Orascom Telecom Holding SAE (ORTE) soared on investor bets the shares were undervalued after the company split into two units and as the stock resumed trading after a two-month halt.
The shares jumped 51 percent to 2.62 Egyptian pounds at the 2:30 p.m. close in Cairo, pushing Egypt’s benchmark index 1.3 percent higher. Orascom Telecom Holding’s global depositary receipts, which haven’t been split and represent five ordinary shares each, have climbed 46 percent to $3.26 since Nov. 23, the day before the Egyptian exchange suspended local trading.
After the split, Orascom Telecom Holding holds 58 percent of the original company’s assets, including those in Algeria, Pakistan and Bangladesh. Orascom Telecom Media & Technology Holding SAE, the split-off entity, owns the Egyptian and North Korean assets. Orascom Telecom Media shares, which were priced at 1.25 pounds, tumbled 28 percent to 90 piasters.
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