South Valley Cement Company is comparing between borrowing from banks and increasing its capital in the stock market. Mekati noted that his company won the new cement line licence after Misr Beni Suef Cement withdrew from the auction. Some companies believe that the cost is high, while others believe the market cannot absorb an increase in cement production; however, South Valley Cement Company plans to expand its production capacity within the next three years. El Sewedy Cement Company, South Valley Cement Company, and Cement Egypt won the tender posed by the Industrial Development Authority for three licences to build new production facilities for cement. Sigma Capital Company predicted that the new production expansions of South Valley Cement would increase the fair value of the company’s share to EGP 6.44 per share.

Source: Daily News Egypt December 04, 2016 08:50 UTC