Efg Holding S.a.e. · EGX:HRHO
Efg Holding S.a.e — EFG-Hermes — Conference Presentation (May 2001)
11 slides from Efg Holding S.a.e's conference presentation, May 10, 2001
Slide 1: Investment Banking: A Regional Perspective
Investment Banking: A Regional Perspective By: Aladdin Saba Beirut, May 10th 2001 EFG-Hermes
Slide 2: Regional Overview
Regional Overview • Unlike other developing regions, our region has capital resources as well as investment opportunities. Country (’99) PPP GDP/Capita (US $) Kuwait 25,000 Qatar 21,000 Egypt 3,000 Sudan 1,400 Yemen 720 EFG-Hermes
Slide 3: EFG-Hermes
fs EFG-Hemes EFG- Hermes
Slide 4: Companies expanding Regionally
Companies expanding Regionally • Companies are going regional to benefit from regional opportunities. – Savola Sime (Saudi Arabia & Egypt) – NBK looking to establish Egyptian and Syrian presence. – ABC acquiring Egypt Arab African Bank EFG-Hermes
Slide 5: Restructuring of the Region’s Companies
Restructuring of the Region’s Companies • Large family business will likely adopt institutional restructuring creating further opportunities. – Orascom Group – Hikma Pharma EFG-Hermes
Slide 6: Foreign Direct Investment
Foreign Direct Investment • Multinationals acquiring locals look to investment banks with regional expertise. – Jordanian and Egyptian cement industry – Vivendi’s acquisition of Moroccan Telco EFG-Hermes
Slide 7: Limitations
Limitations • Interregional securities, custody & brokerage services fragmented and lacking comprehensive coverage. • Scarcity of publicly disseminated information. • Early stages of development of the obligations of public companies towards investors (Investor relations). • Securities research effo
Slide 8: Available Markets
Available Markets 6000 These are the 5000 regional markets that are directly US $ million open to foreign Investors, with a 4000 total market cap 3000 of around $ 15 Market Cap billion 2000 1000 0 Kuwait Egypt Morocco Bahrain Jordan Lebanon Qatar (1 Tunisia Oman UAE ( 1 Palestine Algeria Company ) C
Slide 9: Pension & Mutual Funds
Pension & Mutual Funds • Pension and mutual funds biggest growth vehicle in the future ($ Bn) Public pensions Private Pensions Individual Pensions Egypt 30.4 (93%) 2.4 (7%) 0 (0%) USA 2,575 (27%) 3,839 (40%) 3,207 (33%) Source: Money Market Directory Country (year 2000) USA Tunisia Egypt Mktcap/GDP
Slide 10: Capital Markets Development
Capital Markets Development • Many regional markets are beginning to open up to foreign investors creating good investment opportunities. • Investment banks are forced to capitalize on regional opportunities. – EFG-Hermes branching into Algeria and Jordan EFG-Hermes
Slide 11: Future Opportunities
Future Opportunities • The establishment of the Council of Arab Economic Union. • Efforts to link Arab stock markets together. • New Saudi investment law. • The first Arab economic conference in November 2001. EFG-Hermes