Corporate news
Qalaa Holdings [CCAP]
Target Price: EGP 3.50
Closing Price as of October 21, 2025: EGP 2.80
During its recent conference, Qalaa Holdings presented its expansion strategy and highlighted its strong financial and operational performance for 2024.
The company recorded a 53% year-on-year growth in revenues, mainly driven by higher USD-denominated revenues from the Egyptian Refining Company (ERC), which remains the group’s primary revenue contributor. The energy sector accounted for approximately 91% of total revenues, underscoring Qalaa’s strategic focus on energy-related investments.
On the profitability side, net profit reached EGP 6.1 billion, marking a 4% annual increase, supported by positive contributions from all subsidiaries except ASCOM for Mining. The management also emphasized that the company carries no actual debt, with net debt standing at zero, reflecting a strong financial position.
Regarding its stake in ASEC Cement in Algeria, Qalaa confirmed that it has filed a legal case against the Algerian government, with the verdict still pending. A favorable ruling could significantly enhance the company’s valuation.
Additionally, Qalaa announced plans to convert its outstanding bonds into shares, with details of the subscription process to be disclosed within ten days.
The company also intends to launch four new initial public offerings (IPOs), expected to generate between USD 120 million and USD 140 million in total proceeds.
Management concluded by affirming that no new investments will be undertaken until all existing obligations are fully settled, reflecting a more conservative financial strategy aimed at maximizing shareholder value.
Mariam Rafek - Equity Analyst
MHany@egy.primegroup.org