Exclusive: NMC Health eyes profit increase in 2018, fuelled by $2bn warchest - The National

Exclusive: NMC Health eyes profit increase in 2018, fuelled by $2bn warchest - The National

UAE-based NMC Health, which joined the UK’s FTSE 100 list of the companies with the highest market capitalisation last September, has $2 billion of funding available for investments and acquisitions in the coming years, and expects another profitable year in 2018 as it expands its operations globally, its chairman said.

“I have $2bn at my disposal to acquire companies as and when we can get them,” BR Shetty, who is also the founder of NMC Health, told The National. “For the want of money we will not eject anybody. We are waiting for a good chance.”

NMC is in negotiations with several parties and expects deals to be announced before the end of the year. Africa is a “good opportunity”, Mr Shetty said, as are Turkey, Europe, America, and the UK – which NMC hopes to enter by 2019. The company prefers to acquire “running hospitals that require funding and our assistance, for example through a management contract”, rather than greenfield projects - building a new hospital from scratch - which takes a long time, he added.

Diversification and FDI drive Sharjah’s economy

Sharjah’s policy of diversification and its success in attracting foreign direct investment is driving the economy towards new heights, according to a new report revealed on Sunday.

The Report Sharjah 2018 by Oxford Business Group stated that Sharjah authorities have been undertaking a range of measures to boost foreign investment flows, supported by competitive advantages such as strong connectivity … and a culture of entrepreneurship.

According to the Sharjah FDI Office, the emirate attracted Dh5.97 billion of foreign direct investment in 2017 compared to Dh912 million in 2016.

After MSCI upgrade, Tadawul chief turns to the next challenge for Saudi Arabia

Khalid Al-Hussan seemed to be enjoying himself last Thursday at the Riyadh headquarters of Tadawul, the Saudi Arabia stock exchange, of which he is chief executive. In fact, a quiet smile of satisfaction rarely left his face, even under the bright glare of the television lights of the international media.
“We’ve all worked very hard and we’re very pleased,” he told Arab News once the TV cameras had left, adding that it had been “one of the best days” of his professional career.
Al-Hussan had just left the podium of a press conference — shared with Tadawul chairperson Sarah Al-Suhaimi and the chairman of the Capital Markets Authority, Mohammed Al-Kuwaiz — to announce the fact that, after three years of preparation, Saudi Arabia had finally been included in MSCI’s Emerging Markets index.

Why women behind the wheel will drive the Saudi economy

The women of Saudi Arabia won’t be the only ones celebrating the lifting of the driving ban by taking the wheel in big numbers.

The “teenage scribblers” — as one British politician famously described the cadre of analysts who deliver their verdicts on economic policy decisions — will also be reaching for their keyboards to assess what it means for gross domestic product (GDP), the industrial and services sectors, and the standard of living indices in the Kingdom.

So far, the effects have been regarded as almost wholly beneficial. In a nutshell, allowing women to drive will increase GDP significantly, boost the quantity and quality of the Saudi workforce, and enhance parts of the economy — like automotive production and sales, the insurance business, and the retail and medical sectors — that have been identified as crucial to the success of the Vision 2030 plan to diversify away from oil dependency.

Fitch upgrades Doha Bank’s outlook to stable from negative

Fitch Ratings has upgraded the outlook of Doha Bank from ‘Negative’ to ‘Stable’ and affirmed the long-term Issuer Default Ratings (IDR) at ‘A’.

The upgrade to stable, follows the revision of the Qatari sovereign’s Outlook to Stable from Negative and affirmation of the country’s Long-Term IDR at ‘AA-’, and reflects Fitch’s view that Qatar has successfully managed the fallout from last year’s rupture of trade, financial and diplomatic relations with the Arab quartet consisting of the UAE, Saudi Arabia, Bahrain and Egypt.

Public sector liquidity injections have stabilised the banking sector and stemmed the outflow of non-domestic funding.

Local retail investors help QSE surpass 9,000 mark

The Qatar Stock Exchange on Sunday opened the week strong to surpass 9,000 points, mainly on the back of buying interests of local retail investors.

An across-the-board-buying – particularly in consumer goods, telecom, real estate, insurance and banks – led the 20-stock Qatar Index to gain 0.93% to 9,005.34 points.
Doha Bank-sponsored exchange traded fund QETF gained 0.49%, while Masraf Al Rayan-sponsored QATR fell 2.28%.

Saudi Arabia's $90 Billion Reason to Allow Women to Drive

Allowing Saudi women to drive could help the kingdom reap as much income as selling shares in Saudi Aramco.

The move, which went into effect on Sunday, could add as much as $90 billion to economic output by 2030, with the benefits extending beyond that date, according to Bloomberg Economics. Selling as much as 5 percent stake in Saudi Arabian Oil Co. -- at the most optimistic valuation -- could generate about $100 billion.

Saudi Arabia ended its status as the last country on earth to prohibit women from taking to the wheel. Some women drove through the still-packed streets of the capital early Sunday while others drove in convoys around Riyadh neighborhoods in celebration of the ban’s end.

Boursa Kuwait eyes MSCI emerging markets status

Morgan Stanley Capital International (MSCI) has announced that it will include the Boursa Kuwait in the MSCI Kuwait Index in its 2019 Annual Market Classification Review for a potential reclassification from Frontier Markets to Emerging Markets status.

MSCI is one of the world’s top providers of research-driven insights and tools for institutional investors.

The reclassification from frontier to emerging markets is a major achievement for any country which typically brings with it large capital inflows from international investors.

JPMorgan subsidiary to sell Saudi Investment Bank stake for $203 million

A subsidiary of JPMorgan Chase & Co (JPM.N) has agreed to sell its minority stake in Saudi Investment Bank 1030.SE for 759.3 million riyals ($203 million), Saudi Investment Bank said in a statement on Sunday.

JPMorgan International Finance, which has held a minority stake in Saudi Investment Bank since 1976, will divest its holding by selling its shares back to Saudi Investment Bank, JPMorgan said in a separate statement about the deal.

JPMorgan, which is the only U.S. bank providing both commercial banking and securities services in the kingdom, did not disclose the size of the stake or the financial terms of the deal.

Etihad tells pilots they can join rival Emirates on secondment

Etihad Airways has told its pilots they can join rival Emirates on a temporary basis for two years, according to an internal Etihad email seen by Reuters, as the downsizing of the Abu Dhabi carrier’s operations helps fill a pilot shortage for Dubai’s Emirates.

Etihad, which last week reported a $1.5 billion annual loss, has been overhauling its business since 2016, replacing its top executive, dropping unprofitable routes and shrinking its fleet.

The agreement is also likely to help Emirates, where a pilot shortage forced it to cancel some flights this summer. Management had said the shortage was a short-term issue.

MIDEAST STOCKS-Saudi insurance stocks soar as ban on female drivers is lifted

Saudi insurers posted significant gains on Sunday, on hopes that insurance volumes will rise as women began driving in Saudi Arabia, in the end of the world’s last ban on female drivers.

This lifted the Saudi exchange, which outperformed other regional markets, and which was still riding the wave of MSCI’s announcement last week that it would add the kingdom’s stock market to its emerging markets benchmark.

Saudi Arabia’s addition could help attract $40 billion from foreign funds, the chairman of the Saudi Capital Market Authority told Reuters last week. The move followed the decision by another index provider, FTSE Russell, to give Saudi Arabia emerging market status earlier this year.

Saudis Pledge Decisive Oil Supply Boost to Comfort Consumers

Saudi Arabia promised to act decisively to keep oil prices under control, signaling a real supply boost approaching 1 million barrels a day is on the way to global markets.

“We will do whatever is necessary to keep the market in balance,” Saudi Energy Minister Khalid Al-Falih told reporters on Saturday, while sitting alongside his Russian counterpart Alexander Novak at OPEC headquarters in Vienna. Consumers can rest assured that “their energy supplies are available, are being stewarded by a responsible group of producers.”

Al-Falih went out of his way to give a detailed explanation of how the so-called OPEC+ deal will work, clarifying a vaguely worded agreement and contradictory statements from other ministers that spurred a rally in crude futures on Friday. It would be troubling if that jump in prices became a trend, the minister said, adding that producers with spare capacity, such as Saudi Arabia, can fill any gap left by falling production elsewhere.

Dubai developer bids to attract Chinese property investors

Dubai Properties is drawing high interest for its projects from investors and potential buyers in China as part of its participation at Luxury Property Showcase (LPS) Beijing 2018.

A key highlight of Dubai Properties' outing at the event is its showcase of 1/JBR. In addition, the developer is highlighting its two residential projects in Business Bay - Marasi Riverside, a waterfront tower, and Bellevue Towers, a two-tower development. Dubai Properties is also showcasing Mudon as well as three phases of Serena and Villanova.

Marwan Al Kindi, director of sales and sales operations at Dubai Properties, said: "Our participation at LPS Beijing reflects our commitment to engaging with customers at a time when interest from the Chinese market is at an all-time high. Over the past two years, Chinese buyers have consistently ranked among Dubai Properties' top 10 buyer nationalities in terms of value. However, as recently as April, they were in the top five, so there is a clear trend for us to capitalise on. Our presence will allow us to further tap this key market that currently represents three per cent of Dubai's real estate transactions."