Thursday, 21 October 2010
Abu Dhabi Islamic Bank PJSC surged to the highest close in almost two years and Abu Dhabi Commercial Bank PJSC gained the most since Oct. 11. The chief executive officer of ADCB, the United Arab Emirates’ third-biggest bank, said it aims to diversify lending after being hurt by Dubai World’s $24.9 billion debt restructuring. ADCB is scheduled to announce earnings next week. The ADX General Index rose 0.8 percent to 2,807.5 at the close in Abu Dhabi. The measure gained 1.8 percent this week.
“There are positive expectations for third-quarter earnings, especially for banks,” said Waleed Al Khateeb, senior finance manager at Dubai-based Daman Securities LLC.
Foreigners invested $250 million in Iranian stocks since March 21, the beginning of the Iranian year, after investing $140 million in all of the preceding 12 months, Hassan Ghalibaf- Asl, the Tehran Stock Exchange’s president said in an interview in Paris after attending the annual meeting of the World Federation of Exchanges.
TSE’s benchmark index, the Tepix, has surged 63 percent year-to-date, making it the third-fastest growing primary index in the world, according to data compiled by Bloomberg.>
Nawras made a net profit of 12.5 million rials ($32.47 million), compared with 7.7 million in the period in 2009, it said in an e-mailed statement.
Results for the period included a non-recurring provision of 1.8 million rials for one-off payments to staff related to the launch of the fixed service and the IPO, it said."
I pay attention to this stuff because peak oil is very much on my radar, and has been for about a decade now. It’s more than disheartening to see these reports presented to the public without any sort of context. Before everyone starts jumping for joy, there are a few things that need to be taken into account.
First, OPEC countries — which include Iraq, Iran and Kuwait — are on the honor system when it comes to reporting their reserves. There is no independent audit to confirm whether their reported reserves are accurate or not.
Outside the UAE and Bahrain orders are already picking up. Saudi Arabia is placing multi-billion dollar construction contracts. Qatar has not slowed down much, and Majid Al Futtaim has just started building Doha’s largest shopping mall.
The federal Urban Development Ministry has instructed the Delhi Development Authority (DDA) to confiscate Rs1.83 billion that the construction company Emaar-MGF had given in the form of the bank guarantee when the project was awarded to it.
However, the developer said in a statement sent to Gulf News that the bank guarantee (BG) was extended till December 31, 2010, at the behest of DDA and that it had “not received any notice for encashment of the BG”.
Net income for the three months to Sept. 30 fell to 651.9 million riyals ($179 million) from 710.9 million riyals a year earlier, Qtel said in an e-mailed statement today.
“This period’s performance illustrates our ability to overcome challenges, capitalize on opportunities, and deliver meaningful returns for our shareholders,” Chairman Abdullah bin Mohammed Al Thani said in the statement.
Thin volumes and high trading volatility -- sparked mainly by regional retail investors -- have sunk valuations on the region's exchanges and kept international institutions on the sidelines, awaiting clarity on companies' debt troubles.
Middle East IPOs raised $1 billion in the first half of 2010, a report by Ernst & Young said in September, a 9 percent decrease from the same period a year ago. But a recent slew of deals is signaling a return of confidence.
The lesson "for all banks is sticking to certain diversified thresholds no matter how great the borrower is," Ala'a Eraiqat said in an interview in London yesterday. "We learned from the lack of diversification or large concentration."
State-controlled Abu Dhabi Commercial Bank is one of the biggest lenders to holding company Dubai World, which announced plans to restructure its debt. "We were hit harder than everybody else," Eraiqat said.
Disclosure of the loan underlines the increasingly close ties between the Gulf states and Asia, a trend that is apparent in recent bond sales, where Asian investors have become markedly more significant.
More than a third of investors in Dubai’s recent $1.25bn sovereign bond issue – divided into five-year and 10-year tranches – were based in Asia. In the dollar-denominated tranche of Dubai’s October 2009 Islamic bond, only 17 per cent of investors were Asian.
|Two tones: owning more than one mobile phone has become increasingly common in the region|
Nokia-toting teenagers and BlackBerry-wielding businessmen have been a gold mine for telecommunications companies across the Gulf, turning the government-owned operators into some of the region’s most aggressive and ambitious corporate giants.
But after deals worth $33bn in the Gulf alone in the past four years, the industry may soon enter a period of more measured, “organic” growth, as acquisitions targets are scarcer and competition heats up in domestic markets, analysts and bankers say.
Etisalat’s $11.7bn blockbuster bid for 46 per cent of Zain, the Kuwaiti operator, is expected to go through and lead to the eventual sale of Zain’s 25 per cent stake in its Saudi subsidiary – which competes against Etisalat’s Mobily.