Egypt's main index inches down on real estate losses

Ahram Online , Thursday 21 Apr 2016

Egyptian stock exchange in Cairo
Traders work at the Egyptian stock exchange in Cairo, Egypt in this August 23, 2015 (Reuters)

Egypt's main index EGX30 ended the trading week on Thursday down 0.24 percent to 7,781 points as the heavyweight real estate sector plunged.

Local and Arab investors were net-sellers in a session that witnessed a daily stock turnover reaching EGP 928 million.

Shares of the leading listed property developer companies Talaat Moustafa Group (TMG) holding, Palm Hills Development and SODIC fell 1.77 percent to EGP 6.64 a share, 1.81 percent to EGP 2.68 per share and 1.94 percent to EGP 11 per share, respectively.

However, Commercial International Bank (CIB) and Orascom Telecom for Media and Technology (OTMT) were the biggest gainers in the main index, rising 1.11 percent to EGP 42.8 a share and 2.74 percent to EGP 0.74 a share.

Egypt's Court of Cassation overturned on Thursday a ruling obliging the CIB to submit a mandatory tender offer for claimant shares in its investment banking arm, CI Capital. This eliminated one of the main reasons given by the state's Financial Regulatory Authority to delay the acquisition of CI Capital by financial services firm Beltone Financial.

In February, CIB signed a deal to sell CI Capital to Beltone Financial, a unit of billionaire Naguib Sawiris' Orascom Telecom and Media Technology Holding (OTMT), for EGP 924 million.

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