Iran Equity Guide 2015 Turquoise Partners - Firouzeh Asia About Turquoise Partners and Firouzeh Asia Turquoise Partners is an investment group based in Iran. Turquoise creates financial products and offers financial services to select clients and investors who are interested in the Iranian market. Having a qualified and diverse management team with a wealth of international expertise enables Turquoise to benefit from coupling a network of global know-how with an enviable reputation for local knowledge and professionalism. Firouzeh Asia is the brokerage arm of Turquoise Partners Group which, as a fully licensed brokerage acquired by Turquoise Partners Group in 2011, offers various brokerage and investment banking services to its clients. Iran Equity Guide 2015 - Tehran Stock Exchange Top 30 Equities First edition Date produced: May 2015 Turquoise Partners No. 10, 7th St. Khaled Eslamboli (Vozara) Ave. - Tehran, Iran Tel : +98 21 887 26 681 Fax : +98 21 887 26 680 Email : [email protected] To find out more about Turquoise Partners, visit our website at: www.turquoisepartners.com Firouzeh Asia Brokerage 5th Flr. No. 11, Mirza Hasani St. Ghaem Magham Farahani Ave. - Tehran, Iran Tel : +98 21 881 06 106 Fax : +98 21 881 07 746 Email : [email protected] Production team: Radman Rabii - VP International Clients Tina Alaei - International Clients Representative Ali Karbalaee - International Department Research Analyst © 2015 All rights reserved 2 Turquoise Partners - Firouzeh Asia Table of Contents: 4 Country Overview 6 Resources 7 Economy 8 Market 9 Turquoise TSE30 Index ETF Equity Fact Sheets 10 Persian Gulf Petrochemical Industries Company 11 Telecommunication Company of Iran 12 Tamin Petroleum & Petrochemical Investment Company 13 Mobile Telecommunication Company of Iran 14 Mobarakeh Steel Company 15 Mellat Bank 16 Parsian Oil & Gas Development Company 17 Ghadir Investment Company 18 National Iranian Copper Industries Company 19 Pasargad Bank 20 MAPNA Group 21 Islamic Republic of Iran Shipping Lines 22 Omid Investment Management Group 23 Gol e Gohar Mining and Industrial Company 24 Chadormalu Mining and Industrial Company 25 Pardis Petrochemical Company 26 Saderat Bank 27 Tejarat Bank 28 Civil Pension Fund Investment Company 29 Melli Development Investment Company 30 Informatics Services Corporation 31 Kharg Petrochemical Company 32 Metals & Mines Development Investment Company 33 Iran Khodro Company 34 Parsian Bank 35 Behran Oil Company 36 Eghtesad Novin Bank 37 SAIPA 38 Ansar Bank 39 Fanavaran Petrochemical Company 3 Iran Equity Guide 2015 Turquoise Partners - Firouzeh Asia Country Overview Known to the world as Persia until 1935, Iran is the 18th largest country in the world and is located on the traditional Silk Road corridor, linking Asia to Europe. With a population of around 80 million, Iran is the sec- ond most populous country in the region after Egypt and the nineteenth most populous country in the world. Iran borders Azerbaijan, Armenia, the Caspian Sea and Turkmenistan to the North, Pakistan and Afghan- istan to the East, Turkey and Iraq to the West, and finally the waters of the Persian Gulf and the Gulf of Oman to the South. The country has one of the highest number of neighbours, totalling 15, including both land and maritime borders. Iran has a very young population with 65% being under the age of 35. Approximately 2 million of Iran’s 80 million population turn 20 every year. Iran has a well-educated population, with the literacy rate rising from 55% in 1980 to more than 85% in 2011; the literacy rate for the youth (ages 15-24) stands at 98%. In 2011, when the last nation-wide census was taken, 4.1 million students were enrolled in universities; 320,000 of them graduated the same year with women comprising more than 50% of the graduates. As an engine for growth, Iran’s young demography promises a significant and consistent economic boom with the median age being around 30 years old. Iran has one of the highest urban growth rates in the world. From 1950 to 2011, the urban propor- tion of the population increased from 27% to more than 71%. At the same time, Iran’s birth rate has dropped significantly in recent years, leading to a population growth rate of 1.3 percent annually, coming down from 3.9 percent thirty years ago. Iran recognizes three calendar systems. However, the Persian calen- dar is the official calendar system which is used by the state and all institutions. The country also recognizes the Gregorian calendar for in- ternational events, and the Islamic Lunar calendar for religious events. Official Name: Norouz (the Iranian New Year) is the main national holiday in Iran, and Islamic Republic of Iran is a tradition that has been celebrated on March 21st to mark the be- Capital City: ginning of spring for thousands of years. During Norouz celebrations, Tehran which last 13 days, the country goes on holiday mode with families visiting relatives and travelling all around the country. Area: 1,648,195 sq km (18th in World) Iran is a diverse country, consisting of many different religions and eth- nicities that are unified through a shared history and culture. The official Population language of the country is Persian, however, Azeri and other Turkic dia- 79 million (19th in World) lects, as well as Kurdish and other local dialects are spoken regionally. The country’s official religion, as recognized by the constitution is Shiite Major Cities: Tehran, Isfahan, Mashhad, Tabriz, Shiraz Islam. More than 89% of the population are Shiite Muslims, while Sunni Muslims, Christians, Jews, Zoroastrians and others make up the re- Natural Resources: maining 11%. Iran’s constitution officially recognizes Christians, Jews, Petroleum, Natural Gas, Iron Ore, Copper, Zinc, and Zoroastrians as religious minorities, with each group being guaran- Chromium, Lead teed representation in the Iranian Parliament. Terrain: Iran hosts one of the largest refugee populations in the world, with more Mountainous along the West and the North, than one million refugees, mostly from Afghanistan and Iraq. On the desert in the center other hand, according to estimates, about five million Iranian citizens Climate: Semiarid, subtropical along Caspian Sea coast 4 Iran Equity Guide 2015 Turquoise Partners - Firouzeh Asia have emigrated to other countries, mostly since the Iranian Revolution in 1979. Iran is divided into thirty one provinces each governed by an appointed governor. The provinces are divided into counties, and subdivided into districts and sub-districts. Tehran, the capital, is the largest city of Iran with a population of more than 9 million. This Iranian metropolis is the country’s largest industrial and business centre with almost all major companies having their headquarters in the city. Tehran, sitting on the foothills of the Alborz mountains, is also home to diverse ethnic and linguistic groups from all over the country. Mashhad is the second most populous city in Iran and the centre of Khorasan Razavi Province. With a population of around 3 million, Mashhad is also among the major industrial cities of the country. The region is the location where many precious gemstones such as turquoise, agates, rubies, and emeralds can be found. Moreover, Mashhad is home to the tomb of Imam Reza, the eighth descendant of the Prophet Mohammad and the holiest religious site in Iran for Shiite Muslims. Every year, about 20 million pilgrims from Iran and more than 2 million from across the world come to this city. As a result, Mashhad is one of the country’s most important tourism hubs and is home to around 30% of Iran’s total hotel capacity. Another major Iranian city is Isfahan (population 1.9 million). The city contains a wide variety of pre-Islamic and post-Islamic Iranian architectural sites ranging from the 5th century BC to the 19th century AD. The city, being one of the major industrial centres of Iran, is also world famous for its handicrafts such as carpets, rugs, termeh, miniatures, mosaics and other arts. The Naqsh-e Jahan Square in Isfahan, home to some of the most magnificent mosques and palaces in the Islamic World, has been designated by UNESCO as a World Heritage Site. The growth of the suburban area around the city has turned Isfahan into Iran’s second most populous metropolitan area (3.8 million). The fourth most populous city of Iran is Tabriz (population 1.5 million), which is the capital of the East Azerbaijan province and one of the important manufacturing centres of the country. Tabriz was the second largest city in Iran until the late 1960s. Many industrial complexes are located close to the city producing goods ranging from tractors to confectionery products and chocolates. Tabriz is also the cradle of Iran’s constitutional revolution more than one hundred years ago, when Iranians forced the ruling monarch at the time to sign a constitutional decree limiting the powers of the Shah and establishing a representative parliament. The fifth major Iranian city is Shiraz (population 1.4 million). Shiraz is the centre of Fars province which is home to the birth- place and political capital of the Persian Empire. The ancient Persians were present in the region from about the 9th century BC, and later became rulers of the world’s first multi-national empire consisting of 28 nations under the Achaemenid dynasty starting in the 6th century BC. The ruins of Persepolis and Pasargadae, two of the four capitals of the Achaemenid Empire, are located near Shiraz. UNESCO declared the palaces of Persepolis a World Heritage Site in 1979. In total, Iran is home to 17 UNESCO World Heritage sites (and 51 more sites waiting for placement) and the country’s rich natural, cultural and historical sites can potentially turn the country into one of the world’s top tourist destinations.