Egypt to add 4.1 million citizens to Takaful and Karama program

Newsletter

03 Oct 2022

Egypt to add 4.1 million citizens to Takaful and Karama program. Egyptian President Abdel Fattah El-Sisi directed the government to add 4.1 million citizens to the Takaful and Karama cash subsidy program over the next four years, Minister of Planning and Economic Development Hala El-Saeed stated. That will bring the program’s total cost to 21 billion EGP from 19 billion EGP. El-Saeed noted that the government increased the number of beneficiaries of the Takaful and Karama pensions to more than 5 million households from 4.1 million, with a total annual cost of around 5.5 billion EGP. (Arab Finance)

FRA approves 23 billion EGP securitized bond issues.
The Financial Regulatory Authority (FRA) approved three securitized bond issues with a total value of 23 billion EGP. The first issue is worth 20 billion EGP and is the seventh issue by El Taamir for Securitization for the New Urban Communities Authority (NUCA). It is considered to be the biggest issue since the regularization of securitized bonds. The second issue is the second of the first program of Tamweel for Securitization. It covers a mortgage portfolio of 1.598 billion EGP by Tamweel Mortgage. Moreover, the FRA also approved the second issue of the first program of GlobalCorp for Financial Services with a value of 1.284 billion EGP. (Al-Arabiya News)
Israel’s NewMed could acquire Egypt oil and gas assets via Capricorn merger.
Capricorn Energy has abandoned contested plans to merge with Tullow Oil in favor of an all-share tie-up with Israel’s NewMed. Under the proposed terms, shareholders of NewMed would acquire almost 90% of the new company, receiving 2.337344 Capricorn shares for each existing share and paying out a 620 million USD special dividend to Capricorn shareholders. This would hand NewMed control of Capricorn’s assets in Egypt, paving the way for closer energy ties between Israel and Egypt and creating what the companies described as a “MENA gas and energy champion.” (Enterprise)
Moving to our EGX and companies talks, EKH announces 20 million USD share buyback.
Egyptian Kuwait Holding (EKH) will spend 20 million buying back around 1.5% of the company (16.9 million shares) over the next year in a bid to buoy its share price. The company’s share price rose 3.0% on Thursday. The company’s share price has fallen almost 18% since March, despite reporting two consecutive quarters of record earnings during the first half of the year on the back of rising fertilizer prices. Its net income rose 60% y-o-y to 72.4 million USD during 2Q 2022, while revenues rose 53% y-o-y to 284.8 million USD. (Al Mal)
Qalaa Holdings reports first quarter in black since 2018 in 2Q 2022.
Qalaa Holdings returned to the black for the first quarter since 2018 in 2Q 2022 on the back of record revenues driven by improved refining margins at the Egyptian Refining Company (ERC). The company generated a net income of 361.6 million EGP during the April-June quarter, compared to 401.5 million EGP in losses last year, after revenues soared to almost 27 billion EGP, up 165% on 2Q 2021. (Al Mal)
Marseilia’s board nods to 50 million EGP lease.
The board of directors of Marseilia Almasreia Alkhalegeya for Holding Investment (MAAL) approved a financial lease agreement with a value of around 50 million EGP. The agreement covers 11 chalets in Marseilia Land village on the coast of Marsa Matrouh. Marseilia is an Egypt-based company engaged in real estate property investment, development, and management. (Arab Finance)
Memphis Pharmaceutical’s board OKs 171.25 million EGP capital hike.
The board of directors of Memphis Pharmaceutical (MPCI) approved an 171.25 million EGP increase in the issued and paid-up capital. Accordingly, the company’s issued and paid-up capital will be increased to 227.5 million EGP from 56.25 million EGP. The capital increase will be financed by HoldiPharma and ordinary shareholders. (Arab Finance)
Wadi Kom Ombo sells 12.2 million EGP commercial unit.
Wadi Kom Ombo for Land Reclamation Company announced the sale of a commercial unit in consideration of 12.225 million EGP. The unit spans 163 square meters and is located in the Aswan Governorate. Wadi Kom Ombo is an Egypt-based company that is engaged in the real estate development sector. (Arab Finance)
EHDR denies receiving acquisition offer from Saudi company.
Egyptians for Housing and Development Company (EHDR) denied receiving an offer from a Saudi company for 25% of the company’s shares at the average price of the last 6 months. The company revealed that it is currently engaging in talks with a major Saudi company operating in real estate development for a strategic partnership with the Egyptians Real Estate Fund. The partnership will include the development of a project in collaboration with the New Urban Communities Authority (NUCA). (Arab Finance)
LimeVest-Tawasol consortium buys 70.44% stake in Alex NMC for 535.43 million EGP.
Tawasol Holding and LimeVest Partners for Healthcare acquired a 70.44% stake in Alexandria New Medical Center (Alex NMC) (AMES) in consideration of 535.428 million EGP. LimeVest Partners acquired a 61.63% stake in Alex NMC for 468.178 million EGP. Tawasol Holding increased its stake in the company from 25.92% to 34.73% for 67.25 million EGP. On September 20th, the Financial Regulatory Authority (FRA) received a request from the consortium comprised LimeVest Partners and Tawasol Holdings to amend the offered price for the mandatory purchase offer (MTO) of Alex NMC to 49 EGP per share, instead of 47.67 EGP. (Arab Finance)