Monday, 14 March 2011
DFM, the Arab world's only listed bourse, had quarterly profit of Dh5.9 million ($1.61 million), according to Reuters calculations. This compares to a profit of Dh88.6 million in the year-earlier period.
Two analysts polled by Reuters forecast DFM would make a fourth-quarter profit of between Dh3 million and Dh23 million.
Deutsche Bank has been talking to banks about forming a lead group on a club-style syndication where a loan is provided by a small group of banks and lenders have been asked to contribute $200 million each, the sources said.
Saudi Oger could not be reached for comment.
|TASI (Saudi Stock Market)||6230.7||-1.25%|
|DFM (Dubai Financial Market)||1475.15||-2.48%|
|ADX (Abudhabi Securities Exchange)||2629.41||-0.99%|
|KSE (Kuwait Stock Exchange)||6406.9||0.16%|
|BSE (Bahrain Stock Exchange)||1395.06||-1.56%|
|MSM (Muscat Securities Market)||6400.66||-0.25%|
|QE (Qatar Exchange)||8301.55||-1.84%|
|LSE (Beirut Stock Exchange)||1406||-0.21%|
|EGX 30 (Egypt Exchange)||5646.5||-10.52%|
|ASE (Amman Stock Exchange)||2217.98||-0.47%|
|TUNINDEX (Tunisia Stock Exchange)||4351.77||-0.66%|
|CB (Casablanca Stock Exchange)||12732.2||-0.30%|
|PSE (Palestine Securities Exchange)||489.41||0.25%|
Kingdom Holding Co. (KINGDOM), controlled by Saudi Prince Alwaleed, and Bahrain Telecommunications Co. offered $950 million for the 25 percent stake held by Zain, as Mobile Telecommunication Co. is known, in Zain Saudi Arabia, the partners said today in a statement. The non-binding offer doesn’t include the $3.8 billion of Zain Saudi’s debt and has received preliminary acceptance by the board of Zain Kuwait, the statement said.
“The bid will lead to increased optimism of a deal finally happening between Etisalat and Zain,” said Julian Bruce, director of equity sales at EFG-Hermes Holding SAE in Dubai.
The two state-controlled Qatari LNG giants -- Qatargas and Rasgas -- can make up for the quake-hit country's nuclear power loss which will mean relying more on gas-fired plants. "Qatargas stands ready to provide all the support to its long-term partners and foundation customers in Japan to meet any increased requirements for LNG at this time," a spokeswoman for the company said in a statement.
"Qatargas can also rely on our sister company RasGas to support Qatargas' efforts to meet our Japanese buyers and partners needs."
Gone are seven-star hotels, near-mile-high skyscrapers and artificial islands shaped like palm trees and the countries of the world. The new real estate hotspots are facilities for light industry and logistics, budget hotels and malls that serve neighborhoods rather than the region – dull by pre-crisis standards but profitable and in demand.
Once obscured in the wave of hyper-speculation, location and quality construction have re-emerged as critical factors in the residential and office segments, Saeed Hashmi, head of valuation and advisory at Landmark Advisory in Dubai, told The Media Line.
An uprising against the rule of Libyan leader Muammar Gaddafi has sharply reduced oil production in Libya, usually Africa's third largest producer with output of 1.6 million barrels per day, or almost 2 percent of world supply.
"The oil companies in Libya made a call for the return of all the employees to their work," NOC Chairman Shokri Ghanem told Reuters by telephone.
Iberdrola, saddled with 24 billion euros of net debt, said on Monday it would issue 338 million new shares and sell them plus treasury stock at 5.63 euros each to Qatar Holding, the Gulf state's sovereign wealth fund.
"We believe the market will look upon this capital increase as a defensive move of ... Iberdrola against the entrance of ACS in its shareholding structure," broker Mirabaud said in a note to investors.
Oman oil for immediate loading dropped $1.86, or 1.7 percent, to $107.15 a barrel at 4:07 p.m. in Singapore, according to data compiled by Bloomberg. Dubai for loading in May declined 1.7 percent to $106.92 a barrel and Murban crude fell 1.5 percent to $110.94. Prices of the three grades dropped the most since Feb. 25.
Japan was struck by an 8.9-magnitude temblor on March 11 that unleashed a 7-meter (23-foot) tsunami and may have killed 10,000 people in the north of the country. The disaster shut about 1.3 million barrels a day of capacity, or 29 percent of the country’s total of 4.516 million, based on data from the Petroleum Association of Japan.
"The Dubai SME 100 will serve as the foundation of other initiatives such as possible development of a SME secondary IPO market listing, and the building of an equity market dedicated to SMEs," Sheikh Ahmed bin Saeed al-Maktoum, chairman of Supreme Fiscal Committee and an uncle of the emirate's ruler, told reporters at a conference in Dubai.
Dubai SME, an agency under the Dubai Department of Economic Development (DED), launched the "Dubai SME 100" on Monday, a ranking of top-performing small and medium enterprises in Dubai.
Five-year credit default swaps rose to 305 bps, data from Markit showed, defying a broader easing seen for other regional sovereign credits.
The cost of insuring Bahraini debt hit 19-month highs of 318 bps late February when anti-government protests killed seven demonstrators. Demonstrations on Sunday saw protestors overwhelm police and cut off roads.
S Korea: what price nuclear exports? | beyondbrics | News and views on emerging markets from the Financial Times – FT.com
South Korea is whooping with delight that it has signed a preliminary contract to develop 1bn barrels of oil reserves in the United Arab Emirates, winning the deal by using the leverage of its $20bn project to build nuclear reactorsthere. But is it really all good news?
It’s certainly a big step for Seoul, which insists the final contract – due for conclusion next year – will lift its oil sufficiency to 15 per cent from 10 per cent now. The Korea National Oil Corporation has never won a project of this scale so it represents a huge vote of political confidence from the UAE.
So far, KNOC’s moves to acquire greater reserves and know-how have generally taken the form of mergers and acquisitions, buying Britain’s Dana Petroleum last year and Canada’s Harvest Energy in 2009. Korea’s diplomats and oil men have to be saluted for convincing the Emiratis that they are ready for such a big upstream concession. Korea is the world’s fifth-biggest crude importer and its relationship with the world’s third-biggest exporter seems to be going from strength to strength. So far, so good.
|TASI (Saudi Stock Market)||6256.55||-0.84%|
|DFM (Dubai Financial Market)||1475.3||-2.47%|
|ADX (Abudhabi Securities Exchange)||2640.22||-0.58%|
|KSE (Kuwait Stock Exchange)||6396.6||0.00%|
|BSE (Bahrain Stock Exchange)|
|MSM (Muscat Securities Market)||6401.18||-0.24%|
|QE (Qatar Exchange)||8342.89||-1.35%|
|LSE (Beirut Stock Exchange)||1407||-0.14%|
|EGX 30 (Egypt Exchange)||5646.5||-10.52%|
|ASE (Amman Stock Exchange)||2224.01||-0.20%|
|TUNINDEX (Tunisia Stock Exchange)||4380.53||0.32%|
|CB (Casablanca Stock Exchange)||12770.2||-0.23%|
|PSE (Palestine Securities Exchange)||487.49||-0.14%|
While some UAE listed banks, property developers, insurers and telecoms have exposure to Egypt or the Maghreb economies, there is no justification for the liquidation trade that has gutted valuations on the DFMand the ADSM.
The DFMwas in a savage bear market even before the overthrow of the Tunisian and Egyptian regimes. Dubai’s property crash and banking/external debt restructuring had accelerated a sell-off in the DFM, with a two-third plunge in trading volumes, the closure of dozens of stock brokerages and bank margin calls that forced investors to sell shares in a desperate scramble to raise cash. I truly believe that, below 1,400, we just witnessed a capitulation trade in the DFM, Lord Rothschild blood on the street inflection point. Why?
Earlier on Monday, France Telecom (FTE.PA) and Agility are to acquire a 44 percent stake in Iraqi mobile operator Korek Telecom, the firms said in a joint statement on Monday. [ID:nWEA8194]
The numbers are based on suspicious transactions reported by banks, financial and non-financial institutions. In 2008, the number of suspicious transactions that were detected by the UAE stood at 1,170.
"The number of suspicious transactions continues to rise. But it's not worrisome. There's going to be a lot more money on the move — good money as well as bad money," Bryan Stirewalt, Managing Director of Supervision at the Dubai Financial Services Authority, told reporters on the sidelines of a workshop at the Central Bank.
The bank reported net income last year of Dh806 million, a 33 per cent decline on 2009, triggered by a drop in operating income and an increase in provisioning. Fourth-quarter net income reached Dh35m, which was almost 36 per cent below the consensus of analysts at Dh55m.
Jaap Meijer, a banking analyst at Alembic HC Securities, said the fourth-quarter numbers were an improvement over several flat quarters previously but not enough to warrant a re-rating on the shares. He holds a "neutral" rating on the stock.
Brokerages now will require investors pay margins or present more collateral when the client’s debt reaches 70 percent of the shares’ value at the end of trading each day, the Egyptian Financial Supervisory Authority said in a statement on its website. Brokerages were allowed to make the margin calls at 60 percent earlier.
The bourse has been shut since the end of trading on Jan. 27 amid a popular revolt that ousted President Hosni Mubarak two weeks later. The benchmark EGX 30 Index plunged 16 percent in the last two trading days.
TSR rose to 15.2% in 2010 against 3.6% in the previous year, according to the Boston Consulting Group (BCG), a global management consulting firm and the world’s leading advisor on business strategy.
The results were released in a new study by BCG titled ‘Creating Value in Banking 2011: Settling into the New Post-Crisis Equilibrium’, based on the analysis of about 550 global banks and financial service companies listed on international stock markets.
The exposure to Egypt is mainly to international companies and some UAE companies while the Libyan exposure is to banks there, Michael Tomalin said on Sunday.
"The exposures are well covered and our Egypt operations are self-funding. Whatever happens to Egypt, we are confident things will work out," Tomalin said on the sidelines of the bank's annual general meeting.
"We have no problem exposure to Egypt," he added.
The board approved the offer with a vote of five to two, one source, who declined to be identified, told Reuters on Sunday.
Kingdom and Batelco offered to buy the assets at 10 Saudi riyals ($2.67) per share, paying $1.2 billion in total, and agreeing to take over $3.8 billion of debt, another source said.
Share trading continued, but with volumes only 20 to 30 per cent of normal levels. Ali al Mansori, an exchange spokesman, said it was too early to say if business would resume in the Financial Harbour today.
Demonstrators seriously disrupted normal business in Bahrain with a targeted move against Manama's Financial Harbour district, the heart of the country's investment and banking industry.