Eastern Company
Ahead of expectations, the UAE’s Global Investment Holding Company has acquired 30 percent of Egypt’s Eastern Company
Cigarette increments ranged from LE 1.5 to LE 3 per pack.
the increase came much less than the expectations of traders in the market, according to the Head of the Tobacco Division at the Federation of Industries, Ibrahim Imbabi.
The program aims to organize the resources and operations resulting from daily business, and to link the departments to each other, through one comprehensive system to raise the efficiency and performance of work within the system, in addition to linking all the company’s transactions, in line with the state’s plans in the digital transformation system.
Egypt’s Prime Minster Moustafa Madbouly directed, Monday banning smoking in sports clubs, all health, educational and governmental facilities along with any other buildings the ministry of health decides.
The company stated in a statement that the price of Cleopatra Black will be increased to LE 24, Mondial (red - blue - silver) to LE 21, and Mondial Switch (Menthol / Blueberry) to LE 24.
The health insurance law stipulates that there will be a tax of 25 piasters every 3 years on cigarettes until it reaches LE 1.5, explaining that there are still two other increases until it reaches LE 1.5.
The limit of production of 7 billion local cigarettes in one month had been exceeded by 10 percent than the previous highest production figure.
The company added, in a statement to the Egyptian Exchange (EGX), that it is studying the production of these alternatives in terms of the ability of their consumers to use them.
The company added that one of the conditions of the brochure is to provide the option for the General Assembly of the Eastern Company - Eastern Company to participate in the capital of the new company at a rate of 24 percent without bearing part of the license cost.
This came in the company’s commentary on published news regarding the Egyptian government's intention to issue a new license to produce cigarettes in the Egyptian market.
In January, the company achieved profits of LE 412 million, up from LE 304 million during January 2020.
Revenues amounted to LE 8.16 billion during the first half of current fiscal year, compared to LE 7.69 billion in the half of last year.
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
