EZZ STEEL
ESRS
Companies InvestmentsNegative News
Act Financial Sells Off Ezz Steel Shares Amidst Financial Struggles
Act Financial reduces Ezz Steel stake as company reports significant H1 2023 losses.
January 24, 2024 at 9:16:00 AMScore: 88

Act Financial has significantly reduced its stake in Ezz Steel, dropping from 0.78% to 0.51% ownership. The sale involved 1.45 million shares traded on the Egyptian Exchange (EGX) at an average price of EGP 88.34 per share, totaling EGP 128.10 million. Hermes Securities Brokerage facilitated the transaction on 22 January 2024. Ezz Steel’s financial performance in the first half of 2023 showed a sharp decline, with consolidated net losses after tax reaching EGP 809.77 million, a stark contrast to the EGP 4.12 billion net profit recorded in H1-2022. Despite this, the company reported a year-on-year sales increase to EGP 62.26 billion from EGP 38.49 billion during the same period.
Recommended Actions
- Consider selling Ezz Steel shares amid financial downturn
- Monitor company’s Q3 2023 performance for recovery signs
- Evaluate stake sale impact on stock liquidity
- Review Ezz Steel’s debt levels and cost management
- Consult a financial advisor for portfolio rebalancing
Positive Aspects
- YoY sales growth to EGP 62.26 billion
Negative Aspects
- H1 2023 net loss of EGP 809.77 million
- 0.27% stake reduction by Act Financial
- Decline from EGP 4.12 billion profit in H1-2022