Macro Pharmaceuticals postpones its IPO

April 12, 2021

EGX 30: 10,303 (-2.5%) weekly change, (-5%) YTD
Traded Value 1W Avg: EGP 266M , (-49.8%) below 90D Avg.  
EGP:USD: 15.71 (+0.1%) weekly change

Tune in to Thndr Claps with Waya and Azimut on clubhouse tonight at 9pm. We’ll be having an open discussion with the Chairman of the EGX Dr. Mohamed Farid on why to invest now?

Local Pick-ups

Macro Pharmaceuticals postpones its IPO

Macro Group Pharmaceuticals alongside with regulatory authorities decided to postpone the offering, despite the strong demand from international institutional investors in major financial centres. The reason behind the delay is the market’s capacity to absorb multiple offerings in a short period of time. (Company statement)

Ghabbour Auto to sell part of its stake in MNT investment

Ghabbour Auto announced it would sell a part of its stake in the Dutch company MNT Investment BV, representing 5% of the company for approximately EGP 352.7M. The sale would reduce GB auto stake to be 57.26%. MNT investment owns a controlling shareholding of two microfinance companies Tasaheel & Mashroey. (Press release)

Domty to launch a new production line

Domty is launching this week a new USD 2M milk products production line. The investment represents a shifting for the company’s expansion strategy due to Covid-19 circumstances. (Enterprise)

Other Local Headlines

  • EGX announced trading hour in Ramadan to be from 10 AM to 1:30PM
  • Sovereign Fund of Egypt and EFG Hermes plan to finalize acquisition of Arab Investment Bank
  • Soon to be listed IDH to launch 35 new branches in 3 countries.
  • Banque Du Caire & Fawry Plus to facilitate the exchange of foreign remittances.
  • Azimut Egypt Asset Management plans to launch two new investment funds in 2021.

Global Pick-up

Coinbase is going public

Coinbase, a leading cryptocurrency exchange in the US announced is being listed on Nasdaq Exchange. Shares to begin trading on April 14, 2021. Coinbase has more than 56  million individual users & 7000 institutions over 100 countries. It has achieved a 139% annual increase in 2020 revenues. The company has an approximate valuation of USD 68B in the private markets. (Motley Fool)

Featured Opportunity

Talaat Mostafa Group Holding– TMG holding is a leading conglomerate that specializes in mixed real estate investments and hospitality projects. According to the analyst consensus the stock is undervalued and has a 109% potential upside. Analysts that cover the stock include EFG Hermes & CI Capital research.

Word of the week – Return on Equity

ROE is a measure of the company’s profitability in relation to the shareholders equity. It is calculated by dividing the company’s net income by the shareholders’ equity.

Podcast of the week – Invest Smarter through Research

Listen to our full Thndr Claps x WAYA clubhouse talk with veteran researcher Prof. Hany Genena about how you can invest smarter through research.

Earnings Call:

  • Middle East Glass Manufacturing reported profits of EGP 93.07M in 2020, a 40.9% (YoY) decrease
  • Ezz steel reported lower net losses of 4.68B in 2020, a 42.2% YoY decrease.