CAIRO: Prime Securities cut its target price for Egyptian American Bank (EAB) to LE 62 a share from LE 64 pounds after the bank released results for the first nine months of the year.
It gave EAB shares an “Accumulate recommendation because of the gap between the target and the market price. EAB shares last traded at LE 56.34 on Thursday, the end of the week.
France’s Calyon and Britain’s HSBC have submitted bids to buy Egyptian American Bank, which is on sale by its main shareholders – American Express and state-owned Bank of Alexandria.
The bank reported net profit of LE 254.7 million ($44.33 million) for the first nine months of 2005, a rise of 50 percent from the same period a year earlier.
Another research unit, at HC Brokerage, last month estimated the acquisition value of EAB at LE 61 a share.
Prime said its new assessment took account of both the ninemonth results and of EAB’s recent merger with the Cairobased operations of American Express Bank. Reuters
