Egypt’s top cigarette maker told the Egyptian Bourse its decision to officially raise the selling price for some products of the state-owned company, including molasses (mu’assel) and minced tobacco, by a range of LE 0.5 ($0.032) to LE 3 ($0.19).
The company said it targets projects worth LE 25 million during the next financial year, compared to targeted projects of LE 50 million in the current fiscal year.
EGX clarified in a filing that the public offering registered LE76.06 million through 5.06 million shares, and the private offering amounted to LE 1.6 billion through 96.18 million shares.
The private offering of the cigarette company was oversubscribed by 1.8 times at price of LE 17 which exceeds the company’s share price on Thursday by 3 percent.
A private offer for shares in Egypt’s top cigarette maker Eastern Company SAE was covered 1.8 times at 17 Egyptian pounds ($0.9737) per share.
The Eastern Company was pressured by PMI to settle to $5.8 as the manufacturing fees of 1,000 cigarettes among Zero to 15 billion cigarettes.
Members of the Egyptian Parliament are preparing to launch a thorough investigation into the activities of Philip Morris Misr LLC.P
Egypt will float new stake of Eastern Company on the Egyptian Exchange (EGX) in March, to be the first to be offered of the government’s initial public offering program.
In a filing to the EGX, the company, headed by Managing Director Hany Aman, explained that it anticipates that the increase will come through hike in exports and local sales.
Egypt hopes the sales will raise badly needed funds for the state and boost the private sector as the country implements austerity measures backed by the International Monetary Fund and struggles to contain inflation and debt.
The minister expected the yields of the offering to reach LE 2 billion, noting that the timing of the offering will be determined in cooperation with EFG Hermes, the advisor of the offering.
The board of directors of the company approved the splitting of its stock to be valued at LE 0.50 instead of LE 5.
Badawi expected that Alexandria Container and Cargo Handling Co (ALCN) will be the second public company to be listed on EGX.
Chemical Industries Chief Executive Officer expected the offering of the shares to take place during the current year.
Eastern Company SAE (EAST) said Thursday that its draft budget for fiscal year 2018/2019 targets to import LE 57.5 billion to Egypt’s public treasury.
The release showed that EAST achieved profits of LE 2.32 billion, after taxes, up from LE 890.4 million in H1 of 2016/2017.
A wrap-up for the most prominent business news of the day.
The prices of cigarettes will increase by LE 2-3 per pack according to the new amendments.
Eastern Company’s net profit rose 17.8 percent to stand at LE 1.7 billion ($94.8 million) in the fiscal year of 2016/2017.
Eastern Company’s net profit rose 17.8 percent to LE 1.7 billion ($94.8 million) in the fiscal year of 2016/17 compared to LE 1.47 billion in the year-ago period.