Egypt, the world’s largest wheat importer, had to cancel a tender for buying wheat due to a sharp increase in prices

Newsletter

02 Mar 2022

For our top talks today, Egypt, the world’s largest wheat importer, had to cancel a tender for buying wheat due to a sharp increase in prices. This marks Egypt’s second cancelation for a wheat tender since February 24th amid the ongoing Russia-Ukraine crisis. On February 28th, three companies have taken part in Egypt’s wheat tender, with two offers of French wheat and one for US supplies. Egypt is one of the countries in the MENA region that highly depends on wheat imports to meet the citizens’ demands. Both Russia and Ukraine control more than a quarter of global wheat exports, however, restrictions on grain supplies from the area could further raise global food prices. (Bloomberg)

Automotive sales in Egypt grew by 2.2% year-on-year (YoY) in January 2022, reaching 21,176 cars, as compared to 20,713 in January 2021, Al Borsa News reported, citing a recent report by the Automotive Information Council (AMIC).
Sales of passenger cars in the Egyptian market rose by 13.2% last January to 16,889 cars from 14,923 in the same month of 2021. Suzuki topped the automotive sales in Egypt, acquiring a market share of 13% in January. Meanwhile, Chevrolet came in the second place, with a market share of 12%, while Nissan was ranked third in terms of sales, with a market share of 11%. Toyota captured the fourth spot, with a market share of 10%, while Hyundai came in the fifth spot, with a market share of 8%. (Arab Finance)
The Egyptian government has carried out projects with $400 billion in investment to improve the quality of life for citizens during the period from June 2014 until June 2021, according to the Minister of Planning and Economic Development, Dr. Hala El Said stated.
The minister also highlighted the main strategic target of the development of the Egyptian family plan, embodied in improving the quality of the Egyptian citizen’s life through controlling the population growth and upgrading demographics. The plan covers a number of factors, including economic empowerment, legislative intervention, reproductive health services, digital transformation, spreading awareness, along with cultural and educational factors, El Said pointed out. (Arab Finance)
Moving to our investments talks, TAQA Arabia, the leading energy distribution company in the Arab world, has signed a memorandum of understanding with Tanzanian government officials to develop and develop several gas deliveries projects.
TAQA Arabia, one of the Citadel Group companies, through this memorandum of understanding, is able to transfer its expertise in the fields of transportation and distribution of natural gas and compressed gas to Tanzania in order to enhance investments, especially in the energy sector, which contributes to encouraging the use of natural gas as a clean source of energy compared to other alternative petroleum sources. (Al-Mal)
Pfizer Inc, the New York-based pharmaceutical and biotechnology cooperation, is currently testing two different versions of Covid-19 vaccines, Vice President, according to the Vice President and Regional Medical Lead at Pfizer AfME Yasser El Dershaby.
The corporation is testing an omicron-based vaccine to boost the immunity against the variant, in addition to, a bivalent vaccine, El Dershaby highlighted. Moreover, he added that Pfizer aims at developing the most-updated version of Covid-19 vaccine, in case a new variant emerged. In the Middle East and Africa (AfME) region, the corporation has been playing an aspiring role in the medical innovation field by supporting both collaborative and independent research. The leading company has been also working on building a robust clinical trials infrastructure in some African countries as per local regulations in these countries, El Dershaby pointed out. (Arab Finance)
And for our EGX and companies talks, Eastern Company’s (EAST) board of directors approves a new price list for its local cigarettes’ brands.
Under the new prices, the 20-cigarette pack of Cleopatra King Size, Cleopatra Soft Queen, Cleopatra Box, and Cleopatra Super brands will cost 18.5 EGP, 19 EGP, 20, EGP and 21 EGP, respectively. Moreover, Mondial and Cleopatra Black Label brands will be priced at 21 EGP and 24 EGP per 20-cigarette pack. The new prices will be applied as of March 1st 2022. (EGX)
The state-owned Administrative Capital Company for Urban Development has appointed investment bank CI Capital as an advisor to offer its shares on the Egyptian Stock Exchange, according to Ahmed Zaki Abdeen, Chairman of the Administrative Capital Company for Urban Development.
Abdeen indicated that the planned offering is "after two years, and we may offer subsidiaries in the capital market." The new administrative capital is being established 45 kilometers east of Cairo, and the project was announced in March 2015 during an economic summit held in Sharm El Sheikh to attract foreign investors. Last August, Egyptian President Abdel Fattah al-Sisi said that the Administrative Capital Company may be offered on the Egyptian Stock Exchange in a record public offering within two years, noting that the company has liquid assets of 100 billion pounds, and assets under management ranging between 3 and 4 trillion pounds, without going into more details. (EGX)
Talabat Mart, which provides grocery delivery service within 20 minutes through the Talabat app, announced its recent expansion in Egypt to include the cities of Assiut, Zagazig, Ismailia and Port Said to its list of service areas.
Talabat is the first company to introduce the express trade system in Egypt, when it launched “Talabat Mart” in March 2021, where Talabat uses its own technology systems, including delivery and implementation processes appropriately for the retail environment, through dark or virtual stores that it considers the primary shopping center. (Al-Mal)
Nashwa Gad, Chairman and Managing Director of Watch It platform, said that the platform's strategy includes acquiring a number of short films that will be announced later.
Gad explained that watch it currently enables users to watch content according to the available Internet speed without affecting the clarity of the image. She noted that the platform is no longer linked to the Ramadan season only, and the Eid al-Fitr movie is scheduled to be shown exclusively on the platform to coincide with the theaters, indicating that the platform is in the process of launching an extensive marketing campaign on social media platforms with the help of specialists in. international companies. (Al-Mal)
GB Auto (AUTO) announced that it is considering investment options for a sale of a part of its stake in MNT Investments.
This announcement came after some shareholders in MNT Investments expressed desire to sell shares to a potential investor. Moreover, GB Auto confirmed that it is examining all options, adding that a deal may or may not be completed “depending on the outcome of the relevant studies and negotiations.”. (EGX)
Faisal Islamic Bank of Egypt (FAIT) is planning to launch digital self-serving branches which will provide services faster than traditional branches.
The launch of the new branches is pending the approval of the Central Bank of Egypt (CBE). Faisal Islamic Bank seeks to open four branches in 2022 in Sheikh Zayed, the New Administrative Capital, Beni Suef, and Shebeen El-Kom. Moreover, banking sources said that the bank is set to launch a new website which will be more developed that the current website. It is worth noting that Faisal Islamic Bank of Egypt reported an 32% annual increase in consolidated profits excluding minority shares. (Amwal Al Ghad)
Cairo Poultry Company (CPC) (POUL) reported consolidated profits attributable to the parent company of 182.23 million EGP in 2021, from 103.378 million EGP in 2020.
Revenues from contracts with clients increased to 4.995 billion EGP in the full year ended December 31st 2021, from 4.178 billion EGP the year before. Meanwhile, the company’s standalone net loss after tax skyrocketed to 62.66 million EGP in 2021, from 6.906 million EGP in 2020. CPC, a subsidiary of Kuwait Food Company, is an Egypt-based company that operates in the farming and food processing sectors. The listed firm focuses on the breeding and fattening chicks, production of animal feed, and hatching of eggs, as well as participating in similar projects inside and outside Egypt. (EGX)
Egyptian Arabian Securities Brokerage (Cmar) (EASB) posted a 74.4% year-on-year (YoY) profit increase in 2021.
The company’s net profit grew to 12.033 million EGP in the full year ended December 31st 2021, from 6.899 million EGP in 2020. Revenue went up 32.56% to 39.083 million EGP in 2021, from 29.483 million EGP in 2020. Cmar, formerly known as Egyptian American Company for Securities Brokerage, is an Egypt-based public shareholding company engaged in the provision of investment services. The company operates a range of investment activities that include sale and purchase of securities, mediation in the purchase and sale of securities to investors in the Egyptian capital market and providing financial advice, e-trading, establishment and ownership transfer, provision of training sessions, and financial advisory services. (EGX)