Today’s Top News & Analysis
The Egyptian government signed an agreement with IFC as a strategic IFA
The CBE Treasury bills at yields exceeding 24%
SDX Energy considering selling its Egyptian assets
Imports of iron ore and steel raw materials declined in Q1 2023
EZDK valuation at 29% premium to market price
Trading on TAQA shares postponed till after Eid
EIPICO's capital increase is 98.29% covered
EFID to invest EGP800mn in 2023
Misr Chemicals’ EGM approves an increase in authorized capital
MACRO
The Egyptian government signed an agreement with IFC as a strategic IFA
The Egyptian government signed an agreement with the International Finance Corporation (IFC), a subsidiary of the World Bank, to be its strategic independent financial advisory for the public offerings program. (Asharq Business)
The CBE Treasury bills at yields exceeding 24%
The Central Bank of Egypt (CBE) sold Treasury bills for the 1 year and 6 months, worth a total of EGP40.73bn in its last auction, with yield of 24.144% and 24.085%, respectively. (Al-Mal)
SDX Energy considering selling its Egyptian assets
SDX Energy plc. [LSE: SDX] announced that it has received multiple offers for its Egyptian assets and is evaluating these offers. SDX holds interest in two concessions:
(1) The South Disouq gas concession with three gas fields:
· The South Disouq field (36.9% working interest).
· The Ibn Yunus field (36.9% working interest).
· The Ibn Yunus north field (67% working interest).
(2) The West Gharib oil concession with two oil fields:
· The Meseda field (50% non-operated working interest).
· The Rabul field (50% non-operated working interest). (Company disclosure, SDXEnergygroup)
Imports of iron ore and steel raw materials declined in Q1 2023
The imports of iron ore and steel raw materials declined in Q1 2023 to reach:
- USD322mn (-23% y/y) for iron ore and iron ore concentrates.
- USD841mn (-57% y/y) for steel and iron raw materials. (Al-Mal)
CORPORATE
EZDK valuation at 29% premium to market price
The Sovereign Fund of Egypt (TSFE) has reportedly finished its preliminary valuation of Al Ezz Dekheila Steel Co. (EZDK) [IRAX] in preparation for the potential sale of the government’s 14% stake to EZDK’s majority shareholder Ezz Steel [ESRS]. The valuation submitted is allegedly c.EGP1,060/share, a 29% premium to its Thursday's closing price. The EGP1,060-a-share valuation implies a P/E ratio of 3.2x and an EV/EBITDA of 2.2x vs. 2.5x and 1.9x, respectively, based on Thursday's closing price. We previously reported on 9 May 2023 that ESRS released a statement clarifying it did not formally present any offer to acquire an additional stake. (Asharq Business)
Trading on TAQA shares postponed till after Eid
Trading on shares of TAQA Arabia [TAQA], Qalaa Holding’s [CCAP] subsidiary (a 55.3% stake), were reportedly postponed till after Eid. We had reported before on 15 June 2023 that trading on TAQA's shares was planned for Monday, 19 June 2023. (Al-Borsa)
EIPICO's capital increase is 98.29% covered
EIPICO [PHAR] announced that the subscription in the first phase of its capital increase was 98.29% subscribed (i.e. 48,735,018 shares out of total offered shares of 49,585,250 shares), with total subscriptions of EGP487mn. PHAR wanted to increase its capital by 50% increase or c.EGP496mn at a par value of EGP10/share. (Company disclosure)
EFID to invest EGP800mn in 2023
Edita Food Industries [EFID] announced that it will invest up to EGP800mn in 2023. In addition, EFID may increase the paid-in capital of Fancy Foods that it fully acquired last week. (Company disclosure)
Misr Chemicals’ EGM approves an increase in authorized capital
Misr Chemical Industries Co.’s [MICH] EGM approved increasing the company's authorized capital from EGP400mn to EGP1bn. (Company disclosure)
Markets Performance
Key Dates
19-Jun-23
SUGR: Cash dividend / Deadline for eligibility for a dividend of EGP2.550/Share.
EXPA: Capital increase / Capital increase subscription starting date.
EXPA: Right Issue / First day of trading the rights issue.
20-Jun-23
SUGR: Cash dividend / Ex-dividend date for EGP2.550/Share.
22-Jun-23
AREH: OGM / Approving financial statements ending 31 Dec. 2022.
HELI: Cash dividend / Payment date for a dividend of EGP0.10/share (2nd installment).
SUGR: Cash dividend / Payment date for a dividend of EGP2.550/Share.
25-Jun-23
MCQE: EGM / Approving increasing the issued capital & amending Articles No. 6 & 7 of the company's bylaws.
26-Jun-23
BINV: OGM / Approving financial statements ending 31 Mar. 2023 and the proposed dividends.
4-Jul-23
ISPH: OGM / Approving financial statements ending 31 Dec. 2022 and the proposed dividends.
ISPH: EGM / Discussing capital reduction & amending Articles No. 6 & 7 of the company's bylaws.
5-Jul-23
Egypt PMI: June 2023 reading.
6-Jul-23
CCAP: OGM / Approving financial statements ending 31 Dec. 2022.
CCAP: EGM / Discussing the continuation of the company.
BTFH: Capital increase / Capital increase subscription closing date.
9-Jul-23
EGCH: EGM / Approving the final cost of the nitric acid and ammonium nitrate project.
ETRS: EGM / Approving increasing the issued capital & amending Articles No. 7, 8 & 47 of the company's bylaws.
10-Jul-23
MCRO: EGM / Amending Article No. 3 of the company's bylaws.