Cement Bloc - Atlas Market Brief 25 April 2002

Yet again, the ASE experienced a slow week. Keeping up with the trend, general liquidity levels remained modest with the exception of a bloc trade that pushed the value traded to more than JD41 million. By the end of the week, both the AMI and ASMI dropped 2.6% and 2.4%, respectively, as the Israeli military aggression in neighboring Palestine continued.

The highlight of the session took place on Thursday, when the government sold off its 8 million shares in Jordan Cement Factories (JOCM) to the Social Security Corporation - the kingdom's largest institutional investor. The deal, which was executed at JD3.5 (a 22% premium over Thursday's closing price), came only a day after JOCM's general assembly had approved a JD0.13 cash dividend. Atlas had previously reported that this same block was going to be sold to an investment company linked to the Palestine National Authority (PNA).

Meanwhile, perennial favorite Arab Bank (ARBK) slipped below the JD190 level this week. Similarly, other banking stocks also incurred losses, with Bank of Jordan (BOJX), Jordan Gulf Bank (JOGB), and Jordan Islamic Bank (JOIB) falling 7%, 5%, and 4%, respectively.

Dar Al Dawa for Development and Investment (DADI), whose stock had come under fire in previous sessions, held its annual meeting on Monday. DADI fell by more than 7% to close at JD3.65, after its general assembly had approved a JD0.25 cash dividend.