IDH shares began trading on EGX & Qalaa Holding MD Clubhouse debut on Thndr Claps X Waya

May 31, 2021

EGX 30: (10,242), weekly change (-4.5% ), YTD (-5.6%)
Traded Value 1W Avg: EGP 962M, (+95.1%) above 90D Avg.  
EGP:USD: 15.66 (-0.1%) weekly change 

Tune in tomorrow (Tuesday, June 1) at 8:30pm and join Qalaa Holding MD Hisham Khazindar Clubhouse debut on Thndr Claps X Waya

Local Pick-ups

CIB & TMG to establish a new real estate entity

Commercial International Bank (CIB) announced on its quarter report that they established a new real estate company in partnership with Talaat Mostafa Group (TMG). CIB will own 37% stake in the company, while Talaat Mostafa will own the rest. (CIB report, page 29)

CIRA to acquire additional 20% stake in Star Light Educational DMCC

Cairo for Investment & Real Estate board of directors has approved the acquisition of an additional 20% stake in Star Light Educational DMCC, which makes CIRA entire stake is 80%. The board also approved to contribute by 40% of the capital of Global Furniture company, which specializes in the manufacturing of furniture of schools & universities. The total value of these investments amounted to EGP 58.25M. (EGX)

IDH secures a USD 45M loan

Integrated Diagnostic holding, EGX newest listed company and the owner of Al Mokhtabar labs, has secured a USD 45M (EGP 705M) loan from International Finance Corporation. The debt will be used to finance IDH growth plans to expand their services in both new and existing markets.(IDH)

Other Local Headlines

  • Shares of new spin-off company, Iron & Steel for Mines & Quarries is listed on EGX.
  • Misr Life Insurance to go public in end of 2021 or early 2022.
  • The United Media Services Company plans to list a 20-30% stake on EGX by 2024.
  • EFG Hermes, alongside Renaissance Capital will be the financial advisors of the upcoming Macro Group IPO.

Global Pick-up

Amazon faces antitrust law suit by Washington DC

An attorney general in DC is suing Amazon for engaging in anticompetitive acts. The claim is that Amazon abuses its market position and practically require sellers to offer their products for the same price they sell them elsewhere. This makes sellers unable to offer better deals for their products on other websites even if it’s their own. (Wall Street Journal)

Featured Opportunity

Azimut Opportunities FundAZ 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 – Dividend Payout ratio

The dividend payout ratio is the proportion of net income that is paid to shareholders as dividends. It is calculated by dividing the dividends distributed by the annual net income.

Book of the week – 21 lessons for the 21st century

The book is written by historian Yuval Harari, he stresses on the main global issues we’re currently facing (or about to), starting from democracy & globalization to Artificial, genetic engineering & ethics. it’s a fun but challenging book that will widen your horizon and sharpen your understanding of the world.

Earnings Call:

  • TMG reported EGP 447M net income in Q1 2021, a 19% YoY increase.
  • Oriental Weavers reported EGP 299.7M net income in Q1 2021, a 72% YoY increase.
  • Misr Fertilizers Production reported EGP 289.3 net income in Q1 2021, aa 29% YoY increase.