June 07, 2021
EGX 30: (10,054), weekly change (-2.4% ), YTD (-7.3%)
Traded Value 1W Avg: EGP 481M, (+0.8%) above 90D Avg.
EGP:USD: 15.69 (+0.1%) weekly change
GB Auto acquires Changan’s sole distributorship
Ghabbour Auto announced it has acquired sole distributorship of the Chinese auto brand Changan, a leading Chinese global automotive brand, in Egypt. Ghabbour will this month launch 4 new models that are believed to cater to different needs and aspirations of Egyptian consumers. The company expects Changan to be one of the top 5 car brands in Egyptian market within the next 3 years. (EGX)
Fawry to acquire two companies in F&B and E-commerce sectors
Ashraf Sabry, Fawry CEO, has announced the company has reached final negotiations in two acquisition deals in the E-commerce and Food & Beverage industries, which are expected to be closed within days. The company mentioned in its Q1 financial report that it is actively looking for minority stake acquisitions in one or more consumer-facing target companies to achieve its plans to expand the Fawry ecosystem’s operational reach. (Economy Plus)
Speed Medical withdraws from Tawasol alliance for Alex NMC’s acquisition
Speed Medical announced withdrawing from its alliance with Tawasol Holdings and other investors to acquire Alexandria New Medical Center (Alex NMC). On the other hand, Tawasol Holdings has reached an agreement to submit a purchase offer to acquire a 100% stake in Alexandria New Medical Center. (Zawya)
Other Local Headlines
- Egypt’s Juhayna says ADQ has not made formal offer for stake in business
- OFH cuts stake in Beltone Financials by 4.45% to 70.1% for EGP 71.55M
- Goldman Sachs economist expects CBE to cut rates this month.
- Hazem Badran & Tarek Tantawy as Palm Hills Group Co-CEOs
G7 Countries agrees to set a minimum global tax rate
After eight years of discussion, G7 finance ministers have reached an agreement to reform the global tax system. The group has agreed to impose a minimum global tax rate of 15%. This agreement came to prevent multinational corporations that don’t pay their fair share of taxes by incorporating and booking their profits in low or zero tax nations. (CNBC)
Azimut Opportunities Fund – AZ opportunities is the first equity fund to be established in the Egyptian Markets in 8 years. AZO is an open-ended private placement fund that is open for daily subscription and redemption.
Word of the week – Preferred Shares
Preferred shares/stocks are shares are hybrid securities that have both debt and equity characteristics. Most preferred stock shareholders get fixed dividends that are paid before the common stocks dividends. In case of company liquidation, preferred stocks shareholders get paid from the company’s assets before common stock shareholders. Preferred shares don’t have voting rights but common shares do
Podcast of the week – An inside look at Qalaa Holdings
Listen to our new episode with Hisham El-Khazindar, Founder and Managing director of Qalaa Holding as he shares his journey in building one of the leading investment companies in the MENA region.
- Orascom Investment Holding reported net losses of EGP 103.2M , 75% YoY loss shrink.
- SODIC reported net profits of EGP 100.4M in Q1 2021, a 235% YoY increase.
- Madinet Nasr For housing reported net profits of EGP 114.5M, a 69% YoY increase.
- Ibn Sina reported net profits of EGP 50.3M in Q1 2021, a 0.06% YoY increase.
- Cleopatra hospitals reported net profits EGP 101.3M in Q1 2021, 23% YoY increase
- Amer group reported net profits EGP 105.8M in Q1 2021, a 3969% YoY increase.