The EGX 30 index of the Egyptian stock exchange Wednesday fell 3.6 percent, closing at 6132.6 points, down 234.9 points. Foreign investors were more inclined to buy yesterday, while Egyptian and Arab investors sold.
Dubai Holding, a subsidiary of Dubai Capital, sold 25 percent of its 7 percent stake in the Egyptian investment house EFG Hermes. Dubai Capital announced at the end of November that it would restructure its international investments in order to generate liquidity to pay its US$60 billion debt.
Speaking on condition of anonymity, a source at Hermes said Dubai Holding got US$120 million for 550 shares, at LE26 per share. The source added that the company sold its shares to three foreign investment funds, which means the remaining shares would not be greatly affected.
"Selling to funds as opposed to individuals maintained the remaining shares to a great extent. They only went down by 6 percent to close at LE27.7 per share," he explained.
Meanwhile, Emaar announced the suspension of its earlier plan to merge with Dubai Holding, after studies proved it unfeasible.
Translated from the Arabic Edition.
