CAIRO: Egyptian stocks ended the week at the highest level in nearly one month as traders are hopeful Orascom Telecom's return to trading after a tentative deal to solve the ongoing dispute over Egypt's leading telecom operator and the Algerian government over its unit in the country is resolved. Investors in Egypt targeted heavyweight stocks hit hardest in the market's steep decline last year, with property developer Talaat Moustafa Group up 5.4 percent and Ezz Steel gaining 5.8 percent. But the hopes lie with Orascom, which has seen its share price drop as a result of the long-lasting dispute with the Algerian government over the Djezzy unit. Last week, however, Vimpelcom – the company that purchased most of Orascom last April – said it had come to an agreement with the Algerian government to sell the stake. The sides were waiting for a price agreement to finalize the deal. OT's local shares have been suspended since November 24 pending its split into two listed companies – a second listing, Orascom Telecom Media and Technology, will include the assets excluded from Vimpelcom's take-over – but the firm's global depositary receipts have gained 18 percent this week. “The rise in the GDRs is all because of Djezzy. If the stocks start trading in the next couple of days they will catch up with the GDRs. Both should rise by at least 25 percent,” said Ahmed Abu Taleb, foreign sales trader at Pharos Securities. “If Orascom's two listings were to gain 10 percent, it would lift Cairo's main share index by 1 percent,” he added. BM ShortURL: http://goo.gl/V1qMT Tags: Bourse, Orascom Telecom, Stocks Section: Business, Egypt, Latest News, Tech
