Egyptian shares were steady on Sunday as traders remained cautious a week ahead of EFG-Hermes's annual general meeting, which is to decide on whether to sell a 25 percent stake in the investment bank.
Dealers said they were anxious to see whether shareholders, meeting next Sunday, would approve the sale to Abraaj Capital of the United Arab Emirates, and what EFG-Hermes would do with the money raised. The bank often leads Egypt's stock market.
"People are going to be a bit cautious," said Yasser Hassanein of Dynamic Securities. "Investors are waiting to see how they will invest the funds."
Shares in EFG-Hermes, the day's most heavily traded stock by turnover, dipped 1.6 percent to end at 41.70 Egyptian pounds ($7.26) per share, above the 30 pounds per share that Abraaj was offering to pay for its stake.
Shares in Telecom Egypt, the most heavily traded stock by volume, gained 2 percent to end at 12.80 pounds. Dealers said they thought the rise might be attributed to retail enthusiasm, but could not pin fundamental news to the increase.
Overall, the benchmark Hermes index was stable at 52,540.32 points while the broader CIBC index edged half a percent higher to 230.59 points. The well-watched Case 30 index was 0.2 percent lower at 6,047.92 points.
On a technical level, traders said the Case 30 index had technical support at the 6,000-point level and was expected to rise to meet resistance at around 6,250.
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