Cairo – Mubasher: Arabia Investments, Development and Financial Investment Holding is currently setting up a trade and export company, Almal newspaper said, citing managing director Nagy Hendy.
The company aims to take advantage of export returns amid the rise of the US dollar, and face the negative impact of the currency’s increase, Hendy added.
The Central Bank of Egypt (CBE) liberalised the exchange rate of the Egyptian pound (EGP) against foreign currencies, leaving the price levels up to banks based on supply and demand. Consequently, the US dollar moved to EGP 18.1 against the pound, as opposed to EGP 8.88 before the flotation.
The Egypt-listed company had previously reported profits of EGP 27.6 million in 2016, against losses of EGP 7 million in 2015.
The company's foreign exchange losses in 2016 amounted to EGP 187 million.
Arabia Investments reported unaudited foreign exchange gains of EGP 91.9 million.
The Egyptian Financial Supervisory Authority (EFSA) approved the capital increase subscription request of Arabia Investments of EGP 209.77 million.
Arabia Investments’ capital amounts to EGP 440.24 million, distributed over 440.2 million shares, with a par value of EGP 1 per share.
The stock closed stable at EGP 0.99 on Thursday.
