4.5% Delay in "Eastern Tobacco" Shares in Egyptian Stock Market Due to Market Fluctuations

The Egyptian Ministry of Finance announced yesterday that the Higher Management Committee of the Cabinet Program of Proposals had decided to postpone the offer of 4.5% of shares of Eastern Company (Eastern Company) (Eastern Tobacco) due to fluctuations in global markets.

The ministry said in a statement that the adjournment decision was "in the light of recent developments in global financial markets … because of the coincidence of many external factors, including the growing protection policies followed and the trade war between the United States and China and the difficulties faced by a large number of Emerging markets. "" This is due to rising interest rates on US Treasury securities, which have contributed to the growth of the US market. increased cash flow outside emerging markets, which had a negative impact on the Egyptian financial market. "She stressed that" all these factors had a negative impact on the Egyptian capital market and resulted in a decline in certain prices of securities traded on the stock market and the decline in the value of daily transactions ".

The shares were to be floated on the stock market this month, but the press release did not mention a new date for its implementation.

The Ministry of Finance announced last month that the government would launch a program of proposals to sell 4.5% of the shares of the company "Eastern Tobacco Company" on the stock market to collect about one billion pounds sterling.

"The adjournment decision indicates that the current price of the company's shares lies outside the price range set by the Cabinet's decision to place shares of state corporations in an equal or greater percentage to 10% at the average closing price of the month preceding the announcement of the appointment of investment banks, She ".

The government holds 55% of Sharqia Tobacco through the Holding for Chemical Industries. The stock price of the company was 15.75 pounds at the close on the Egyptian stock market yesterday.

The government is working on a program to sell the shares of dozens of its own companies over the next three to five years in sectors such as oil, services, chemicals, shipping, marine services and shipping. real estate, in order to support the public finances of the state.

Egyptian Minister of Trade and Industry, Amr Nassar, discussed with the Nestlé delegation, led by the company's managing director, Moataz Al-Hout, the company's ongoing projects in Egypt and investments to develop during the next phase.

Nassar said in a statement that the company plans to open a new coffee plant in early January, which will include eight production lines, which will provide high-quality Egyptian products that will compete in international markets and pave the way for to an increase in Egyptian exports.

"Over the last five years, the company has injected new investments into the Egyptian market worth up to LE 1 billion," he said, noting that his current business plan in Egypt was based on three axes: the expansion of investment, the creation of jobs and the increase of exports.

Egypt Air yesterday signed a partnership agreement with KMK Investments, a company based in the United Arab Emirates, and its strategic partner, Safe Ports Holding, which specializes in securing airports and seaports, to create a logistics village at the airport. 39, Cairo International Airport. This is part of the development strategy adopted by the Ministry of Civil Aviation headed by Younis Al Masri.

Under the new agreement, KMK designs and finances the construction of the project, as well as the operation and supervision of EgyptAir's cargo and export projects, while SafePort's role is to secure the project. .

The agreement was signed by Ahmed Adel, Chairman of the Board of Directors of EgyptAir Holding Company, CEO of KMK Omar Khadr and Managing Director of Safeport Holding in the Middle East and North Africa, Jerry Scanlan.

"The project will help improve the efficiency of Cairo International Airport and its absorption capacity and allow it to keep abreast of the steady increase in cargo handling, maintenance and Improve its competitiveness and facilitate the flow of goods from and to the Cairo International Airport. " "The company will contribute to the fluidity of the trucks and facilitate easy and safe entry and exit."

Khadr said: "This partnership is part of the continuation of the joint and fruitful cooperation between the two countries and the consolidation of relations between Egypt and the United Arab Emirates in all areas."