Pre-Trading Thoughts

Prime Minister said that there is a plan to offer three to four companies affiliated with the military on the EGX. We should know more next week with the release of the government’s privatization plan for the coming period.

Prime Minister said that foreign companies, both new to the market and veterans, are getting ready to launch projects, including in the automotive and renewable energy industries.

Scatec’s Obelisk Solar was granted a golden license for a USD600 million solar project over a 16.3 sq km area in Nagaa Hammadi. 

Scooter manufacturer Piaggio is mulling reopening its factory in Egypt.

Home appliances manufacturer Ariston is thinking about expanding its presence in the Egyptian market. 

Railway company HitachiRail, which recently acquired Thales’ ground transportation unit, is looking to expand its footprint in Egypt.

Luxury yacht manufacturer Navigo highlighted its interest in investing in Egypt’s yacht industry.

Industrial vehicles manufacturer Iveco is conducting a feasibility study to launch a new factory in Egypt for truck manufacturing.

Railway and urban mobility company Salcef Group discussed establishing a new company in collaboration with Egyptian Railways for Track Renewal and Maintenance Company.

The Prime Minister stated that there are five global alliances competing to plan the area surrounding the Pyramids, the Grand Egyptian Museum, and the Sphinx Airport.

Italian state-owned Italian State Railways discussed submitting an offer to manage and operate Egypt’s high-speed electric rail network.

China’s New Hope Group is exploring a USD100 million investment to establish a feed production complex in an industrial zone.

FutureFert is set to launch the first phase of its USD40 million fertilizer plant after receiving a golden license for the project. 

Yemen’s Al Kbous Tea plans to invest around USD30 million in Egypt over the next two years to boost production capacity and upgrade machinery.

The New Urban Communities Authority is mulling a EGP150 billion sukuk program in 2025, which would help fund the development of land plots in new cities.

United Bank’s shares are expected to debut on the EGX next week, with sources telling media that shares could start trading on Tuesday. 

HRHO announced the completion of its advisory services for the IPO of United International Holing (UICH) in Tadawul Saudi Arabia with a market cap of USD264 million. 

ATLC general assembly approved the distribution of cash dividends of EGP0.599/share forFY23, implying a dividend yield of 13.1%.

EFIH’s cash dividends of EGP0.197/share record date is on 24 December 2024 and distribution date is on 29 December 2024.

MBSC reported solid financial performance in 3Q24. Net profit came in at EGP165.4 million (+7.3% YoY, -8.1% QoQ). 9M24 net profit recorded EGP387.0 million, up from EGP243.7 million in 9M23. MBSC is trading at FY25 P/E of 10.3x and EV/EBITDA of 7.7x.

ARCC is to distribute cash dividends of EGP1.585/share for FY23, implying a payout ratio of 87% and a dividend yield of 11%.

CCAP’s waste management company Ecaru will close and rehabilitate the Qalabshu landfill in Dakahlia as part of the Kitchener Drain Project, under a EUR10 million agreement inked with the Local Development Ministr