Recapitalisation to become more difficult for Iran's banks as US sanctions bite - The National:
There is little hope of progress regarding Iran's ability to recapitalise and restructure its battered banking sector as bad loans continue to mount in the wake of tightening US sanctions that take their toll on the economy.
“Many Iranian banks are in need of recapitalisation and restructuring, having accumulated high levels of non-performing loans,” Fitch Solutions, a unit of Fitch Group said on Tuesday in its latest report on the country's banking sector. “We see little scope for meaningful progress.”
Although an outright collapse of the Iran’s financial sector is unlikely in the near term, consolidation is eventually needed in the sector, according to the survey. The weakness in the sector is largely the result of years of interference with lending practices by government and government-linked entities, coupled with a weak regulatory environment, the report said. During the previous sanctions that preceded the 2015 nuclear agreement known as the Joint Comprehensive Plan of Action, Iranian banks offered interest rates as high as 30 per cent on deposits.
Tuesday, 22 January 2019
Traded value falls on #Dubai bourse
Traded value falls on Dubai bourse:
Traded value fell by a half on Tuesday amid waning interest from speculators as Dubai index continued its losing streak for another session.
Traded value fell to Dh78 million from Dh150 million in the previous session. The Dubai Financial Market general index closed 0.20 per cent lower at 2,493.92.
Emirates NBD weighed on the Dubai index closing down 1.74 per cent lower at Dh9.01. Emaar Malls closed 3 per cent lower at Dh1.60.
Traded value fell by a half on Tuesday amid waning interest from speculators as Dubai index continued its losing streak for another session.
Traded value fell to Dh78 million from Dh150 million in the previous session. The Dubai Financial Market general index closed 0.20 per cent lower at 2,493.92.
Emirates NBD weighed on the Dubai index closing down 1.74 per cent lower at Dh9.01. Emaar Malls closed 3 per cent lower at Dh1.60.
Time to tear down Mideast trade barriers, Davos panel hears
Time to tear down Mideast trade barriers, Davos panel hears:
Amid global trade wars and the rise of protectionism, Middle East economic and business leaders on Tuesday issued a clarion call for the exact opposite: To ease customs restrictions in the region.
A panel at Davos heard how an agreement between Saudi Arabia and the UAE to boost cooperation — including the reduction of obstacles to trade across the shared border — could be a blueprint for the wider region.
Mohammad Al-Tuwaijri, Saudi minister of economy and planning, said a move to ease movement of traffic across the border — partly through the use of technology — could be followed elsewhere. “We want to establish a reference for others to follow,” he said.
Amid global trade wars and the rise of protectionism, Middle East economic and business leaders on Tuesday issued a clarion call for the exact opposite: To ease customs restrictions in the region.
A panel at Davos heard how an agreement between Saudi Arabia and the UAE to boost cooperation — including the reduction of obstacles to trade across the shared border — could be a blueprint for the wider region.
Mohammad Al-Tuwaijri, Saudi minister of economy and planning, said a move to ease movement of traffic across the border — partly through the use of technology — could be followed elsewhere. “We want to establish a reference for others to follow,” he said.
Gulf crisis has rendered #GCC ineffective: #Qatar FM
Gulf crisis has rendered GCC ineffective: FM:
The Gulf crisis has paralysed the ability of the GCC to contribute to peace and be a force for stability, HE Sheikh Mohamed bin Abdulrahman al-Thani, Deputy Prime Minister and Minister of Foreign Affairs, Qatar on Tuesday said.
Participating in a panel discussion on 'Peace and Reconciliation in a Multipolar World', on the sidelines of the World Economic Forum in Davos, Sheikh Mohamed said: "My country has this geopolitical conflict right now with three of the Gulf countries, which really paralyses the ability of the GCC to contribute to peace and be a force for stability as everybody expects – because the GCC in itself…it’s a strength when it is a bloc. But when you have each country acting separately, it has no power. It has nothing to do. And the GCC itself, as an organisation, as a regional organisation that proved it was the only successful model in the Arab region…unfortunately, now it appears that it was not successful in solving its own conflict."
Answering a question as to what extent can a country like Qatar play a constructive role in peace and reconciliation today in the new geopolitical context that requires alternative approaches to peace and reconciliation, he said: "We need to look at those regional mechanisms that should support peace and reconciliations in other countries but should also make sure that these regions staying together have a clear understanding of the needs of co-operation and the needs of dispute resolution.
The Gulf crisis has paralysed the ability of the GCC to contribute to peace and be a force for stability, HE Sheikh Mohamed bin Abdulrahman al-Thani, Deputy Prime Minister and Minister of Foreign Affairs, Qatar on Tuesday said.
Participating in a panel discussion on 'Peace and Reconciliation in a Multipolar World', on the sidelines of the World Economic Forum in Davos, Sheikh Mohamed said: "My country has this geopolitical conflict right now with three of the Gulf countries, which really paralyses the ability of the GCC to contribute to peace and be a force for stability as everybody expects – because the GCC in itself…it’s a strength when it is a bloc. But when you have each country acting separately, it has no power. It has nothing to do. And the GCC itself, as an organisation, as a regional organisation that proved it was the only successful model in the Arab region…unfortunately, now it appears that it was not successful in solving its own conflict."
Answering a question as to what extent can a country like Qatar play a constructive role in peace and reconciliation today in the new geopolitical context that requires alternative approaches to peace and reconciliation, he said: "We need to look at those regional mechanisms that should support peace and reconciliations in other countries but should also make sure that these regions staying together have a clear understanding of the needs of co-operation and the needs of dispute resolution.
Aramco CEO on Bond Sale, Sabic, Investment – Bloomberg
Aramco CEO on Bond Sale, Sabic, Investment – Bloomberg:
Amin Nasser, president and chief executive officer of Saudi Aramco, discusses the company's preparations for its first foray into the international bond market. He also discusses the acquisition of petrochemicals giant Saudi Basic Industries Corp. and investment plans in an interview with Bloomberg's Jonathan Ferro at the World Economic Forum's annual meeting in Davos, Switzerland. (Source: Bloomberg)
Amin Nasser, president and chief executive officer of Saudi Aramco, discusses the company's preparations for its first foray into the international bond market. He also discusses the acquisition of petrochemicals giant Saudi Basic Industries Corp. and investment plans in an interview with Bloomberg's Jonathan Ferro at the World Economic Forum's annual meeting in Davos, Switzerland. (Source: Bloomberg)
Kingdom Holding May Spin Off Part of Real Estate Business, CEO Says – Bloomberg
Kingdom Holding May Spin Off Part of Real Estate Business, CEO Says – Bloomberg:
Talal Ibrahim Al Maiman, chief executive officer at Kingdom Holding, discusses investor interest in Saudi Arabia, potentially spinning off part of the real estate business, and where the company is investing. He speaks with Bloomberg's Francine Lacqua at the World Economic Forum's annual meeting in Davos, Switzerland, on "Bloomberg Surveillance." (Source: Bloomberg)
Talal Ibrahim Al Maiman, chief executive officer at Kingdom Holding, discusses investor interest in Saudi Arabia, potentially spinning off part of the real estate business, and where the company is investing. He speaks with Bloomberg's Francine Lacqua at the World Economic Forum's annual meeting in Davos, Switzerland, on "Bloomberg Surveillance." (Source: Bloomberg)
U.S. shale boom set to cool in 2019: Kemp | Reuters
U.S. shale boom set to cool in 2019: Kemp | Reuters:
U.S. crude oil production will continue to grow through 2019 and 2020, but at a much slower pace than in 2018, according to the latest forecasts from the U.S. Energy Information Administration.
U.S. crude and condensates production is estimated to have risen by almost 1.6 million barrels per day last year, according to the agency, the largest annual increase in history.
But the agency forecasts growth will slow to just over 1.1 million barrels per day in 2019 and less than 0.8 million bpd in 2020 (“Short-Term Energy Outlook”, EIA, Jan. 15).
U.S. crude oil production will continue to grow through 2019 and 2020, but at a much slower pace than in 2018, according to the latest forecasts from the U.S. Energy Information Administration.
U.S. crude and condensates production is estimated to have risen by almost 1.6 million barrels per day last year, according to the agency, the largest annual increase in history.
But the agency forecasts growth will slow to just over 1.1 million barrels per day in 2019 and less than 0.8 million bpd in 2020 (“Short-Term Energy Outlook”, EIA, Jan. 15).
U.S. shale oil output to rise to record 8.179 million bpd in February: EIA | Reuters
U.S. shale oil output to rise to record 8.179 million bpd in February: EIA | Reuters:
U.S. oil output from seven major shale formations is expected to rise by nearly 63,000 barrels per day (bpd) in February to a record 8.179 million bpd, the U.S. Energy Information Administration said in a monthly report on Tuesday.
The largest change is forecast in the Permian Basin of Texas and New Mexico, where output is expected to climb by 23,000 bpd to a record of about 3.85 million bpd in February.
Rising U.S. shale production has helped vault the country to the position of world’s biggest oil producer, ahead of Saudi Arabia and Russia. Overall crude production has climbed to a weekly record of 11.9 million bpd.
U.S. oil output from seven major shale formations is expected to rise by nearly 63,000 barrels per day (bpd) in February to a record 8.179 million bpd, the U.S. Energy Information Administration said in a monthly report on Tuesday.
The largest change is forecast in the Permian Basin of Texas and New Mexico, where output is expected to climb by 23,000 bpd to a record of about 3.85 million bpd in February.
Rising U.S. shale production has helped vault the country to the position of world’s biggest oil producer, ahead of Saudi Arabia and Russia. Overall crude production has climbed to a weekly record of 11.9 million bpd.
Saudi Aramco eyes multi-billion-dollar U.S. gas acquisitions: CEO | Reuters
Saudi Aramco eyes multi-billion-dollar U.S. gas acquisitions: CEO | Reuters:
Saudi Aramco, the world’s top oil producer, is looking to acquire natural gas assets in the United States and is willing to spend “billions of dollars” there as it aims to become a global gas player, the company’s CEO said on Tuesday.
Amin Nasser told Reuters in an interview that his company wants to increase its U.S. investments. It already owns Motiva, the biggest U.S. oil refinery.
“We have agreed to bring an additional $10 billion in the Motiva refining complex,” said the chief executive, attending the World Economic Forum in Davos, Switzerland.
Saudi Aramco, the world’s top oil producer, is looking to acquire natural gas assets in the United States and is willing to spend “billions of dollars” there as it aims to become a global gas player, the company’s CEO said on Tuesday.
Amin Nasser told Reuters in an interview that his company wants to increase its U.S. investments. It already owns Motiva, the biggest U.S. oil refinery.
“We have agreed to bring an additional $10 billion in the Motiva refining complex,” said the chief executive, attending the World Economic Forum in Davos, Switzerland.
Oil drops nearly 3 percent on rising supplies, China slowdown | Reuters
Oil drops nearly 3 percent on rising supplies, China slowdown | Reuters:
Oil prices fell 3 percent on Tuesday over concerns the world’s stumbling economy could pinch fuel demand as U.S. crude output climbs to new heights and cuts by Saudi Arabia and its allies are smaller than advertised.
Gloomy new global growth forecasts by the International Monetary Fund and signs of a spreading slowdown in China weighed on crude prices as traders worried about supplies rising in 2019 despite lower prices.
Brent oil futures LCOc1 were down $1.82, or 2.9 percent, at $60.92 a barrel by 1:45 p.m. EST (1845 GMT). U.S. West Texas Intermediate (WTI) crude futures CLc1 fell $1.57, or 2.9 percent, to $52.23.
Oil prices fell 3 percent on Tuesday over concerns the world’s stumbling economy could pinch fuel demand as U.S. crude output climbs to new heights and cuts by Saudi Arabia and its allies are smaller than advertised.
Gloomy new global growth forecasts by the International Monetary Fund and signs of a spreading slowdown in China weighed on crude prices as traders worried about supplies rising in 2019 despite lower prices.
Brent oil futures LCOc1 were down $1.82, or 2.9 percent, at $60.92 a barrel by 1:45 p.m. EST (1845 GMT). U.S. West Texas Intermediate (WTI) crude futures CLc1 fell $1.57, or 2.9 percent, to $52.23.
MIDEAST STOCKS-Oil hurts most of Gulf, blue-chips push down Egypt | Reuters
MIDEAST STOCKS-Oil hurts most of Gulf, blue-chips push down Egypt | Reuters:
Saudi Arabia's stock market traded flat on Tuesday after a sharp fall in oil prices, while Egypt's index was pulled down by its blue-chip shares, mirroring a wider decline in emerging markets.
Saudi's main index was unchanged after inching up earlier in the session, with petrochemical investor Alujain jumping its 10 percent limit to enjoy its best one-day gain in two years.
The firm provided an update on the fire at its affiliate's plant. The fire, which broke out on Oct. 2 at its unit's NATPET plant, halted production. Alujain now expects the plant to start operating all units by the end of September.
Saudi Arabia's stock market traded flat on Tuesday after a sharp fall in oil prices, while Egypt's index was pulled down by its blue-chip shares, mirroring a wider decline in emerging markets.
Saudi's main index was unchanged after inching up earlier in the session, with petrochemical investor Alujain jumping its 10 percent limit to enjoy its best one-day gain in two years.
The firm provided an update on the fire at its affiliate's plant. The fire, which broke out on Oct. 2 at its unit's NATPET plant, halted production. Alujain now expects the plant to start operating all units by the end of September.
Kuwait Finance, Ahli United to Consider Merger Reports This Week - Bloomberg
Kuwait Finance, Ahli United to Consider Merger Reports This Week - Bloomberg:
Kuwait Finance House and Bahrain’s Ahli United Bank BSC’s boards will meet this week to consider valuation reports on a potential merger, a deal that would create the Gulf’s sixth-biggest lender with $92 billion in assets.
The boards will meet on Jan. 24 to consider the studies by HSBC Holdings Plc and Credit Suisse Group AG, the lenders said in separate statements. Kuwait Finance House said its meeting will take place after trading hours and will also consider proposed exchange share ratios.
Kuwait Finance House and Ahli United in July said they’d started renewed discussions for a potential merger. Initial talks between the banks faltered over price, people familiar with the matter said last January.
Kuwait Finance House and Bahrain’s Ahli United Bank BSC’s boards will meet this week to consider valuation reports on a potential merger, a deal that would create the Gulf’s sixth-biggest lender with $92 billion in assets.
The boards will meet on Jan. 24 to consider the studies by HSBC Holdings Plc and Credit Suisse Group AG, the lenders said in separate statements. Kuwait Finance House said its meeting will take place after trading hours and will also consider proposed exchange share ratios.
Kuwait Finance House and Ahli United in July said they’d started renewed discussions for a potential merger. Initial talks between the banks faltered over price, people familiar with the matter said last January.
Bahrain Received Part of Saudi-Led Financial Support, Al-Maraj Says – Bloomberg
Bahrain Received Part of Saudi-Led Financial Support, Al-Maraj Says – Bloomberg:
Central Bank of Bahrain Governor Rasheed Al-Maraj discusses aiming for oil market balance, reforms in Saudi Arabia, and receiving a the first portion of a financial support package. He speaks at the World Economic Forum's annual meeting in Davos, Switzerland, on "Bloomberg Surveillance." (Source: Bloomberg)
Central Bank of Bahrain Governor Rasheed Al-Maraj discusses aiming for oil market balance, reforms in Saudi Arabia, and receiving a the first portion of a financial support package. He speaks at the World Economic Forum's annual meeting in Davos, Switzerland, on "Bloomberg Surveillance." (Source: Bloomberg)
Nasdaq #Dubai welcomes listing of $750mln sukuk by Dubai Islamic Bank | ZAWYA MENA Edition
Nasdaq Dubai welcomes listing of $750mln sukuk by Dubai Islamic Bank | ZAWYA MENA Edition:
Nasdaq Dubai today welcomed the listing of a US$750 million Sukuk by the Dubai Islamic Bank, DIB. It is Nasdaq Dubai’s first Sukuk listing of 2019 and DIB’s seventh altogether on the exchange.
DIB is the leading UAE-based Sukuk issuer by value on Nasdaq Dubai with a total of six billion US dollars including the latest listing. The bank’s principal activities centre on retail banking, business banking, corporate banking, real estate, contracting finance, investment banking and treasury activities.
The total value of all Sukuk listed on Dubai’s exchanges has now reached 61.14 billion, the largest amount of any listing centre in the world.
Nasdaq Dubai today welcomed the listing of a US$750 million Sukuk by the Dubai Islamic Bank, DIB. It is Nasdaq Dubai’s first Sukuk listing of 2019 and DIB’s seventh altogether on the exchange.
DIB is the leading UAE-based Sukuk issuer by value on Nasdaq Dubai with a total of six billion US dollars including the latest listing. The bank’s principal activities centre on retail banking, business banking, corporate banking, real estate, contracting finance, investment banking and treasury activities.
The total value of all Sukuk listed on Dubai’s exchanges has now reached 61.14 billion, the largest amount of any listing centre in the world.
#Qatar National Bank issues 500 mln renminbi in Dim Sum bonds | Reuters
Qatar National Bank issues 500 mln renminbi in Dim Sum bonds | Reuters:
Qatar National Bank, the largest bank by assets in the Middle East and Africa, has issued a 500 million renminbi ($73.45 million) bond with a 4.35 percent yield, a bank document showed on Tuesday.
The so-called Dim Sum bonds - debt securities issued outside of China but denominated in Chinese renminbi, rather than the local currency - have a three-year maturity and will be used for general corporate purposes.
Standard Chartered was the sole arranger and lead manager of the issue.
Qatar National Bank, the largest bank by assets in the Middle East and Africa, has issued a 500 million renminbi ($73.45 million) bond with a 4.35 percent yield, a bank document showed on Tuesday.
The so-called Dim Sum bonds - debt securities issued outside of China but denominated in Chinese renminbi, rather than the local currency - have a three-year maturity and will be used for general corporate purposes.
Standard Chartered was the sole arranger and lead manager of the issue.
MIDEAST DEBT-Gulf gets boost as billions pour in before bond index entry | Reuters
MIDEAST DEBT-Gulf gets boost as billions pour in before bond index entry | Reuters:
Government bonds issued by Saudi Arabia and four other Gulf states are outperforming debt from other regions, on expectations their inclusion in JPMorgan’s bond indexes will pull in up to $40 billion in foreign investment.
JPMorgan told investors in September that Saudi Arabia, Qatar, the United Arab Emirates, Bahrain and Kuwait – all members of the Gulf Cooperation Council – would join its emerging-market government bond indexes this year, in phases starting Jan. 31 and running to Sept. 30.
The indexes are performance benchmarks for emerging-market debt; membership can help a country sell bonds and cut borrowing costs. Fund managers estimated index inclusion will generate $30 billion to $40 billion by September.
Government bonds issued by Saudi Arabia and four other Gulf states are outperforming debt from other regions, on expectations their inclusion in JPMorgan’s bond indexes will pull in up to $40 billion in foreign investment.
JPMorgan told investors in September that Saudi Arabia, Qatar, the United Arab Emirates, Bahrain and Kuwait – all members of the Gulf Cooperation Council – would join its emerging-market government bond indexes this year, in phases starting Jan. 31 and running to Sept. 30.
The indexes are performance benchmarks for emerging-market debt; membership can help a country sell bonds and cut borrowing costs. Fund managers estimated index inclusion will generate $30 billion to $40 billion by September.
#UAE open to co-hosting World Cup if #Qatar rift resolved: sports chief | Reuters
UAE open to co-hosting World Cup if Qatar rift resolved: sports chief | Reuters:
United Arab Emirates sports chief Mohammed Khalfan al-Romaithi believes the Gulf nation would welcome an approach to co-host the 2022 World Cup if its deep political rift with Qatar is resolved.
FIFA President Gianni Infantino has backed a proposal to expand the next World Cup from 32 to 48 teams and has suggested that neighboring countries could host matches.
Saudi Arabia, the UAE, Bahrain and Egypt, however, launched a diplomatic and trade boycott of Qatar in June 2017. The countries accuse Qatar of supporting terrorism, which it denies.
United Arab Emirates sports chief Mohammed Khalfan al-Romaithi believes the Gulf nation would welcome an approach to co-host the 2022 World Cup if its deep political rift with Qatar is resolved.
FIFA President Gianni Infantino has backed a proposal to expand the next World Cup from 32 to 48 teams and has suggested that neighboring countries could host matches.
Saudi Arabia, the UAE, Bahrain and Egypt, however, launched a diplomatic and trade boycott of Qatar in June 2017. The countries accuse Qatar of supporting terrorism, which it denies.
Oil drops nearly 2 percent as China slowdown bites | Reuters
Oil drops nearly 2 percent as China slowdown bites | Reuters:
Oil prices fell nearly 2 percent on Tuesday on signs that an economic slowdown in China is spreading, stoking concerns about global growth and fuel demand.
The gloomy news from the world’s second-largest economy and top oil importer pulled down financial markets across Asia.
International Brent oil futures were down $1.23, or 1.96 percent, at $61.51 a barrel by 1205 GMT. U.S. West Texas Intermediate (WTI) crude futures were down $1 at $52.80.
Oil prices fell nearly 2 percent on Tuesday on signs that an economic slowdown in China is spreading, stoking concerns about global growth and fuel demand.
The gloomy news from the world’s second-largest economy and top oil importer pulled down financial markets across Asia.
International Brent oil futures were down $1.23, or 1.96 percent, at $61.51 a barrel by 1205 GMT. U.S. West Texas Intermediate (WTI) crude futures were down $1 at $52.80.
Arab States Should Beware of Indices Bearing Easy Money - Bloomberg
Arab States Should Beware of Indices Bearing Easy Money - Bloomberg:
The taps of foreign capital are about to open on some states in the Middle East, thanks to their inclusion in key emerging-market indexes. Over the next year, Saudi Arabia and Kuwait are expected to join Egypt, the United Arab Emirates and Qatar in the MSCI EM index. At the same time, Saudi Arabia, Qatar, the UAE, Bahrain and Kuwait are expected to join Oman in the J.P. Morgan Emerging Market government bond index. Kuwait was classified as “secondary emerging” status in 2018 in FTSE’s Russell index, and Saudi Arabia is expected to be included in March.
Inclusion in these indexes will send tens of billions of dollars pouring into their debt and equity markets, requiring little effort by their governments. But this easy money may hinder economic reform, making growth in 2019 less about liberalization, good governance and markets ruled by law, and more about capital simply going where indexes tell it to go—where the state is large, with large natural-resource revenues and risk-averse foreign policies, so long as equity and debt markets are integrated into global financial flows.
Access to this capital will encourage governments to continue to finance their deficits with international debt issuance, while doing little to spur more organic growth in local private companies. While governments have done some groundwork in order to achieve index inclusion, by regulating their capital markets and exchanges, the harder structural reforms of opening economies and creating a level-playing field for business are far from accomplished.
The taps of foreign capital are about to open on some states in the Middle East, thanks to their inclusion in key emerging-market indexes. Over the next year, Saudi Arabia and Kuwait are expected to join Egypt, the United Arab Emirates and Qatar in the MSCI EM index. At the same time, Saudi Arabia, Qatar, the UAE, Bahrain and Kuwait are expected to join Oman in the J.P. Morgan Emerging Market government bond index. Kuwait was classified as “secondary emerging” status in 2018 in FTSE’s Russell index, and Saudi Arabia is expected to be included in March.
Inclusion in these indexes will send tens of billions of dollars pouring into their debt and equity markets, requiring little effort by their governments. But this easy money may hinder economic reform, making growth in 2019 less about liberalization, good governance and markets ruled by law, and more about capital simply going where indexes tell it to go—where the state is large, with large natural-resource revenues and risk-averse foreign policies, so long as equity and debt markets are integrated into global financial flows.
Access to this capital will encourage governments to continue to finance their deficits with international debt issuance, while doing little to spur more organic growth in local private companies. While governments have done some groundwork in order to achieve index inclusion, by regulating their capital markets and exchanges, the harder structural reforms of opening economies and creating a level-playing field for business are far from accomplished.
Former Ritz Detainee Alhokair Is Said to Restart #Saudi Mall IPO - Bloomberg
Former Ritz Detainee Alhokair Is Said to Restart Saudi Mall IPO - Bloomberg:
Fawaz Alhokair Group, whose billionaire co-founder was detained in Saudi Arabia’s declared corruption crackdown, is restarting work on the initial public offering of its Arabian Centres malls unit, people familiar with the matter said.
The group is working with Moelis & Co., Morgan Stanley, Samba Financial Group and NCB Capital on plans to sell 30 percent of the company and list the shares on the Saudi stock exchange, the people said, asking not to be identified because the information is private. Arabian Centres has applied to the markets regulator for the sale, which could happen in the second quarter of this year, the people said.
The conglomerate has been planning the IPO since 2014 when it hoped to raise $2 billion. It delayed plans in 2015 after the Saudi stock exchange slumped and again in 2017 when Fawaz Alhokair, who’s a major shareholder in the group and in fashion retailer Fawaz Abdulaziz Alhokair & Co., was among princes, ministers and billionaires held at the Ritz Carlton in Riyadh on accusations of corruption.
Fawaz Alhokair Group, whose billionaire co-founder was detained in Saudi Arabia’s declared corruption crackdown, is restarting work on the initial public offering of its Arabian Centres malls unit, people familiar with the matter said.
The group is working with Moelis & Co., Morgan Stanley, Samba Financial Group and NCB Capital on plans to sell 30 percent of the company and list the shares on the Saudi stock exchange, the people said, asking not to be identified because the information is private. Arabian Centres has applied to the markets regulator for the sale, which could happen in the second quarter of this year, the people said.
The conglomerate has been planning the IPO since 2014 when it hoped to raise $2 billion. It delayed plans in 2015 after the Saudi stock exchange slumped and again in 2017 when Fawaz Alhokair, who’s a major shareholder in the group and in fashion retailer Fawaz Abdulaziz Alhokair & Co., was among princes, ministers and billionaires held at the Ritz Carlton in Riyadh on accusations of corruption.
Mideast Stocks: Earnings season lifts Saudis; major Gulf markets drop | ZAWYA MENA Edition
Mideast Stocks: Earnings season lifts Saudis; major Gulf markets drop | ZAWYA MENA Edition:
Saudi Arabian stocks inched up in early trading on Tuesday, lifted by a slew of corporate announcements, while most major Middle Eastern markets slipped.
Saudi Arabia's main index added 0.2 percent, with Petrochemical investor Alujain jumping 4.9 percent after an update on the fire at its affiliate's plant.
The fire broke out on Oct. 2 at its unit's NATPET plant and halted production. The company said it now expects the NATPET plant to start operating all units by the end of September.
Saudi Arabian stocks inched up in early trading on Tuesday, lifted by a slew of corporate announcements, while most major Middle Eastern markets slipped.
Saudi Arabia's main index added 0.2 percent, with Petrochemical investor Alujain jumping 4.9 percent after an update on the fire at its affiliate's plant.
The fire broke out on Oct. 2 at its unit's NATPET plant and halted production. The company said it now expects the NATPET plant to start operating all units by the end of September.
#Saudi lender NCB's quarterly profit rises 3.5 pct | Reuters
Saudi lender NCB's quarterly profit rises 3.5 pct | Reuters:
Saudi Arabia’s National Commercial Bank (NCB), the country’s largest lender, saw a 3.5 percent rise in fourth-quarter net profit, according to Reuters calculations, while its annual profit met analysts’ forecasts.
The bank, which is in merger talks with Riyad Bank , made a net profit of 2.65 billion riyals ($706.6 million) in the three months to Dec. 31, up from 2.56 billion riyals in the same period of 2017, Reuters calculated from financial statements in the absence of a quarterly breakdown.
It is the second Saudi bank to report earnings results after Samba Financial Group, which made a net profit of 1.41 billion riyals in the period, up from 1.21 billion riyals in the same period of last year, Reuters calculated from financial statements in the absence of a quarterly breakdown.
Saudi Arabia’s National Commercial Bank (NCB), the country’s largest lender, saw a 3.5 percent rise in fourth-quarter net profit, according to Reuters calculations, while its annual profit met analysts’ forecasts.
The bank, which is in merger talks with Riyad Bank , made a net profit of 2.65 billion riyals ($706.6 million) in the three months to Dec. 31, up from 2.56 billion riyals in the same period of 2017, Reuters calculated from financial statements in the absence of a quarterly breakdown.
It is the second Saudi bank to report earnings results after Samba Financial Group, which made a net profit of 1.41 billion riyals in the period, up from 1.21 billion riyals in the same period of last year, Reuters calculated from financial statements in the absence of a quarterly breakdown.
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