Back to the complete issue
Monday, 5 April 2021

What the markets are doing on 5 April 2021

Morocco’s debt is now rated junk after S&P downgraded the north African country’s long-term FX and local currency rating to BB+ from BBB-, citing expectations of slow “budgetary consolidation over 2021-2024,” according to Bloomberg. S&P says the rating outlook is now stable, after previously giving Morocco a negative outlook.

Middle Eastern logistics firm Tristar Transport has priced its planned IPO in Dubai at AED 2.2-2.7 (USD 0.60-0.74) per share, giving the company a market cap of AED 2.64-3.24 bn after listing, it said in a press release (pdf). Tristar is offering up to 24% of its shares in the IPO, and could raise as much as AED 777 mn from its secondary and primary sales. If it is priced at the upper end of the range, Tristar’s listing would be the biggest on Dubai’s main exchange since 2017, when Emaar Development’s IPO raised USD 1.3 bn, Bloomberg reports. The bidding process started yesterday and will wrap up on 15 April, the statement said.

A record 76 tech companies shelved plans to list on Shanghai's answer to the Nasdaq, Star Market, last month, after China put the brakes on Alibaba-affiliate and financial tech powerhouse Ant Group's USD 37 bn IPO amid increased scrutiny and tighter regulation, the Financial Times reports, citing figures released by the exchange. There have now been over 180 withdrawn offerings on Star compared to 12 in November, when Ant Group’s IPO was canceled. This flurry of cancellations suggests China is backtracking on its plans to simplify listing procedures under a registration-based system, which could throw a wrench in the country's plans to develop its onshore capital markets in light of a US law that could push Chinese companies to delist from Wall Street.

Down

EGX30

10,417

-1.4% (YTD: -3.95%)

None

USD (CBE)

Buy 15.65

Sell 15.75

None

USD at CIB

Buy 15.66

Sell 15.76

None

Interest rates CBE

8.25% deposit

9.25% lending

Up

Tadawul

9,962

+0.7% (YTD: +14.7%)

Up

ADX

5,953

+0.2% (YTD: +18.0%)

Down

DFM

2,550

-0.3% (YTD: +2.3%)

Up

S&P 500

4,019

+1.2% (YTD: +7.0%)

Up

FTSE 100

6,737

+0.4% (YTD: +4.3%)

Down

Brent crude

USD 64.56

-0.5%

Down

Natural gas (Nymex)

USD 2.61

-1.3%

None

Gold

USD 1,729.10

-%

Up

BTC

USD 58,143

+1.1% (as of midnight)

The EGX30 fell 1.4% yesterday on turnover of EGP 789 mn (45.2% below the 90-day average). Foreign investors were net sellers. The index is down 4.0% YTD.

In the green: Eastern Co. (+1.6%) and Oriental Weavers (+0.3%).

In the red: Abu Qir Fertilizers (-4.4%), MM Group (-3.7%) and Ibnsina Pharma (-3.6%).

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Etisalat Misr (tax ID: 235-071-579), the leading telecoms provider in Egypt; and Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt.