investment


Iraq Stock Market Report

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 21st Sept 2017).

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

The RSISX index ended the week at IQD778 (-1.0%) / $798 (-1.0%) (weekly change) (-18.9% and -15.7% YTD change, respectively). The number of week traded shares was 9.5bn and the weekly trading volume was IQD6.3bn ($5.1mn).

ISX Company Announcements

  • Two cross transactions occurred on 3.0bn shares of Trans Iraq Bank for Investment (BTRI) on Sept. 18 and Sep. 20, 2017), which represent 1.14% of BTRI capital.
  • Gulf Commercial Bank (BGUC) will hold AGM* on Oct. 12, 2017 to discuss and approve 2016 annual financial results and decide to distribute 1.96% cash dividend (IQD0.0196 dividend per share). ISX will suspend trading of BGUC starting Oct. 9, 2017.
  • Iraq Baghdad for General Transport (SBPT) will hold AGM* on Oct. 9, 2017 to discuss and approve 2016 annual financial results. ISX will suspend trading of SBPT starting Oct. 4, 2017.
  • National Chemical and Plastic Industries (INCP) will hold AGM* on Oct. 5, 2017 to discuss and approve 2016 annual financial results. ISX will suspend trading of INCP starting Oct. 2, 2017.
  • International Islamic Bank (BINT) invited shareholders to participate in the capital increase from IQD100bn to IQD250bn through 150% rights issue starting Sept. 20, 2017.
  • ISX requested Region Trade Bank for Investment and Finance (BRTB) to disclose the names and titles of the individuals who have direct access to internal information for 2017, like BoD and their advisors, CEO, CFO, auditor and etc., in order to start trading.
  • Al-Hamraa for Insurance (NHAM) will hold AGM* on Oct. 24, 2017 to discuss and approve 2016 annual financial results. ISX suspended trading of NHAM starting Oct. 19, 2017.
  • Iraqi Agricultural Products Marketing Meat (AIPM) resumed trading on Sep. 19, 2017 after discussing and approving 2016 annual financial results and deciding to distribute 5% cash dividend (IQD0.05 dividend per share, 1.7% dividend yield).

Iraq Stock Market Report

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 14th Sept 2017).

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

The RSISX index ended the week at IQD786 (+0.5%) / $807 (+0.4%) (weekly change) (-18.1% and -14.8% YTD change, respectively). The number of week traded shares was 43.7bn and the weekly trading volume was IQD 31.3bn ($24.8mn).

ISX Company Announcements

  • Two cross transactions occurred on 23.65bn shares of Al-Arabiya Islamic Bank (BAAI) on Sept. 12 and Sep. 13, 2017, which represent 9.4% of BAAI capital.
  • A cross transaction occurred on 15.99bn shares of Mosul Bank for Development and Investment (BMFI) on Sept. 12, 2017, which represent 6.3% of BMFI capital.
  • Dar Al-Salam for Insurance (NDSA) will hold AGM* on Sept. 19, 2017 to discuss and approve 2016 annual financial results and decide to increase the capital from IQD3.5bn to IQD5.0bn through 42.5% rights issue. ISX suspended trading of NDSA starting Sep. 14, 2017.
  • Baghdad Hotel (HBAG) resumed trading on Sept. 14, 2017 after discussing and approving 2016 annual financial results and deciding to distribute 47% cash dividend (IQD0.47 dividend per share, 5.0% dividend yield).
  • Al-Qabedh Islamic Bank for Finance and Investment (BQAB) having a capital of IQD250bn paid-in capital, has completed converting procedures from Al-Muhej for Money Transfer (MTAM) and started trading in non-regular market on Sept. 13, 2017. BQAB closed the day at IQD1.0.
  • Region Trade Bank for Investment and Finance (BRTB) started depositing its shares on Sept. 14, 2017. The bank will start trading after depositing and activating 5% of the shares or after 21 days, on Oct. 5, 2017.
  • Al-Zawraa for Financial Investment (VZAF) will hold AGM* on Sept. 17, 2017 to discuss and approve 2016 annual financial results. ISX suspended trading of VZAF starting on Sept. 12, 2017.
  • Kurdistan International Bank (BKUI) disclosed that the ownership of Khan Adil Disko at BKUI reached 39.6bn shares on Sept. 11, 2017, which represents 9.9% of BKUI capital.

How Iraqi Entrepreneurs can Raise Startup Money Without a Loan

By Hal Miran, Editor-in-Chief, Bite.Tech. Any opinions expressed are those of the author, and do not necessarily reflect the views of Iraq Business News.

How Iraqi Entrepreneurs can Raise Startup Money Without a Loan

Raising money for your business is always a challenge. Every startup must prepare and plan in detail how they intend to raise funds for their new startup.

In countries like Iraq, the lack of access to bank loans makes it more difficult for tech entrepreneurs to raise money for their company. This is made trickier by a lack of angel or venture capital money. So, what can you do to raise startup money without a loan?

1. First, look on the bright side!

First of all, looking for business financing externally should be your last option, not your first. When it comes to venture capital or angel investment, you give up a portion of your company in exchange for money and often, strategic advice and help. But, it usually comes with a lot of conditions attached.

2. Bootstrap your way to tech startup success

Bootstrapping is the process of financing a new company with minimal financial resources. It is the first method to raise startup financing that every tech entrepreneur should look into.

A great bootstrapping strategy typically involves using your own money and asking people close to you to invest. This is coupled with clever use of the money you have to make it go as far as possible towards your business success.

Where possible, use free resources and study how to implement growth hacking principles to accelerate your growth at minimal or zero cost. There are now so many incredible business resources online that are free and weren’t available for the tech startup entrepreneur of ten years ago.

How can you raise bootstrapping money for your startup? Here are the most immediate options:

a. Your own personal money

b. Ask your friends and family

c. Attend essential networking events such as hackathons and bootcamps to meet potential investors and make new contacts

Iraq Stock Market Report

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Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 7th Sept 2017).

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

The RSISX index ended the week at IQD783 (+0.3%) / $803 (-0.1%) (weekly change) (-18.6% and -15.1% YTD change, respectively). The number of week traded shares was 1.2bn and the weekly trading volume was IQD 0.9bn ($0.7mn).

ISX Company Announcements

  • Dar Al-Salam for Insurance (NDSA) will hold AGM* on Sept. 19, 2017 to discuss and approve 2016 annual financial results and decide to increase the capital from IQD3.5bn to IQD5.0bn through 42.5% rights issue. ISX will suspend trading of NDSA starting Sep. 14, 2017.
  • Iraqi Agricultural Products Marketing Meat (AIPM) will hold AGM* on Sept. 12, 2017 to discuss and approve 2016 annual financial results. ISX suspended trading of AIPM starting on Sept. 7, 2017.
  • Mamoura Real estate Investment (SMRI) requested Middle East Bank for investment (BIME) and Bilad Islamic Bank (BLAD) on Sept. 7, 2017 to pay back the unused amount (remaining amount) of cash belong to the investors related with the rights issue of SMRI considering that 15 days passed the subscription closing date (Aug. 21, 2017).

IBBC Boosts Oil and Gas Capability

The Iraq Britain Business Council (IBBC) has announced that John M. Scott (pictured) will join as an oil and gas advisor to the industry sector membership.

John has over 40 year’s international experience in upstream project management and construction throughout Africa, Latin America, UK, USA and Middle East. As an engineer, John initially worked for Taylor Woodrow in the Arctic and in the North Sea for Global Engineering before joining Texaco to run R&D in the UK.

He subsequently transferred to the US to head up development of major greenfield projects in Latin American and West Africa, including re-instating a Brazilian rainforest as part of a carbon capture initiative. He returned to the UK to join Amec Foster Wheeler before joining Petrofac as Head of Project Development.

As a representative for Foster Wheeler, John has been involved with IBBC since its foundation and has twice chaired the Oil & Gas Sector Table, so brings exceptional knowledge to both IBBC and the membership.

It is reasonable to assume that John will focus on optimising the value of the IBBC network of companies and ensuring the business chain works to the benefit of the IOC’s, the E&C contractors and the SME groupings in the UK and Iraq.

Having managed many different factions in his work, John is a natural seeker of consensus and clarity of purpose among business communities. The industry sector can therefore look forward to great insights and support as IBBC optimises its Oil & Gas membership.

Please contact london@webuildiraq.org for further information.

(Source: IBBC)

Stock Market Review: Realignment of Reginal Interests in Post-IS Iraq

By Ahmed Tabaqchali (pictured), CIO of Asia Frontier Capital (AFC) Iraq Fund.

Any opinions expressed are those of the author, and do not necessarily reflect the views of Iraq Business News.

The equity market was mostly subdued through the dog days of summer but the big development to note is the realignment of interests of regional players in a post-ISIS Iraq with major implications for the Iraq investment story.

The equity market, as measured by the RSISUSD index, ended the month up +0.2% after trading in a tight range following the July sentiment turnaround, in which extremely depressed bank valuations drove locals to step up and absorb foreign selling as highlighted in last month’s piece on Iraq Business News.

However, turnover continued to be low in-line with the last few months (see chart below) while foreign activity was mostly subdued with some re-emergence of selling in banks in the last few days but, at least for now, that has lost its ability to depress the overall market. The low turnover continues to emphasize the early phases of the liquidity recovery in the economy and the market.

However, the most significant development is the broadening of the realignment of interests of regional players in dealing with the root causes of the conflict, i.e. the deep economic and political disenfranchisement, that were such fertile grounds for the rise of extremism.

Following the military resolution to contain the common threat, these would be long-term solutions which will involve significant investments in infrastructure to bring much-needed developments and create prosperity.

Please click here to download Ahmed Tabaqchali’s full report.

Mr Tabaqchali is the CIO of the AFC Iraq Fund, and is an experienced capital markets professional with over 25 years’ experience in US and MENA markets.

His comments, opinions and analyses are personal views and are intended to be for informational purposes and general interest only and should not be construed as individual investment advice or a recommendation or solicitation to buy, sell or hold any fund or security or to adopt any investment strategy. It does not constitute legal or tax or investment advice. The information provided in this material is compiled from sources that are believed to be reliable, but no guarantee is made of its correctness, is rendered as at publication date and may change without notice and it is not intended as a complete analysis of every material fact regarding Iraq, the region, market or investment.

Investment Opportunity – Chlorine and Caustic Soda Plant

By John Lee.

The National Investment Commission (NIC) has announced an opportunity to invest in the expansion of a chlorine and caustic soda plant in Iraq.

The full text of the announcement is shown, unedited, below:

Al-Furat State Company for Chemical Industries and Pesticides as one of the affiliates of Ministry of Industry and Minerals in Republic of Iraq is pleased to announce the a/m investment opportunity for (Project expansion of Chlorine and caustic soda plant to increase the production capacity by (45) ton/ day caustic soda calculated based on 100% pursuant to the Article (15/ Thirdly) of amended and valid Law of State Companies no. (22/ 1997) and Ministers Council Decision no. 492 of 2013.

The investors of most reliable , specialized, and qualified technically and financially manufacturers and producers of Iraqi , Arabic and International companies in the field of chlorine and caustic soda industry can visit our company headquarter / investment in / Babylon / A;- Musayab / Saddat Al- Hindiyah to obtain the investment documents against a non – refundable amount of (250000) two hundred fifty thousand IQD and submit their technical and commercial offers in our company a/m address, knowing that last date for receiving the offers is on Saunday 10.9.2017 . 12 am supported with the following documents :

  • Registration certificate of the company
  • Allowance letter issued from the Ministry of Finance
  • Submitting the financial capacity accounts for the last five years (positive indicators)
  • The investment company should be having experience in chlorine and caustic soda products
  • The company should be known with good performance in implementing its obligations (previous contracts with Iraqi ministries and government agencies if any)
  • The company should not be listed in the black list
  • The company should belong to countries that have good business relations with Iraq.
  • Submitting a written obligation of not dealing with Israel, its institutions and companies whether at the present time or in the future

Our website www.furattco.gov.iq

Web site of the MIM www.industry.gov.iq

Email for inquiry :     furattco@yahoo.com

furattco@furattco.gov.iq

Investment Manager :  07732941338

P. O Box 11230

(Source: National Investment Commission)

Video: UK Trade Enjoy to Iraq discusses Opportunities

Baroness Nicholson, President of the Iraq Britain Business Council (IBBC) and Her Majesty’s Trade Enjoy to Iraq, Azerbijan and Turkmenistan, discusses Iraq as a major market, IBBC’s role in creating a worldwide network for those doing clean business in Iraq, further increasing investment and the positive consequences of businesses transferring skills and technology into Iraq:

Iraq Stock Market Report

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Note: ISX will be closed starting from Sep. 1, 2017 to Sep. 5, 2017 due to the religious holiday of Eid Al-Adha. The next session will be held on Wednesday (Sep. 6, 2017).

Rabee Securities Iraq Stock Exchange (ISX) market report (week ending: 24th Aug 2017).

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

The RSISX index ended the week at IQD770 (-1.9%) / $793 (-1.5%) (weekly change) (-19.8% and -16.3% YTD change, respectively). The number of week traded shares was 4.7bn and the weekly trading volume was IQD3.1bn ($2.4mn).

ISX Company Announcements

  • The ISX Board of Governors approved on Tuesday (Aug. 15, 2017) the inclusion of the first issue of the national bonds as it fulfilled the bond’s listing requirements according to the instructions. The Board of Governors decided that the limit for price change will be -/+5% per session according to the bond’s listing instructions. It was mentioned that the Iraqi Securities Commission’s (ISC) approval is required to launch the procedures for depositing and trading of this issue of the National Bonds.
  • Baghdad Hotel (HBAG) will hold AGM* on Sept. 10, 2017 to discuss and approve 2016 annual financial results. ISX will suspend trading of HBAG starting Aug. 31, 2017.
  • Iraqi Agricultural Products (AIRP) will resume trading on Aug. 27, 2017 after discussing and approving 2016 annual financial results and deciding to distribute 10% cash dividend (IQD0.10 dividend per share, 1.4% dividend yield). The opening price will be IQD7.30* per share. (*RS calculation)
  • The subscription on 0.5bn Al-Ameen Financial Investment (VAMF) shares closed on Aug. 10, 2017 to increase the capital to IQD1.5bn through rights issue.
  • Original shares of Al-Ameen Insurance (NAME) resumed trading on Aug. 22, 2017 after discussing and approving 2016 annual financial results and deciding to increase the capital from IQD3.410bn to IQD3.819bn through 12% bonus issue.
  • Commercial Bank of Iraq (BCOI) resumed trading on Aug. 22, 2017 after discussing and approving 2015 annual financial results and deciding to distribute 2.6% cash dividend (IQD0.026 dividend per share, 5.9% dividend yield).
  • Iraqi for Tufted Carpets (IITC) resumed trading on Aug. 22, 2017 after discussing and approving 2016 annual financial results and deciding to distribute 50% cash dividend (IQD0.50 dividend per share, 6.5% dividend yield).
  • Original shares of Iraqi for Seed Production (AISP) resumed trading on Aug.20, after approving 2016 annual financial results, increasing the capital from IQD7.5bn to IQD10.5bn through 40% bonus issue and deciding to distribute 40% cash dividend (IQD0.40 dividend per share, 5.6% dividend yield).
  • Al-Waeel for Money Transfer (MTWA) was delisted from trading starting Aug. 21, 2017 according to ISC and ISX board of governors’ decision.
  • The Company Registrar canceled International Islamic Bank’s (BINT) 150% rights issue to increase the capital to IQD250bn, because the bank did not comply with Article 42 of companies’ law. (Article 42: Subscription period is no less than 30 days and does not exceed 60 days. If the period ended and the subscription did not reach 75% of the nominal capital, the period can be extended no more than 60 days, as long as the founders re-advertise the subscription extension period.)

Hutchison Ports Partnering with Iraq Terminal Operator

Hutchison Ports and the Pritzker Family Business Interests (“PFBI”), advised by The Pritzker Organization, L.L.C. (“TPO”), announced today that the leading Hong Kong-based port operator has agreed to partner with NAWAH Port Management, L.L.C. (“NPM”) to manage existing and future operations at the historic Port of Basra in southern Iraq.

Hutchison Ports will assume oversight of day-to-day commercial and operational activities at NPM, operating under the name of Hutchison Ports Basra.

NPM is a containerized terminal operator at the Port of Basra located along the Shatt Al Arab waterway in Iraq.

The company services the shipping needs for a full spectrum of customers across Iraq – from large, multinational companies to local Iraqi merchants. NPM’s proximity to the city center and major oilfields, and its operations are viewed as key competitive advantages versus other ports in the region.

Andy Tsoi, Hutchison Ports’ Managing Director (Middle East and Africa), said:

We view NPM’s operations at the Port of Basra as an integral piece of our expanding Middle East strategy and are excited about the opportunities this partnership creates.

“We believe strongly in the growth story of Basra, Iraq, and the Middle East as a whole and are delighted to have the opportunity to participate in and support the growth of the business over the long term.

Eric Clark, CEO of NPM, said:

Hutchison Ports has an exceptional team and a proven track record of delivering value to its customers, employees and the regions in which it invests.

“We are delighted for the opportunity to partner with one of the leaders in the industry – a company which shares our vision of NPM as both a unique maritime asset in southern Iraq as well as strategic platform in the epicenter of one of the fastest growing regions in the world.

Eversheds LLP served as legal advisor to Hutchison Ports and Latham & Watkins LLP served as legal advisor to the PFBI during the deal process.

Terms of the transaction were not disclosed.

(Source: Press Release)