First:
NILEX, the Egyptian Exchange market for growing medium and small companies, will commence trading on Thursday 03/06/2010 trading session. The trading session will be daily from 11:00 a.m. till 12:00 p.m. to be closed automatically between11:50 a.m to 12:00 p.m.
Second:
The following securities are listed:
- El Badr Plastic
- Masria Card
- TN Holdings for Investment
- Kato Agriculture Development Co.
- Utopia Real Estate Investment and Tourism
- Ameco Medical Industries
- International Company for Fertilizers and Chemicals
- Al Oroba Trading Mining and Supplying
- AL Moasher for Programming and Information Dissemination - trading will be suspended until it submits the disclosure report in accordance to the provisions set in this regard.
- El-Barbary Investment Group (B.I.G) - trading will be suspended until it complies to the provisions of Article No. (45) of Law no.159 for year 1981.
Third:
The opening price on the first trading day (03/06/2010) will be the par value of the security.
Forth:
The market will be opened to put orders (bids) starting Tuesday, 01/06/2010 while all the current (bids) and (asks) on NILEX board will be cancelled before the end of Monday, 31/05/2010, working hours.
Fifth:
Bids and Asks will be allowed without price limits on all listed securities, and will continue adding the (bids) and (asks), without price limits until at least one transaction is executed. After which, a 20% price limit (up and down) will be set on the (bids) and (asks) of the trading price (the price which trading was executed on the previous session) starting the following session.
- Trading on NILEX Starts within Few Days
In line with the imminent end of the listed companies fulfillment of NILEX listing rules which permits the trading of the company's shares, EGX management ? after a series of successful mock sessions with more than 2300 transactions in which all the listed brokers have participated- will commence the trading in the small and mid cap companies market starting Thursday 3rd of June. This is a step to allow the companies listed on NILEX to complete the offering of 10% of its shares in accordance with NILEX listing rules. In addition EGX asked the companies listed on NILEX to submit its disclosure reports to commence trading of its stocks according to the rules organizing the capital markets. The disclosure report should include the company's basic information, its area of activity, current investments, board members and their shares in addition to the financial situation of the company. Moreover, the Egyptian Exchange will publish the disclosure reports on the trading screens to allow all the investors to know the companies' financial status.
Trading on NILEX will allow the local and foreign investor for the first time in the MENA region to diversify their portfolio's to incorporate shares in small and medium companies.
The Chairman of EGX, Maged Shawky, announced that the trading session will take place daily from 11:00 a.m. to 12:00 p.m., and will follow an auction system style like the discovery session that is applied in the main market. In which the investors can enter their bid and ask offers any time during the last ten minutes in the session, and the transaction will be completed based on the price that ensures the highest volume traded. If more than one price matched the criteria, some other criteria is taken to choose form among the prices. The price which ensures that the least amount will be left unexecuted is to be chosen. If two prices are equated, in this case the average of the two prices is to be chosen. After the end of the session the orders that match the price are executed (from the orders given during the session). This criterion has been chosen due to the small size of these companies, as the auction system provides a better mechanism for trading and pricing these companies.
Meanwhile, Dr. Mohamed Omran, EGX Vice President, announced that trading on any company in NILEX, only during the first trading session will take place without any price limits and until the first trade takes place on any company. There after a 20% price limit will be implemented on the following sessions. Dr. Omran added that any investor can put bid and ask orders through the current brokerage firms exactly like the main market's system.
Not to mention that the companies listed on NILEX are listed companies subject to the same listing and disclosure rules imposed on the main market companies. NILEX witnessed the first listing in mid 2008, and since then several local and foreign funds showed interest to invest in the promising companies listed on NILEX which shows strong expected demand on the inception of trading.
NILEX has been launched ? the first of its kind in the MENA region- after the study of several successful foreign examples as a step to provide support for promising SMEs to achieve the required financing for growth and expansion to raise its competitive abilities and provide more employment opportunities.
Worth mentioning, that despite the global financial crisis, NILEX was able to attract 10 listings from several sectors, Industrial, Information Technology, Retail, Mining; in addition to Agriculture, Chemicals and Medical Industry.
- The Egyptian Financial Supervisory Authority Decisions Regarding the Amendments in NILEX Rules
The Egyptian Financial Supervisory Authority (EFSA) has required the Nominated Advisor to issue a research coverage for the companies it sponsors. In addition, companies applying for listing on NILEX, and that have changed their legal status into joint stock companies, are exempted from publishing the disclosure report in accordance with Article no. 138 of the executive regulations of Law 159 of 1981. The companies are required instead to publish the disclosure report on the trading screens of the Exchange. Moreover, EFSA decided to remove the ceiling for the par value of the companies listed on NILEX.
- A Request of Al Oroba Trading Mining and Supplying Company for Listing on Nilex
Al Oroba Trading Mining and Supplying Company has submitted a listing request to be listed on Nilex through its nominated advisor; First for Financial Consultancy. The company's issued capital is LE 3000000, with a par value of LE 2 per share
- Listing of AL Moasher for Programming and Information Dissemination on Nilex
The Listing Committee held on 10/02/2010 has approved to list AL Moasher for Programming and Information Dissemination through its nominated advisor; White House Securities. The company's issued paid-up capital is LE 7,073,000, with a par value of LE 1 per share.
- A Request of AL Moasher for Programming and Information Dissemination for Listing on Nilex
AL Moasher for Programming and Information Dissemination has submitted a listing request to be listed on Nilex through its nominated advisor; White House Securities. The company's issued capital is LE 7,073,000 with a par value of LE 1 per share.
- The Listing of International Company for Fertilizers and Chemicals on Nilex
The Listing committee held on 13-01-2010 has approved to list International Company for Fertilizers and Chemicals on Nilex through its nominated advisor; First Financial Consultants for Securities. The company's issued capital is LE 20 million, with a par value of LE 2 per share.
- A Request of International Company for Fertilizers and Chemicals for Listing on Nilex
International Company for Fertilizers and Chemicals has submitted a listing request to be listed on Nilex through its nominated advisor; First Financial Consultants for Securities. The company's issued capital is LE 20 million, with a par value of LE 2 per share.
- The Listing of Ameco Medical on Nilex
The Listing Committee has approved the listing of Ameco Medical, through The National Bank of Egypt, on Nilex, pushing the number of companies listed on Nilex to 7 companies. The company's issued capital is LE 16.5 million, with a par value of LE 5 per share.
- The Listing of the Sixth Company on Nilex
The Listing Committee has approved the listing of Kato Agricultural Development Co. on Nilex, pushing the number of companies listed on Nilex to 6 companies. Kato Agricultural Development Co. issued capital is LE 12 million.
- A Request of Ameco Medical Industries for Listing on Nilex
Ameco Medical Industries submitted a listing request through The National Bank of Egypt to be listed on Nilex. The company's issued capital is LE 16.5 million, with a par value of LE 5 per share.
-Ends-
© Press Release 2010
