Oil drop weighs on Saudi; dollar gains end Egypt rally

A stronger dollar will make it more expensive for Egypt’s central bank to obtain much-needed dollars.

Foreign investors were net sellers of Cairo stocks last week, despite attempts by the central bank to ease fears of a dollar shortage worsening.

Global Telecom climbed 4.2 percent to 2.00 pounds, rising for a fourth session. On Wednesday the company said a newspaper, which it did not name, had reported rumours that European firm Vimpelcom had offered to buy out Global at a price of 2.30 pounds per share. Vimpelcom already owns about 52 percent of Global.

Allen Sandeep, director of research at Naeem brokerage, reiterated a “buy” rating on Global. He said Vimpelcom might use part of the proceeds from a loan refinancing expected by the end of this year to make an offer to buy the rest of Global.

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