Today, Monday, the Egyptian Stock Exchange will again witness the start of trading in the shares of the Arab energy company without price restrictions after the cancellation of all transactions made with the shares of the company during the first trading day of the shares of the Egyptian Stock Exchange.
The company’s shares began trading on Sunday and posted a meteoric rise as the share price soared from £0.50 to over £500, prompting the Board of Directors of the Egyptian Stock Exchange to cancel all trades that took place on the exchange and announce about the beginning of trading in the company’s shares again at today’s session.
The Egyptian Stock Exchange management said in a statement that the cancellation of transactions occurred after placement consultant EFG-Hermes filed a cancellation request motivated by incorrect execution, and about 75 transactions were made by mistake by some individual investors in the amount of about 395 thousand pounds. sterling. The last market price for the share was around £376.5 before the first trading session without price caps was cancelled.
And the only deal to be realized will be the issuance of Qalaa Holdings shares in TAQA via a high volume engine deal worth in excess of £3.6 billion during Sunday trading session.
According to trading rules, the Egyptian Stock Exchange allows stocks to rise and fall by 20% during a trading session, before trading in shares is suspended if they exceed this percentage. However, last week, the exchange announced that these rules did not apply to Taqa Arabia shares on the first trading day, exposing the company’s shares to extreme levels of fluctuation.
The company’s share was valued at approximately £8.90 per share prior to its listing and trading, resulting in a company valuation of £12 billion. This is a technical proposal, not an initial proposal. Since it became possible to trade the shares of the company on the Egyptian Stock Exchange, but without offering shares (whether on the main or secondary market), which would be arranged by the existing shareholders before listing. The technical offer simply allows investors to start offering shares for sale to other investors through the stock exchange.
In a recent statement, the CEO of Taka Arabia, Pakinam Kafafi, revealed that several projects are being launched in the gas sector in cooperation with the Saudi Gas Company, listed on the Tadavul market, in the major cities of the Kingdom, through the creation of a new company with a 50% share for each from two sides.
She said the Saudi Arabian market is promising and provides strong incentives for investment. The company is also looking to expand in Mozambique and currently has 4 stations and has started building two new stations this year.
She indicated that the company will open during the last quarter of 2023 a filling station and conversion center in Tanzania, creating a new company in partnership with a company operating in this market, refusing to disclose the identity of the company. She said the total investment the company will make this year will be £1.7bn, up from £1.8bn in 2022.
