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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 30th July 2020).

Please click here to view a table of listed companies and their associated ticker codes.

Note: ISX will be closed starting from Jul. 30, 2020 to Aug. 9, 2020 due to the religious holiday of Eid Al-Adha. The next trading session will be held on Monday (Aug. 10, 2020). 

The RSISX index ended the week at IQD627 (-1.5%) / $656 (-1.5%) (weekly change) (-4.8% and -6.4% YTD change, respectively). The number of week traded shares was 2.4 bn and the weekly trading volume was IQD1.4 bn ($1.2mn).

ISX Company Announcements

  • Iraq Stock Exchange (ISX) organized two more investor Zoom conference calls with ISX-listed companies for them to disclose their financial results and reply to participants’ questions related to financial results, operations, and future plans. The fifth Zoom online meeting was held with Ready-Made Clothes (IRMC) on July 24 (Friday) (Please CLICK HERE for the record of IRMC meeting provided by the ISX). The sixth Zoom online meeting was held with Ashur International Bank for Investment (BASH) on July 25 (Saturday) (Please CLICK HERE for the record of BASH meeting provided by the ISX).
  • According to Ooredoo’s financial results, Asiacell’s (TASC) revenues decreased 10% y/y to QAR1.9 bn ($527.1 mn) in 6M20. EBITDA decreased by 15% y/y to QAR828 mn ($226.1 mn) in 6M20, while EBITDA margin decreased from 45% to 43%. Asiacell continued to manage costs to absorb the impact of revenue declines by optimizing operational efficiency and controlling its marketing expenditures. Asiacell’s customer base decreased 4% y/y to 13.3 mn as end of 6M20. The company is continuing to prepare for the launch of 4G as the Government committed to allow operators to launch LTE services in 2021. (Iraq Business News)
  • The CBI decided, on Monday, to postpone the payment of the installments due to government and private banks for the IQD5.0 trln and IQD1.0 trln initiatives, for an additional three months, attributing this to the continued exceptional circumstances in the country due to the Corona pandemic. (CBI)
  • Iraqi Date Processing and Marketing (IIDP) will hold a GA on Aug. 24, 2020 to elect 5 original and 5 alternative private sector representatives. The company has been suspended from trading since Jul. 8, 2020 due to not disclosing the annual financial statements for the ending year Aug. 31, 2019.
  • ISX will suspend trading of National Islamic Bank (BNAI) starting Aug. 16, 2020 due to the AGM that will be held on Aug. 19, 2020 to discuss and approve 2018 annual financial statements.
  • Trans Iraq Bank for Investment (BTRI) will resume trading on Aug. 10, 2020 after being suspended for its AGM in which they discussed and approved 2019 annual financial statements and decided to distribute 0.758% cash dividends (IQD0.00758 dividend per share, 1.1% dividend yield). The opening price will be IQD0.690 with +/-10% change.
  • Al-Rebas for Poultry and Feed (AREB) with a capital of IQD30 bn will start trading on Aug. 10, 2020. The opening price will be free for the first three sessions, and then will have +/-20% price change limit.
  • Baghdad Soft Drinks (IBSD) resumed trading on Jul. 27, 2020 after being suspended for its AGM in which they discussed and approved 2019 annual financial statements and decided to distribute 15% cash dividends (IQD0.15 dividend per share, 5.6% dividend yield).
  • Iraqi for Tufted Carpets (IITC) resumed trading on Jul. 27, 2020 after being suspended for its AGM in which they discussed and approved 2019 annual financial statements and decided to distribute 70% cash dividends for the year 2019 (IQD0.70 dividend per share, 7.3% dividend yield).

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 24th July 2020).

Please click here to view a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD637 (+2.9%) / $666 (+2.9%) (weekly change) (-3.4% and -4.9% YTD change, respectively). The number of week traded shares was 6.9 bn and the weekly trading volume was IQD2.9 bn ($2.4 mn).

ISX Company Announcements

  • The ISX will organize the fifth and sixth Zoom meetings on Friday and Saturday respectively with Ready-Made Clothes (IRMC) and Ashur International Bank for Investment (BASH) for them to disclose financial results for the investors and participants. IRMC’s meeting will be held on Friday (Jul. 24, 2020) at 4:00 pm (Baghdad time), and the speaker will be CFO, Ms. Maysoon Jasib Hani (For IRMC’s Zoom Meeting Link, please CLICK HERE, Zoom Meeting ID: 815 1124 6834, Password: 593995).  BASH’s meeting will be held on Saturday (Jul. 25, 2020) at 4:00 pm (Baghdad time), and the speaker will be CEO, Ms. Alyaa A’mer Majeed, (For BASH’s Zoom Meeting Link, please CLICK HERE, Zoom Meeting ID: 880 4423 1283, Password: 043429). The participation will be free and the recording of the Zoom meetings will be shared on the ISX website. The ISX will continue organizing financial disclosure workshops until the end of September 2020.
  • ISX will suspend trading of Ahliya for Insurance (NAHF) starting Aug. 9, 2020 due to the AGM that will be held on Aug. 12, 2020 to discuss and approve 2018 annual financial statements and to discuss increasing the company’s capital from IQD2.5 bn to IQD7.0 bn through 180% rights issue.
  • ISX will suspend trading of Zain Al-Iraq Islamic Bank for Investment (BZII) starting Jul. 26, 2020 due to the GA that will be held on Jul. 28, 2020 to elect 7 original and 7 alternative board members.
  • Iraqi for Tufted Carpets (IITC) decided on its AGM held on Jul. 22, 2020 to distribute 70% cash dividends for the year 2019 (IQD0.7 dividend per share, 7.3% dividend yield).
  • Baghdad Soft Drinks (IBSD) decided on its AGM held on Jul. 21, 2020 to distribute 15% cash dividends (IQD0.15 dividend per share, 5.6% dividend yield).
  • ISX suspended trading of Trans Iraq Bank for Investment (BTRI) starting Jul. 20, 2020 due to the AGM that will be held on Jul. 26, 2020 to discuss and approve 2019 annual financial statements.
  • Asiacell (TASC) resumed trading on Jul. 19, 2020 after being suspended for its AGM in which they discussed and approved 2019 annual financial statements and decided to distribute 100% cash dividends (IQD1.00 dividend per share, 14.3% dividend yield).
  • The depositing procedures of Al-Rebas for Poultry and Feed (AREB) with a capital of IQD30 bn started on Jul. 19, 2020. The company will start trading in the non-regular market after 21 days of depositing the company’s shares.

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 9th July 2020).

Please click here to view a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD576 (-1.2%) / $602 (-0.4%) (weekly change) (-12.6% and -14.1% YTD change, respectively). The number of week traded shares was 3.7 bn and the weekly trading volume was IQD2.1 bn ($1.7 mn).

ISX Company Announcements

  • The CBI signed, on Tuesday, a memorandum of cooperation with the Iraqi Securities Commission (ISC). The memorandum included the possibility of exchanging the information available at the Central Bank and the Securities Commission, in addition to coordination in the field of legislation and regulatory and regulatory standards for bodies subject to the control of both parties. (CBI)
  • ISX will suspend trading of Trans Iraq Bank for Investment (BTRI) starting Jul. 20, 2020 due to the AGM that will be held on Jul. 26, 2020 to discuss and approve 2019 annual financial statements.
  • ISX will suspend trading of Iraqi for Tufted Carpets (IITC) starting Jul. 16, 2020 due to the AGM that will be held on Jul. 22, 2020.
  • ISX will suspend trading of Baghdad Soft Drinks (IBSD) starting Jul. 14, 2020 due to the AGM that will be held on Jul. 21, 2020 to discuss and approve 2019 annual financial statements, discuss suggesting dividend distribution and to elect 9 original and 9 alternative board members.
  • ISX suspended trading of Asiacell (TASC) on Jul. 6, 2020 due to the AGM that will be held on Jul. 12, 2020 to discuss and approve 2019 annual financial statements.
  • ISX will continue the suspension of trading of the following companies due to not disclosing their annual and quarterly financial statements: BUOI, BNOR, IMCM, IMPI, AMAP, IICM, IHLI, ITLI, IIEW, IELI, HISH, VKHF, VBAT and SBAG.
  • Due to the increased number of Covid-19 cases in Baghdad and to commit to the safety measurements, Al-Mansour Bank (BMNS) didn’t hold its intended AGM on Jul. 8, 2020 and hence, wasn’t suspended from trading on Jul. 6, 2020. The bank proposed to the companies’ registrar to hold the AGM on Jul. 15, 2020 and is still waiting for the approval.
  • The ISX invited listed companies for participating in Zoom conference calls for the purpose of communicating with the shareholders and attracting investors. During the conference calls, the listed companies will disclose recent financial results and 2020 plans. Zoom conference calls with the ISX listed companies will continue to be held until the end of Sep. 2020. The speakers of the first two Zoom conference calls will be Bank of Baghdad (Jul. 10th), and National Bank of Iraq (Jul. 11th), respectively.
  • Cross transaction: 2.0 bn shares of Trust International Islamic Bank (BTRU) on Jul. 8, 2020, which represents 0.8% of BTRU’s capital.

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 25th June 2020).

Please click here to view a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD581 (-2.0%) / $603 (+3.1%) (weekly change) (-11.9% and -14.0% YTD change, respectively). The number of week traded shares was 2.4 bn and the weekly trading volume was IQD2.3 bn ($1.8 mn).

Note: According to the Public Health Committee’s decision to maintain curfew days on Thursdays, Fridays and Saturdays, trading on the ISX will be from Sundays to Wednesdays until a further announcement.

 

ISX Company Announcements

  • ISX will suspend trading of Asiacell (TASC) starting Jul. 8, 2020 due to the AGM that will be held on Jul. 12, 2020 to discuss and approve 2019 annual financial statements.
  • Iraqi for Seed Production (AISP) will hold a GA on Jul. 5, 2020 to elect 4 original and 4 alternative board members from the private sector. The company has been suspended from trading since Nov. 12, 2019 due to not disclosing its 2019 financial statements.
  • Trust International Islamic Bank (BTRU) will resume trading on Jun. 28, 2020 after discussing and approving 2019 annual financial statements.
  • In order to support the economy of the country by developing agriculture and supporting Iraqi farms and creating an agricultural renaissance, and in order to support and employ young people to eliminate unemployment, and to achieve sustainable development through cooperation between the private banking sector and the public sector, and to achieve government goals by benefiting from local funds and promoting the local product, the International Islamic Bank (BINT) contracted with the Ministry of Industry and Minerals / Electronic Industries Company to finance water pumps operating by the solar energy system type Lorentz German according to Islamic contracts (Murabaha contract) within the CBI’s IQD1 trln initiative, where farmers will be financed with amounts that could reach IQD1.0 bn.

KAPITA has compiled a study about the economic effects resulting from the COVID-19 Pandemic.

The research aims to provide insights and recommendations to tackle the challenges and opportunities that currently face the various segments of the Iraqi market. This will aid governmental organizations and authorities in devising effective policies to make a faster economic recovery.

Our team studied the magnitude of the current economic crisis resulting from plummeting oil prices and the preventive measures taken against the virus. The research surveyed over 500 people from various professional backgrounds such as public and private sector employees and business owners. Also the research includes insights from experts from a range of fields such as finance, economy, construction and business development.

The study discusses attitudes towards the financial situation and the extent of the impact on different sectors such as, Energy sector, Travel sector, E-commerce, Banking system etc.

Here are some key highlights from the study ‘Surviving the COVID-19 Crisis: Preliminary Findings of the Economic Impact on Iraq“:

  • More than 30% of respondents had their salaries cut-off and over 25% were laid off, stopped working or closed their businesses.
  • Over 27% of the respondents said that their savings would last between 2-4 weeks.
  • Public sector employees are considered to be in a better financial position while a heavier toll was inflicted on private sector employees.
  • Over 40% of employers believe that 1-3 months will be needed to recover from the crisis and 50% of employers believe that zero interest loans could help in a faster recovery.
  • 90% of e-commerce and delivery services were paralyzed due to the curfew imposed.
  • Around 70 private bank activities have been limited due to government debt, and shortage in liquidity affecting revenue, deposits, and profits.

KAPITA’s research team deeply thanks and appreciates its partners who majorly contributed to the completion of this study. We sincerely thank Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) for being an outstanding enabler for us, Iraqi Innovation Alliance (IIA) for their contribution in data collection and Iraq Business News (IBN) for being our media partner.

We would like to thank all the people who filled out the survey and contributed to the shaping of this study to highlight the impact of the COVID-19 crisis on Iraq’s economy.

KAPITA’s research team would like to express its deep gratitude to the interviewees for their help in making this research possible (The following order is the order of the interviews):

  1. Ammar Al-Khatib, Executive Director of The Station
  2. Anas Morshed, Economics Blogger & Business Development Consultant
  3. Mahmoud Al-Daghir, Former Director General of Financial Operations and Debt Management, Central Bank of Iraq (CBI)
  4. Samir Al-Nosery, Banking & Economics Consultant
  5. Tamara Hussein, Head of Traders at Rabee Securities
  6. Omar Salam, Secretary-General of Engineers Syndicate
  7. Abdul Ghani Al-Hassani, Financial Expert & Investment Manager at GroFin
  8. Ayser Jabbar, Media manager of the Central Bank of Iraq (CBI)
  9. Hyder Zahid, Financial Advisor at PMO
  10. Ali Sabeh, President of the Iraqi Federation of Industries
  11. Hamid Ridha, Owner and CEO of Royal Nuts Company.
  12. Mustafa Sirri, Business Environment and Policy Development Advisor in the PSD project of GIZ
  13. Zuhair Sabri, Secretary-General of the Iraqi Contractors Federation
  14. Ahmed Tabaqchali, Senior Fellow at the Institute of Regional and International Studies (IRIS)
  15. Alaa Jassim, Vice President of Earthlink

Please click here to download the full report.

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 30th January 2020).

Please click here to view a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD556 / $577 (+0.7% weekly change) (-15.6% YTD and -17.6% YTD change, respectively). The number of weekly traded shares was 2.4 bn and the weekly trading volume was IQD2.8 bn ($2.2 mn).

Note: ISX will be closed starting from May 22, 2020 due to the religious holiday of Eid Al-Fitr. The next trading session will be held on May 31, 2020. ISX will resume trading five days a week starting May 31, 2020 (Sunday). The lower daily price change limit will be maintained at 5% and the upper daily price change limit will be maintained at 10%.

 

ISX Company Announcements

  • Zain Al-Iraq Islamic Bank for Investment (BZII) will resume trading on May 31, 2020 after postponing its GA to elect 7 original and 7 alternative board members due to lack of quorum. The new GA date is to be announced later.
  • Ameen Al-Iraq Islamic Bank for Islamic Investment & Finance (BAME) with a capital of IQD100 bn opened for trading on May 17, 2020 in the non-regular market.
  • Cross transaction: 150 mn shares of Iraqi Agricultural Products and Marketing Meat (AIPM) on May 17, 2020, which represents 3% of AIPM’s capital.

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 15th May 2020).

Please click here to view a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD552 (+0.7%) / $573 (+0.7%) (weekly change) (-16.2% and -18.2% YTD change, respectively). The number of week traded shares was 2.1 bn and the weekly trading volume was IQD2.2 bn ($1.8 mn).

Note: ISX will be closed starting from May 22, 2020 due to the religious holiday of Eid Al-Fitr. The next trading session will be held on May 31, 2020. ISX will resume trading five days a week starting May 31, 2020 (Sunday). The lower daily price change limit will be maintained at 5% and the upper daily price change limit will be maintained at 10%.

ISX Company Announcements

  • Ameen Al-Iraq Islamic Bank for Islamic Investment & Finance (BAME) with a capital of IQD100 bn will start trading on May 17, 2020 in the non-regular market. The opening price will be free for the first three sessions, and then will have +/-20% price change limit.
  • Rajih Islamic Bank for Investment & Finance (BRAJ) with a capital of IQD250 bn will start trading after depositing and activating 5% of the listed shares or after 21 days of depositing the company’s shares.
  • ISX suspended trading of Zain Al-Iraq Islamic Bank for Investment (BZII) starting on May. 12 due to the GA that will be held on May. 17 to elect 7 original and 7 alternative board members.
  • Al-Sadeer Hotel (HSAD) resumed trading on May. 12 after disclosing its financial statements and deciding to increase the company’s capital to IQD1.36 bn through 10% rights issue.

From Rabee Securities; re-published with permission by Iraq Business News:

Mr. Allawi was born in Baghdad in 1947.

He left Iraq in 1958 with his family after the 14 July Revolution (the 1958 Iraqi coup d’état, that resulted in the overthrow of the Hashemite monarchy in Iraq that had been established by King Faisal I in 1921 under the auspices of the British) due to the family’s links to the monarchy.

Both his father, Abdul Amir Allawi served as minister of Health in several cabinets while his grandfather, Abdul Hadi Chalabi was head of the Senate.

Mr. Allawi is a nephew of Ahmad Chalabi (the founder of the Iraqi National Congress (INC) the President of the Governing Council of Iraq, and deputy prime minister).

A Shia Muslim, Allawi, went to school in the UK and graduated from MIT in the United States with a BSc in Civil Engineering in 1968. He completed an MBA from Harvard Business School in 1971, and studied at the London School of Economics.

After completing his MBA, he worked in international development for the World Bank. In 1978, he co-founded the Arab International Finance merchant bank. In 1992 he founded the Fisa Group which manages hedge funds. Between 1999 and 2002 he was a Senior Associate at St Antony’s College, Oxford. He was part of the Iraqi exile opposition community during Saddam Hussein’s rule in Iraq.

After 2003, he held the positions of Minister of Trade and Minister of Defense in the Interim Iraq Governing Council from September 2003 to 2004. From 2005 to 2006, he was Minister of Finance in the Iraqi Transitional Government.

He is also the author of several books including the widely reviewed “The Occupation of Iraq – Winning the War: Losing the Peace » in 2007.  In it he says, “The situation in Iraq is complex, dangerous and fraught with poor alternatives. But it is not hopeless.” In 2009, he published his second book, “The Crisis of Islamic Civilization”, and in 2014 he published the first major biography of King Faisal I, “Faisal I of Iraq”.

The New York Times Book Review called The Occupation of Iraq “…the most comprehensive historical account of the disastrous aftermath of the American Invasion.” In October 2009 the Washington Institute for Near East Policy announced that The Crisis of Islamic Civilization was awarded the Silver Prize of its annual book prize. In December 2009, The Economist named The Crisis of Islamic Civilization one of the Best Books of 2009.

He was elected as a Senior Visiting Fellow at Princeton University for 2008-2009 and has held several visiting scholar positions since.

Mr. Allawi started serving as both finance minister and acting oil minister in Mustafa Al-Kadhimi’s government.

At Rabee Securities we wish the new Minister best of luck at these difficult times.

(Source: Rabee Securities)

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 7th May 2020).

Please click here to download a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD548 (+9.0%) / $569 (-+9.0%) (weekly change) (-16.8% and -18.8% YTD change, respectively). The number of week traded shares was 4.0 bn and the weekly trading volume was IQD2.1 bn ($1.7 mn).

Note: As we are receiving multiple requests about investing in Iraq because the market is at a very low level, we are bringing the minimum investment down to $20 K for international retail investors.

ISX Company Announcements

  • ISX will suspend trading of Zain Al-Iraq Islamic Bank for Investment (BZII) starting May. 12, 2020 due to the GA that will be held on May. 17, 2020 to elect 7 original and 7 alternative board members.
  • Al-Sadeer Hotel (HSAD) will resume trading on May. 12, 2020 after disclosing its financial statements and deciding to increase the company’s capital from IQD1.23 bn to IQD1.36 bn through 10% rights issue.

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 30th January 2020).

Please click here to download a table of listed companies and their associated ticker codes.

The RSISX index ended the week at IQD503 (-12.6%) / $522 (-12.6%) (weekly change) (-23.7% and -25.5% YTD change, respectively). The number of week traded shares was 2.3 bn and the weekly trading volume was IQD1.5 bn ($1.2 mn).

Note: ISX will be open three days a week (Sundays, Tuesdays, and Thursdays) next week, like this week. During that period, the lower daily price change limit will be 5% and the upper daily price change limit will be maintained at 10%.

ISX Company Announcements

  • Asiacell (TASC) increased its customer base by 5% y/y to 14.8 mn as end of 1Q20 due to the good growth in data users, according to its parent, the Qatari company Ooredoo. The company said “Revenue is higher than last year driven by growth in DATA and VAS revenues; impacted by COVID-19 in March 2020.” TASC increased revenues 1% y/y to QAR1,085 mn ($296 mn) in 1Q20. EBITDA increased 0.4% y/y to QAR473 mn ($129 mn) in 1Q20, and EBITDA margin stayed at 44%.  (Ooredoo)
  • The ISX will hold its AGM on Jun. 26, 2020 to discuss and approve 2019 annual financial statements, the board of governors’ 2019 report on the ISX’s activity, and to discuss ISX program for the year 2020.
  • Al Taif Islamic Bank for Investment & Finance (BTIB) sent a letter to the CBI on Apr. 28, 2020 stating that due to the unexpected situations in the country and with imposing full curfew, the bank couldn’t extend the subscription for additional 60 days to complete the subscription for full shares offered that started on Jan. 19, 2019 to increase their capital from IQD100 bn to IQD150 bn. BTIB will notify when the capital increase procedures are complete.
  • Al Nibal Al Arabya for Money Transfer (MTNI) decided to decrease its capital from IQD45 bn to IQD5 bn in its AGM held on Feb. 25, 2020.
  • Elaf Islamic Bank (BELF) resumed trading on Apr. 26, 2020 after discussing and approving 2018 annual financial statements in its AGM held on March 10, 2020.
  • Erbil Bank for Investment and Finance (BERI) resumed trading on Apr. 26, 2020 after electing 7 original and 7 alternative board members in its GA held on Feb. 22, 2020.