Today’s Top News & Analysis
Fruitful Egypt-EU Investment Conference
Expected more foreign currency
The first surplus in 2 years in Net Foreign Assets
EUR56.7mn grants for Egypt's silo capacity development
IDHC to delist at EGP20/share
ABUK: Expects earnings before taxes of EGP7.1bn in 2024/25
SWDY's fair value set at EGP52.38/share
SKPC: Resumption of feedstock supplies
GSSC: Targets earnings of EGP158mn in 2024/25
MACRO
Fruitful Egypt-EU Investment Conference
Various European and Egyptian firms signed a total of 35 agreements and MoUs worth EUR67.7bn on the back of the Egypt-EU Conference, as (1) EU-affiliated entities with EUR49bn and (2) non-EU-affiliated entities with EUR18.7bn. The agreements included:
· A USD15bn green hydrogen project between Infinity Power, Hassan Allam, UAE’s Masdar, and BP.
· A EUR24bn green hydrogen facility by a consortium led by Belgian energy firm DEME Group.
· A USD10bn green ammonia project by The Sovereign Fund of Egypt (TSFE) and DAI Infrastructure. (Enterprise)
Expected more foreign currency
Egypt is expecting several foreign currency funds in the coming period, coming as:
· European Union (EU): (1) EUR1bn in macro-financial assistance through H2 2024. (2) EUR300mn in support of the private sector's development.
· European Investment Bank (EIB): EUR621mn divided into EUR271mn agreement between EIB, EU, and Egypt. The rest EUR350mn is solely from EIB to support mid-cap companies.
· Funds from Germany: EUR104mn in support of three Egyptian development programs. (Enterprise)
The first surplus in 2 years in Net Foreign Assets
The Central Bank of Egypt's (CBE) net foreign assets recorded the first surplus in 2 years coming at USD14.3bn in May vs. a deficit of USD3.7bn in April. (Enterprise)
EUR56.7mn grants for Egypt's silo capacity development
The Minister of Supply & Internal Trade said that the French Development Agency (AFD) granted Egypt EUR56.7mn for the development of silo capacity. (Enterprise)
CORPORATE
IDHC to delist at EGP20/share
Integrated Diagnostics Holding Co [IDHC] BoD will propose in an EGM the delisting of the company's shares from the EGX at EGP20/share instead of EGP18.62/share. The BoD also approved converting the delisted shares to treasury shares. (Company disclosure)
ABUK: Expects earnings before taxes of EGP7.1bn in 2024/25
Abu Qir Fertilizers & Chemical Industries [ABUK] BoD’s approved 2024/25 financial budget, forecasting to record revenues of EGP18.7bn and earnings before taxes of EGP7.1bn. In addition, BoD approved starting the procedures for the partial replacement of the natural gas with hydrogen and the installation of new solar stations with a 2.5 MWP to reduce electricity consumption. (Company disclosure)
SWDY's fair value set at EGP52.38/share
Elswedy Electric [SWDY] announced that the IFA set its fair value at EGP52.38/share which is 38.9% higher than the average price in the last 6 months. SWDY added that the offering price by the Emirati Electra Investment Holding of USD1.05/share is 29% higher than the average price of the share in the last 3 months. On a separate note, SWDY's BoD approved the tender offer by Electra Investment Holding to buy 24.5% of SWDY's shares and at least 15%. (Company disclosure: 1, 2)
SKPC: Resumption of feedstock supplies
Sidi Kerir Petrochemicals [SKPC] sent a statement to EGX stating that it received feed gases starting Thursday. (Company disclosure)
GSSC: Targets earnings of EGP158mn in 2024/25
General Company for Silos & Storage [GSSC] BoD approved 2024/25 financial budget, targeting earnings of EGP158mn and investments of EGP31mn. (Company disclosure)
MARKETS PERFORMANCE
Key Dates
1-Jul-24
MOIL: OGM / Approving financial statements ending 31 Dec. 2023 and netting contracts.
3-Jul-24
EXPA: OGM / Approving increasing the issued capital by distributing EGP0.33/share worth of stock dividends.
EXPA: EGM / Approving increasing the issued capital & amending Articles No. 6 & 7 of the bank's bylaws.
4-Jul-24
7-Jul-24
ZMID: OGM / Discussing netting contracts.
10-Jul-24
ADIB: Stock dividend / Last date for eligibility for a 0.2-for-1 stock dividend.
EFIH: Stock dividend / Last date for eligibility for a 0.249-for-1 stock dividend.
11-Jul-24
ADIB: Stock dividend / Date for distributing a 0.2 for-1 stock dividend.
EFIH: Stock dividend / Date for distributing a 0.249 for-1 stock dividend.
18-Jul-24
MPC Meeting / Determining the CBE's policy rate.
EMFD: EGM / Approving increasing the issued capital & amending Articles No. 6 & 7 of the company's bylaws.
31-Jul-24
TMGH: Cash dividend / Payment date for a dividend of EGP0.11/Share (2nd installment)