First Day Dealings of The Palestine Securities Exchange (PSE) on the Palestine Exchange (PEX)

NABLUS, Palestine, April 16, 2012 /PRNewswire/ --

The Palestine Securities Exchange plc (PSE) is pleased to announce that its shares were listed and started trading on April 4^th, 2012 celebrating the fifteenth trading anniversary of the Palestine Exchange (PEX).

The PSE stock was floated as per the exchange regulations and 79 transactions were executed on the share with a total trading value of USD 684,000. The PSE stock closed at a price of USD 5.07 a share.

The listing agreement was signed between the Chairman of the Palestine Exchange Prof. Rami Hamdallah, and the Chairman of PADICO Holding Mr. Munib Masri, on behalf of the PSE shareholders.

Munib Masri said: "I consider the listing a significant milestone given the Exchange's position as the backbone of the Palestinian national economy. In 1995 PADICO Holding scored one of its key successes by creating the PSE with the establishment of the Palestinian National Authority. Today the PSE has great potential and enormous investment opportunities. It has proved that it is more than up to the challenge of operating under difficult conditions as witnessed over the past fifteen years."

Rami Hamdallah pointed out, "The PSE is the only Arab exchange that is fully owned by the private sector and the second Arab exchange to be listed. The Palestine Exchange has maintained its presence under challenging political and economic conditions and has proven to be a robust exchange amongst its peers."

PADICO Holding as the major shareholder of the PSE (74%), is looking to attract regional institutional investors to enlarge and deepen the ownership base. PADICO has committed to reduce its interest by a minimum of 20% within the first year. The current 4% free float is set to rise to 25% and there is a commitment to increase the number of shareholders to fifty within the first year. The other main shareholders of the PSE include: Al-Sanabel for Trading and Investment (17%), EuroMena Limited Partnership Co. (5%), Al Rafah Microfinance Bank of (2.5%) and others (1.5%).

Ahmad Aweidah, CEO of the Palestine Exchange also commented, "The PSE equity will be attractive to local retail investors as well as regional institutional investors for many reasons; the PSE is a regulated market within best international standards. It uses best of breed technologies for trading, surveillance and post trade services as well as working in accordance with modern laws and regulations that ensure transparent, efficient and equal trading across all investor classes. There are no restrictions on foreign investment; Palestinian and foreign investors are treated equally."

"With cash flow of USD 11m PSE does not need anymore capital to develop its operations. In fact since 2005, more than USD 14m has been distributed in dividends. Some relief in the political arena will definitely be in the PSE favour leading to further growth in the business."

The PSE Financial Summary 2011

Gross Revenues: 2.93m USD
Operating costs:2.83m USD
Equity: 11.13m USD
EBITDA: 0.025m USD
Paid up Capital: 10m USD

The PSE Financial Indicators 2011

Liquidity Ratio: 2.29
Cash Ratio: 123%
EPS:(0.027) USD
ROE:(0.024)
ROA:(0.021)
Total liabilities to Assets: 12%
Total liabilities to Equity: 14%

For more information, please contact:
Mrs. Fida Musleh/Azar
Manager of PEX Representative Office-Ramallah
Manager of Public Relations & Investor Education Department
The Palestine Exchange (PEX)
[email protected]
Tel: +970(or 972)9-2390-999
http://www.pex.ps

SOURCE The Palestine Securities Exchange plc (PSE)