Holding Company for Chemical Industries, which is affiliated to Ministry of Public Enterprise, targets to achieve revenues of LE 21.4 billion during fiscal year 2018/2019, compared to LE 19.5 billion in the current year.
Chemical Industries Chief Executive Officer Emad el-Din Mostafa said that the targeted revenues exceed the current year's target by 10 percent, and 35 percent when compared to last year's revenues.
Mostafa said that the surplus after taxes for 11 companies recorded around LE 3.7 billion, compared to the expected amount of LE 4.2 billion during current year and LE 3.4 billion during the previous year, adding that the number of gaining companies climbed to 10 firms.
He expected the deficit of losing companies to reach LE 800 million for seven companies next year, compared to LE 1.36 billion during current year for nine companies and LE 2.47 billion for ten companies last year.
Holding Company for Chemical Industries operates on chemical production field. It is the major shareholder of 19 large and medium chemical industries companies.
The paid up capital of the affiliated companies is about LE 2.061 billion.
These companies are operating on different sectors such as: nitrogenous fertilizers sector, paper sector, essential chemicals sector, cement, mining & cement products sector, cigarettes sector and Tires, Rubber & leather products, transportation requirements, electric lambs factory, in addition to the industrial & edible salt sector.
Meanwhile, the extraordinary general assembly of Chemical Industries Holding Company approved in March issuing 4 percent of its stake in Eastern Company on EGX.
In April, Chemical Industries Holding Company announced that it seeks to increase the percentage of the free-trading shares of its subsidiary, Eastern Company, by 4 percent, within the framework of the state’s initial public offering (IPO) program.
Chemical Industries Chief Executive Officer Mostafa expected that the offering of the shares would take place during the current year after finalizing the procedures of the stock split by 1:3 ratio to be valued at LE 5 instead of LE 15.
Mostafa said that the yield of the offering will be used to finance Eastern Company’s investment plan and other subsidiaries, including El-Nasr and El-Delta companies, to add other production lines.
Chemical Industries hold a 55-percent stake in Eastern Co, and the remaining 45 percent stake is distributed over retail and institutional shareholders.
Eastern Co is a public company, listed on the Egyptian Exchange (EGX) since September 1995. It operates within the food, beverage and tobacco sector focusing on tobacco. It was established in July 1920.