Elsewedy Electric received a letter of award for two underground transmission line projects in Egypt with a total value of EGP671mn, to be executed within six months. The projects are: i) EGP510mn project that includes engineering, manufacturing, supply and installation of underground cables 220 kV XLPE copper and fiber optic cables complete to connect Elhadhaba (2) 220kV substation with Cairo 500kV substation on a turnkey basis; and ii) EGP161mn project that includes the engineering, manufacturing, supply and installation of underground cables 220 kV XLPE copper and fiber optic cables complete to connect 1mbaba substation with West Cairo substation on a turnkey basis. This award is in line with the company’s expectation of winning more transmission and distribution projects in Egypt (in addition to the ongoing power generation projects). Its turnkey backlog reached EGP21.4bn by end of 1Q16. We reiterate our Buy rating on Elsewedy as it continues to benefit from power network expansions in Egypt, trades on single-digit multiple and offers high single-digit dividend yield. (Company disclosure, Wafaa Baddour)   Elsewedy Electric: EGP43.0 as of 06 June 2016, Rating: Buy, FV: EGP57.3 per share, MCap: USD1,079 million, SWDY EY / SWDY.CA