Egypt Stocks Jump After Government Settles With UAE Developers
Egyptian shares climbed the most in six weeks, led by real-estate companies, after the government settled land disputes with United Arab Emirates developers.
The benchmark EGX 30 Index climbed 2.4 percent to 3,735.64 at the 2:30 p.m. close in Cairo, the biggest daily advance since Nov. 29. Talaat Moustafa Group Holding (TMGH), the country’s largest publicly traded developer, surged 6.1 percent. Six of October Development & Investment Co., also known as Sodic, rose for the first time in five days.
An Egyptian government commission approved the settlement of disputes with Dubai’s Damac Properties Co. and Al-Futtaim Group, Fayza Aboulnaga, minister of planning and international cooperation, said Jan. 7. Governments serving under former President Hosni Mubarak sold the two companies land without holding a public auction as required by law, which prompted courts to annul the sales after his ouster in February.
“Progress made by the government in resolving disputes with UAE developers is acting as a catalyst for the real estate sector,” said Tamer Nigm, head of sales and trading at Cairo- based Watheeqa Securities Brokerage. “It shows the government is willing to work with local businesses to encourage investment.”
Talaat Moustafa increased the most since Nov. 29 to 2.98 Egyptian pounds. Sodic, a luxury real-estate developer, soared 6.3 percent to 7.91 pounds. Palm Hills Developments SAE (PHDC), rose 3.7 percent to 1.11 pounds, the highest in more than a week.
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