuing, but he noted that: “Orascom will not accept to give up the group’s right to manage its Algerian unit.”

Al Leithy also mentioned that both Orascom and Vimplecom seek to end all the pending issues with the Algerian government without giving up their legal and financial rights to manage Djezzy.

Commercial International Bank:

Commercial International Bank- Egypt (CIB) (COMI.CA) went down by 0.67% to hit EGP 31.21.

Citadel Capital:

Citadel Capital (CCAP.CA) inched lower by 0.28% to hit EGP 3.57.

Talaat Moustafa Group:

Shares of Talaat Moustafa Group (TMGH.CA) dropped by 0.21% to reach EGP 4.58.

Orascom Construction Industries:

Orascom Construction Industries (OCIC.CA) went up by 0.65% to hit EGP 286.00.

OCI reported Thursday a 28 percent drop in net income for the second quarter, in line with analyst forecasts, pulled lower by start-up costs at its Algerian and U.S. fertiliser plants.

Net income fell to $119.4 million from $165.2 million a year earlier, Egypt’s biggest listed company said in a statement, which also blamed a higher effective tax rate because of a bigger contribution to earnings from its European operations.

OCI, which announced a $1.4 billion fertiliser investment in the United States late on Wednesday, said droughts in that country had reduced yields, making it necessary for farmers to increase acreage.

“We expect strong demand for fertilizer products in the upcoming harvesting season and we expect prices to remain firm for the remainder part of the year,” Chairman Nassef Sawiris said in a statement on Thursday.

The company said it expected its new Sorfert Algeria business to begin exports this month after entering production and its Egyptian Fertiliser Company had completed a stoppage to overcome bottlenecks.

OCI has sought to attract projects from across the Middle East to offset a slowdown at home since Egypt’s leader was ousted in 2011.

The Group also announced Thursday that it will build a $1.4 billion fertiliser plant in Iowa and is buying a U.S. construction firm, as it targets growth outside its main Middle East markets, the company said on Wednesday.

The plant in the main U.S. corn-growing region will make between 1.5 and 2 million metric tons of products including ammonia, urea and urea ammonium nitrate annually, reducing U.S. reliance on imports, OCI said in a statement.

Construction is due to begin this year for completion by mid-2015 and will be funded using equity and bonds.

The Iowa investment comes after a sharp drop in the price of U.S. natural gas, a key input for fertilizer.

“It costs $100 to (import fertilizer) to Iowa on a $400 product,” Nassef Sawiris told Reuters in a phone interview. “The Iowa plant will keep that $100 dollars in its operating margin.”

EFG-Hermes:

EFG-Hermes Holding (HRHO.CA) rose by 0.24% to reach EGP 12.65.

You may also like

Leave a Comment