Google+ Followers

Tuesday, 17 January 2012

Abu Dhabi's Qannas Investments to list on AIM and raise $50 million

Abu Dhabi Capital Management, an Abu-Dhabi based investment firm, announces the intention to launch Qannas Investments on AIM and to raise up to $50 million.

The company said Qannas will seek to generate a target IRR of at least 20 per cent and its investments will be held for 3-5 years. ADCM currently manages more than $100 million in assets for institutional and high net worth investors. Back in July 2011 we reported the first closing of ADCM fund raising.

Dana gives back gains, UAE markets end mixed - Equities - ArabianBusiness.com

UAE markets end mixed with Abu Dhabi-listed Dana Gas ending flat after the energy firm said it will honour the outstanding $920m on its Islamic bond maturing in October.
The stock rose as much as 8.8 percent intraday recovering from an all-time low. Shares in Dana Gas are down 17.8 percent so far in January.
"Some investors believing that at this level, Dana offers an attractive entry point. The stock looks like it has been oversold," said Abid Riaz, financial advisor at EFG-Hermes.

MENA stock markets close - January 17, 2012

ExchangeStatus IndexChange
TASI (Saudi Stock Market)
6370.16-0.79%
DFM (Dubai Financial Market)
1310.40.70%
ADX (Abudhabi Securities Exchange)
2293.09-1.36%
KSE (Kuwait Stock Exchange)
5789.40.46%
BSE (Bahrain Stock Exchange)
1138.4-0.33%
MSM (Muscat Securities Market)
5602.38-0.56%
QE (Qatar Exchange)
8600.28-0.46%
LSE (Beirut Stock Exchange)
1172.020.32%
EGX 30 (Egypt Exchange)
3877.291.17%
ASE (Amman Stock Exchange)
1935.93-0.29%
TUNINDEX (Tunisia Stock Exchange)
4706.82-0.33%
CB (Casablanca Stock Exchange)
10961.7-0.21%
PSE (Palestine Securities Exchange)
476.840.34%

Dana Gas hires Deutsche to explore $1 bln sukuk options - sources | Reuters

Dana Gas has hired Deutsche Bank as its financial advisor to explore options for meeting its $1 billion convertible sukuk maturity in October, three sources told Reuters on Tuesday.

The UAE energy firm had earlier announced it had mandated an international firm to help it address the debt obligation.

Market uncertainty over the fate of the maturity has battered both the company's share price and the Islamic bond, although both recovered some ground lost in recent days after Tuesday's statement.

Abu Dhabi to hike UniCredit stake to 6.5 percent | Reuters

Abu Dhabi's investment vehicle Aabar on Tuesday said it will raise its stake in UniCredit SpA to 6.5 percent once the Italian lender's capital increase is completed.

Aabar Luxembourg, a subsidiary of the sovereign wealth fund, has entered into a series of transactions to raise their stake in UniCredit, Aabar said in a statement.

"We are intending to participate in the rights increase and actively support UniCredit's management and franchise in the future," Aabar Chairman Khadem Al Qubaisi said.

Multiple bidders eye Abu Dhabi's Gulf Marine-sources | Agricultural Commodities | Reuters

Abu Dhabi private equity firm Gulf Capital has attracted nearly a dozen initial bids for its Gulf Marine Services unit (GMS), two sources said, with a sale seen generating around $500 million.

Gulf Capital, which has around $1 billion of assets under management, is planning to exit two investments in 2012, including GMS, a regional support barge company, its chief executive told Reuters last year.

"This sale will be a litmus test for other private equity exits in the region. It's a strong asset and the initial interest for it is encouraging," one banking source said, speaking on condition of anonymity.

FT Alphaville » How will the world live with $100 oil?

For the long haul, that is.

So, Saudi Arabia is now effectively targeting $100/barrel crude oil, instead of the $70 – $80 price range of the past several years. This is significant because Saudi Arabia is the only country that can (in theory at least) ramp up its oil production quickly if prices spike (say, in the event of an Iran-related affair).

Saudi oil minister, Ali al-Naimi:
Click thru headline for video

2011: Year of Shariah Compliant Index Out Performance | alifarabia

The year 2011 was the year for [Malaysia] Shariah compliant index out-performance against all conventional developed and emerging market country indicies and almost all frontier countries.

The Islamic finance industry has not talked up the Islamic equity capital market story, as the Islamic debt capital market poster child, ‘Sukuk,’ has become the alter-ego of Islamic finance. But, does that amount to concentration brand and business risk for a $1 trillion, where Sukuk are, at best, 20% of Islamic finance?

For example, the continued conversation about the ‘controversy’ surrounding Goldman Sach’s $2B Sukuk, structure, proceeds and trading, seems to be a proxy statement about Islamic finance’s welcome mat to market moving institutions.

Morocco's Fipar Holding plans $230 mln IPO | Reuters

Moroccan private equity firm Fipar Holding plans to raise around 2 billion dirhams in an initial public share offer this year, which would be the Casablanca bourse's biggest new share listing since 2008, sources familiar with the matter said on Monday.

Fipar's main assets include a 17 percent stake in Morocco's second biggest telecoms operator Medi Telecom, a 30 percent stake in the firm managing the country's biggest port in Tangier and a 20 percent stake in Lydec, the biggest private utility firm.

"The IPO had initially been scheduled for 2011 but it had to be delayed to 2012," said one of the sources. "It should be for the amount of 2 billion dirhams which will be used to fund future investment by Fipar," the person added.

Dana Promises to Honor Payments Amid Concern on $1 Billion Bond - Businessweek

Dana Gas PJSC said it will honor debt obligations as the United Arab Emirates-based energy company faces a $1 billion Islamic bond maturing in October.

“Dana Gas over the last four years has timely and consistently paid, on or before the due date, the sukuk profit amount and will continue to do so pursuant with its obligations,” the company said in a statement to the Abu Dhabi bourse today.

Dana Gas, with most of its output coming from Egypt and the Kurdish region of northern Iraq, appointed a financial adviser and will report financial results Jan. 31 and provide an operational update, it said. The company got a total of $177 million in payments from Egypt and the Kurdish region last year, it said today.

Dana Promises to Honor Payments Amid Concern on $1 Billion Bond - Businessweek

Dana Gas PJSC said it will honor debt obligations as the United Arab Emirates-based energy company faces a $1 billion Islamic bond maturing in October.

“Dana Gas over the last four years has timely and consistently paid, on or before the due date, the sukuk profit amount and will continue to do so pursuant with its obligations,” the company said in a statement to the Abu Dhabi bourse today.

Dana Gas, with most of its output coming from Egypt and the Kurdish region of northern Iraq, appointed a financial adviser and will report financial results Jan. 31 and provide an operational update, it said. The company got a total of $177 million in payments from Egypt and the Kurdish region last year, it said today.

INSIGHT - In Arab Spring, economic gain may trump pain | Reuters

Mazen Dajani, chief executive of Jordan's CTI Group, says the Arab Spring accomplished what the global financial crisis of 2008-9 did not: it pushed his company, one of the world's largest shippers of cement, into the red.

CTI's shipments to Egypt plunged during the uprising against Hosni Mubarak early last year and have yet to recover, he says, while deliveries to Yemen were disrupted by unrest there. Trade with Libya is still suspended despite the end of last year's civil war. The company is projecting only about 12 to 14 percent of its business will come from the Arab world in 2012, compared with at least 30 percent in normal times.

"The Arab Spring turned the company from profit to loss for the first time in almost 10 years," said Dajani, 46, a member of an influential Jordanian-Palestinian merchant family.

THE DAILY STAR :: Saudi Arabia says it can pump 11.8 mln bpd

Saudi Arabia, the world’s top oil exporter, said Monday it can pump more oil at a moment’s notice, the day after Iran warned Gulf oil producers not to compensate for any disruption to Iranian output.

Saudi Arabia’s Oil Minister Ali al-Naimi, in an interview with CNN, said Riyadh could increase production by about 2 million barrels per day (bpd) “almost immediately.”

Naimi’s remarks were aired after Iran said Sunday the Gulf should not lift output to make up for any shortfall from Iran in the event of oil sanctions on Tehran.

gulfnews : Gulf economies grew 7.4% last year


The real gross domestic product (GDP) of the oil-rich six Gulf states registered a year-on-year growth of 7.4 per cent in 2011, up from 4.8 per cent in 2010, according to National Bank of Abu Dhabi report.
The GCC's nominal GDP reached a record $1.34 trillion (Dh4.92 trillion) in 2011, a sharp increase from $1.08 trillion in 2010.
The GCC economy is estimated to be the 14th largest in the world in 2011 after Australia.

gulfnews : Airberlin starts four weekly flights to Abu Dhabi

Germany's second-largest airline airberlin yesterday launched flights to Abu Dhabi.
Abu Dhabi Airports Company (ADAC) welcomed the first airberlin flight to Abu Dhabi International Airport with traditional water cannons and greeted by James E. Bennett, CEO of ADAC, James Hogan, President and CEO of Etihad Airways, and Hartmut Mehdorn, CEO of airberlin.
Airberlin will operate four weekly non-stop flights between Berlin and Abu Dhabi, with travellers now enjoying access to a total of 29 flights a week between Abu Dhabi and four German hubs, with a plan to increase the service to 42 flights from mid-April.

Tourism growth set to increase - The National

The number of tourists visiting the Middle East is expected to grow by up to 5 per cent this year, following an 8 per cent decline last year, a new report issued yesterday showed.

The forecast from the UN World Tourism Organisation (UNWTO) includes a prediction that the number of international tourist arrivals worldwide will reach one billion this year.

"The Middle East is forecast to start to recover part of its losses from 2011," the UNWTO said. It is projecting flat to 5 per cent tourism growth for the region.

Saudi Aramco to Invest $200 Billion in Refining, Exploration - Bloomberg

Saudi Arabian Oil Co. plans to build refineries in China and Indonesia as part of a $200 billion spending program to double refining capacity and explore for oil and natural gas over the next decade.
Saudi Aramco, as the state-run company is known, is preparing for talks about “final terms” for a Chinese refinery and is still waiting for “good terms to be put on the table” for a processing plant in Indonesia, Chief Executive Officer Khalid al-Falih said in an interview. Aramco is likely to decide soon on whether to invest in expanding a plant it operates jointly with Japan’s Sumitomo Chemical Co., he said on Jan. 14.
Aramco, the world’s largest crude exporter, is expanding refining and petrochemical production to meet domestic demand and export refined products that can fetch higher prices than oil. The company plans to boost its global refining capacity to 8 million barrels a day in 10 years, including projects yet to be announced, al-Falih said.

gulfnews : Local lenders capitalise on growing domestic demand for Gulf sukuk

A growing number of local investors are viewing Gulf sukuk as a safe investment option amid continuing volatility across regional equity markets.
Emirates Islamic Bank, a unit of Emirates NBD, announced yesterday it had completed the issuance of $500 million (Dh1.8 billion) worth of sukuk maturing in 2017. Last week, Abu Dhabi-based lender First Gulf Bank said its $500 million sukuk was oversubscribed 2.8 times, fetching $1.4 billion in the process.
Several UAE lenders have issued Islamic bonds in recent weeks with Dubai-based banks in particular paying a premium as debt maturities loom on the horizon.

Potential sale process for Gazeley

Warehouse property developer Gazeley could be put on the market as its owner seeks to repay some of its £1.3 billion debts this year. It is believed the investment bank Rothschild has been brought in to assist in the sale process.

Economic Zones World (EZW), a unit of Dubai World, runs technology, logistics and industrial parks, and also the Jebel All Free Zone (JAFZA) under Dubai World Group umbrella. Gazeley is one of four businesses that EZW owns.

Unnamed sources said that a sale of Gazeley would help EZW to repay part of debt maturing at JAFZA. JAFZA is planning to refinance a $2.04 billion Islamic bond maturing in November this year.

Oil rights for Abu Dhabi to go to tender - The National

Abu Dhabi will put the rights to some of its biggest oilfields out to tender, shaking a partnership with major oil companies that dates to before the Second World War.

The emirate's biggest petroleum concession, a constellation of onshore fields that collectively produce 1.4 million barrels per day (bpd), or half of Abu Dhabi's pumping capacity, is due to expire in two years.

"Adco [Abu Dhabi Company for Onshore Oil Operations] concessions will be put to bidding because companies will be screened," Abdulla Nasser Al Suwaidi, the director general of the Abu Dhabi National Oil Company, said yesterday. His statement was the first clear indication of the Abu Dhabi Government's plans.

Saudi Arabia targets $100 crude price - FT.com

Saudi Arabia is aiming to keep oil prices at about $100 a barrel, a third above its previous public target, in a sign that Riyadh needs higher oil revenues to sustain a big rise in public spending.
Ali Naimi, the Saudi oil minister, on Monday for the first time said the world’s largest oil producer aimed to keep oil prices at the triple-digit level.
“Our wish and hope is we can stabilise this oil price and keep it at a level around $100 [a barrel],” Mr Naimi told CNN. “If we were able as producers and consumers to average $100 I think the world economy would be in better shape.”

Saudis hope bourse reform will lure investors - FT.com

Saudi Arabia has long zealously guarded its domestic market from foreigners. Overseas companies are forced to enter into joint ventures with local merchants, and its stock market, the largest and most liquid in the Arab world, was off-limits to anyone outside the Gulf.
That could be about to change. After allowing access indirectly through swaps in August 2008, the Saudi Capital Markets Authority is expected to allow large international asset managers to invest directly in the $340bn market some time this year.