Egypt index climbs as OCI surges on new contracts
CAIRO, May 12 (Reuters) - Egypt's main share index rose 2.7 percent on Tuesday as international investors snatched up big caps, with Orascom Construction Industries (OCI) (OCIC.CA) (OCICq.L) surging after it said it won new contracts in Algeria.
OCI climbed 5.4 percent to 201.95 Egyptian pounds ($35.94), while the benchmark EGX 30 index .EGX30 added 155.13 points to end at 5,929.94 points, extending a five-day gaining streak. The broader EGX 70 index .EGX70 gained 0.68 percent.
"Internationals are net buyers today. They are very confident in our market... Everyone thinks it is very cheap," said Ashraf Akhnoukh of CIBC Brokerage, adding that OCI was among the gainers helping lead the market forward.
OCI said on Monday it had won $280 million in construction contracts for an Algerian hydrocarbons processing facility.
The firm said a 50/50 joint venture with Italy's Bentini had won a $230 million contract for infrastructure and buildings at the El Merk central processing facility in Algeria's Berkine Basin.
Separately, OCI signed a $170 million contract for civil and structural steel works there, the company said. OCI's total combained share from the contracts was $280 million.
Shares in Commercial International Bank (COMI.CA)(COMIq.L) and Orascom Telecom (ORTE.CA)(ORTEq.L) were also among the day's leading gainers, with CIB adding 5.66 percent to 46.50 pounds, just beneath a year intrasession high set on Monday.
OT, the day's most heavily traded share by value, added 2.9 percent to 36.50 pounds. ($1 = 5.6186 Egyptian pounds) (Writing by Cynthia Johnston)
