Egyptian Exchange posts gains post-Eid holiday, Citadel Capital in debt settlement deal.
Egyptian Exchange (EGX) kicked off Monday's session with collective gains across indices, marking the first trading day following the Eid al-Fitr holiday.
The EGX 30 index rose by 0.94% to reach 28,771 points, while the EGX 30 capped index surged by 1.06% to hit 35,316 points. Additionally, the EGX 30 total return index jumped by 0.97% to 12,280 points.
Moreover, the EGX 70 equal weights index for medium and small-cap companies climbed by 0.68% to 6,585 points, and the EGX 100 equal weights index increased by 0.75% to 9,381 points. However, the differentiation index declined by 0.17% to reach 7,496 points.
During the trading session, internal stakeholders and major shareholders showed mixed activities. The boards of directors of Nile Holdings Investments, Egyptian Resorts Company, and Digitaize Investment and Technology 1 offered 329.9 thousand shares, 1 million shares, and 5.7 million shares, respectively. Additionally, a group associated with medical packaging companies and tourism pioneers sold 4.2 million shares and 825.5 thousand shares, respectively.
On the buying side, the boards of directors of Arab Cotton Ginning, Medical Packaging, Palm Hills Developments, Nile Holdings Investments, and Grand Investment Holding purchased 26.1 thousand shares, 4.4 million shares, 1 million shares, 32 thousand shares, and 3,500 shares, respectively. Another group related to Egyptian Real Estate Group, Ahli Development and Investment, Egypt Hotels, Tourism Pioneers, and Egyptian Resorts Company bought 2.3 million shares, 80.8 thousand shares, 1,362 shares, 6,471 shares, and 1 million shares, respectively.
Furthermore, Rayah Holding for Financial Investments and Rayah Contact Centers Services acquired 327 thousand treasury shares during Sunday's trading session. Meanwhile, New Urban Communities Authority received technical and financial offers from Hyde Park Properties for Development, New Urban Communities Authority, and Mountain View for participation in New Heliopolis City.
Separately, Citadel Capital for Financial Investments announced the signing of an agreement to settle its obligations to a group of creditor banks (Banque Misr, Banque du Caire, Arab African International Bank, and Kuwaiti Ahli Bank) for approximately EGP 4.5 billion through 239.2 million shares representing a 17.68% stake in Arabian Energy, while retaining the right to repurchase them within five years. Additionally, the banks have the right to resell them to Citadel in the sixth year, along with a 60.1 thousand square meter land plot along the Nile in the Tabein area, and compensations for exchange rate changes and stock market fluctuations from the agreed price.
Moreover, Citadel and its affiliated companies reached an agreement to restructure and settle their debts to Arab International Bank, where Citadel and its companies will pay EGP 184 million in installments from 2024 to 2033 at an interest rate equivalent to the SOFR rate and with a set of enhanced guarantees. These agreements aim to reduce Citadel's debts, lower financing costs, and achieve capital gains, positively impacting Citadel's financial statements.
In another context, several companies listed on the Egyptian Exchange announced their financial results for the ended period. Ezz Steel recorded sales of EGP 142.9 billion in 2023, compared to EGP 83.4 billion, representing a 70% growth, but turned to a loss of EGP 717 million compared to a profit of EGP 6.6 billion due to currency exchange losses of EGP 30.9 billion.
Additionally, National Bank of Egypt achieved a net profit of EGP 7 billion during the period ended on March 31, 2024, compared to EGP 4.7 billion during the same period last year, reflecting a 49% increase, with total assets reaching EGP 731.7 billion, up from EGP 628.8 billion, and total deposits reaching EGP 621 billion, up from EGP 529.6 billion.
