Sodic Jumps to 5-Month High on Medinet Nasr Bets: Cairo Mover

Six of October Development & Investment Co. surged to the highest level in five months on speculation the Cairo-based property developer is in talks to buy a stake in Medinet Nasr Housing. (MNHD)

Shares of the company also known as Sodic gained for an eighth day, climbing by the 10 percent daily limit to 15.3 Egyptian pounds, the highest intraday level since Sept. 19, at 2:01 p.m. in Cairo. The stock has soared 52 percent in eight days. The benchmark EGX30 Index (EGX30) fell 0.9 percent today.

“Investors are speculating Sodic is negotiating to buy Beltone’s stake in Medinet Nasr Housing, so shares of both companies are moving in tandem,” said Hassan Kenawi, equity trader at Cairo-based HC Brokerage.

Beltone Investment Group (BTFH) holds a 23 percent stake in Medinet Nasr Housing, data compiled by Bloomberg show.

Sodic and Medinet Nasr in statements to the bourse said they had no “material news” to report. An official at Beltone wasn’t immediately available to comment when contacted by Bloomberg today.

Medinet Nasr gained for a fifth day, jumping 10 percent to 16.75 pounds, the highest intraday level in more than six months. Beltone Financial Holding SAE climbed 2.3 percent.

To contact the reporter on this story: Ahmed A Namatalla in Cairo at anamatalla@bloomberg.net

To contact the editor responsible for this story: Claudia Maedler at cmaedler@bloomberg.net

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