Egyptian purchase by Greeks

As news of its new acquisition started to make the rounds, a Greek company saw its shares doing very well indeed.

The latest news from Egypt has to do with acquisitions and specifically an acquisition that was obtained by the Greek Michaniki Company. Michaniki is a company that is responsible for property construction and development, and they have been involved heavily in both the real estate and tourism sectors of the Egyptian economy for some time now.

However, their operations in Egypt have recently become stronger on the back of an announcement by the group that they had acquired a property in the Egyptian capital of Cairo for approximately EUR 3.5 million.

The property, which is approximately 17,820 square metres in area, is located within two kilometres of the Pyramids and is also located almost on the regional highway that runs through the city of Cairo. All in all, this is some of the best property in Egypt to own, and the Michaniki group was able to get their hands on it for a price that they will likely have no problems getting a return on later down the road.

In fact, this appears to be the thought of investors back in Athens, who roundly approved of the move by Michaniki. As the company announced the acquisition of this property in Cairo, their stocks on the Athens Stock Exchange rose 3.3% to EUR 4.34 per share within a single trading session. That is a very marked increase and is one of the largest that the company has experienced in one trading session, so executives at the company were very glad at the positive reception that the move generated.

Michaniki might not be done in the field of property and land acquisition in Egypt, but then again they can also expect to face fierce competition as the demand for properties in that prime area in and around Cairo has steadily been increasing. Recent moves by the Egyptian government to copyright the Pyramids and introduce legislation to boost tourism have resulted in an upturn of interest in the Egyptian property market and Michaniki is one of many companies that are fuelling that demand.

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