Finablr struggling to find enough buyers for London IPO: sources:
Finablr, Abu Dhabi billionaire Bavaguthu Raghuram Shetty’s financial-services firm, is struggling to find investors for its London initial public offering as the sale draws to a close, people familiar with the matter said.
The holding company for businesses, including Travelex Holdings Ltd. and the UAE Exchange Centre LLC, could opt to restructure or delay the IPO, the people said, asking not to be identified as the details are private. The sale is scheduled to end on May 13 and there has not yet been a message to the markets saying there is demand for all the shares, they said.
No final decisions have been made and the company could still attract enough investors and proceed with the sale as scheduled, they said. A representative for Finablr declined to comment.
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Sunday 12 May 2019
#SaudiArabia's non-oil sector set for boost as economic reforms take off
Saudi Arabia's non-oil sector set for boost as economic reforms take off:
Saudi Arabia’s non-oil sector is set for a further boost as the Kingdom’s economic reforms pay dividends and work begins on a raft of mega-projects, a report published Sunday found.
Under the ambitious Vision 2030 plan, the country is looking to reduce its reliance on the energy industry and boost private sector business.
Such reforms are paying off, with growth in the Kingdom’s non-oil sector set for an additional “pick up” going forward, according to a report by Bank of America Merrill Lynch.
Saudi Arabia’s non-oil sector is set for a further boost as the Kingdom’s economic reforms pay dividends and work begins on a raft of mega-projects, a report published Sunday found.
Under the ambitious Vision 2030 plan, the country is looking to reduce its reliance on the energy industry and boost private sector business.
Such reforms are paying off, with growth in the Kingdom’s non-oil sector set for an additional “pick up” going forward, according to a report by Bank of America Merrill Lynch.
Feel-good factor suggests #Saudi economy has turned corner | Arab News
Feel-good factor suggests Saudi economy has turned corner | Arab News:
Just how real is Saudi Arabia’s economic recovery? At the Financial Sector Conference in Riyadh a few weeks back, there was lots of optimism in the air, some positive news on the government budget, and some anecdotal evidence that a corner has been turned.
The budget surplus in the first quarter this year was the first since 2014, and though it turned out that factored in a big dividend payment from Saudi Aramco, there was still a sense of achievement about it. Following on from Aramco’s record-breaking bond issue, it added to the growing self-confidence about the Kingdom’s financial position.
Retailers at the conference in Riyadh spoke of an uptick in footfall at the country’s malls, while credit card companies reported a measurable increase in consumer spending, not least in the e-commerce sector.
Just how real is Saudi Arabia’s economic recovery? At the Financial Sector Conference in Riyadh a few weeks back, there was lots of optimism in the air, some positive news on the government budget, and some anecdotal evidence that a corner has been turned.
The budget surplus in the first quarter this year was the first since 2014, and though it turned out that factored in a big dividend payment from Saudi Aramco, there was still a sense of achievement about it. Following on from Aramco’s record-breaking bond issue, it added to the growing self-confidence about the Kingdom’s financial position.
Retailers at the conference in Riyadh spoke of an uptick in footfall at the country’s malls, while credit card companies reported a measurable increase in consumer spending, not least in the e-commerce sector.
S&P affirms #Qatar’s ratings with stable outlook - The Peninsula Qatar
S&P affirms Qatar’s ratings with stable outlook - The Peninsula Qatar:
Noted rating agency S&P Global has affirmed Qatar’s sovereign ratings with a stable outlook, and said that government’s assets will likely remain a core rating strength of the economy.
The rating agency, in its report released yesterday, projected that Qatar’s GDP is expected to grow by 2.8 percent and the current account surplus will be averaging 4.5 percent of GDP in 2019-2022, assuming lower hydrocarbon prices from 2021.
Among the other key rating factors the agency noted that increasing nonresident deposits demonstrate strengthening investor confidence in the financial sector, but this largely short-term external funding worsens Qatar’s external liquidity position.
Noted rating agency S&P Global has affirmed Qatar’s sovereign ratings with a stable outlook, and said that government’s assets will likely remain a core rating strength of the economy.
The rating agency, in its report released yesterday, projected that Qatar’s GDP is expected to grow by 2.8 percent and the current account surplus will be averaging 4.5 percent of GDP in 2019-2022, assuming lower hydrocarbon prices from 2021.
Among the other key rating factors the agency noted that increasing nonresident deposits demonstrate strengthening investor confidence in the financial sector, but this largely short-term external funding worsens Qatar’s external liquidity position.
Doha Bank focused on redefining asset allocation model: Seetharaman
Doha Bank focused on redefining asset allocation model: Seetharaman:
Doha Bank is now focused on redefining its asset allocation model, derisking the bank, and improving asset quality ratios including provision coverage, CEO Dr R Seetharaman has said.
“We have done a prudential approach, wherein 95% of my books have already been provided. And nearly 70% of the books for Kuwait has been provided in terms of loan-loss provisions. Nearly 95% of Doha Bank’s outstanding books is in Qatar. That’s part of our derisking exercise and is manageable,” Seetharaman said in an interview with Gulf Times in Doha.
“If Qatar is doing well, we will do well. Our cross-border risks are being minimised. In India, we are operating with the capital that has been designated. And we have had no bad experience in India,” the Doha Bank CEO pointed out.
Doha Bank is now focused on redefining its asset allocation model, derisking the bank, and improving asset quality ratios including provision coverage, CEO Dr R Seetharaman has said.
“We have done a prudential approach, wherein 95% of my books have already been provided. And nearly 70% of the books for Kuwait has been provided in terms of loan-loss provisions. Nearly 95% of Doha Bank’s outstanding books is in Qatar. That’s part of our derisking exercise and is manageable,” Seetharaman said in an interview with Gulf Times in Doha.
“If Qatar is doing well, we will do well. Our cross-border risks are being minimised. In India, we are operating with the capital that has been designated. And we have had no bad experience in India,” the Doha Bank CEO pointed out.
ADNOC Distribution announces five-year expansion plan: Acting CEO | ZAWYA MENA Edition
ADNOC Distribution announces five-year expansion plan: Acting CEO | ZAWYA MENA Edition:
The Abu Dhabi National Oil Company, ADNOC, Distribution, is planning to expand its facilities and investment services around the UAE, especially in Dubai, which currently serves only four stations, announced Saeed Mubarak Al Rashdi, Acting CEO of ADNOC Distribution.
The company plans to increase the number of stations in Dubai over the next five years, by constructing a total of 75 new stations, equivalent to 15 new stations per year, he added.
He also revealed that the company’s board of directors decided to construct three more stations in Saudi Arabia, following the success of two stations launched earlier in 2018, which attained profits of over 30 percent. In his statement on the sidelines of the First Capital Markets Days in London and New York, Al Rashdi explained that the company’s plan will expand its activities in Saudi Arabia, to include fuel services, cars washes, and restaurants. He also stressed that the company achieved such growth due to its stature as the UAE’s leading fuel supplier as well as the country’s top retail and business services provider, obtaining a profit margin of 10 cents per litre of fuel since August 2015.
The Abu Dhabi National Oil Company, ADNOC, Distribution, is planning to expand its facilities and investment services around the UAE, especially in Dubai, which currently serves only four stations, announced Saeed Mubarak Al Rashdi, Acting CEO of ADNOC Distribution.
The company plans to increase the number of stations in Dubai over the next five years, by constructing a total of 75 new stations, equivalent to 15 new stations per year, he added.
He also revealed that the company’s board of directors decided to construct three more stations in Saudi Arabia, following the success of two stations launched earlier in 2018, which attained profits of over 30 percent. In his statement on the sidelines of the First Capital Markets Days in London and New York, Al Rashdi explained that the company’s plan will expand its activities in Saudi Arabia, to include fuel services, cars washes, and restaurants. He also stressed that the company achieved such growth due to its stature as the UAE’s leading fuel supplier as well as the country’s top retail and business services provider, obtaining a profit margin of 10 cents per litre of fuel since August 2015.
#UAE's Utico submits binding offer to invest in Singapore's Hyflux: CEO - Reuters
UAE's Utico submits binding offer to invest in Singapore's Hyflux: CEO - Reuters:
Utico FZC has submitted a binding offer to invest S$400 million ($294 million) in Singapore’s indebted water treatment firm Hyflux Ltd, the chief executive of the United Arab Emirates-based utility said on Sunday.
Utico had submitted a non-binding letter of intent this month to invest in the Singaporean firm.
Utico would provide working capital and any urgent interim funding to Hyflux as part of the offer, Richard Menezes said.
Utico FZC has submitted a binding offer to invest S$400 million ($294 million) in Singapore’s indebted water treatment firm Hyflux Ltd, the chief executive of the United Arab Emirates-based utility said on Sunday.
Utico had submitted a non-binding letter of intent this month to invest in the Singaporean firm.
Utico would provide working capital and any urgent interim funding to Hyflux as part of the offer, Richard Menezes said.
As #Saudi society liberalises, it reckons with hardline past - Reuters
As Saudi society liberalises, it reckons with hardline past - Reuters:
The Islamist takeover of Mecca’s Grand Mosque in 1979 has been turned into a television drama, spotlighting a controversial narrative Saudi Arabia is using to support social changes once deemed un-Islamic.
A trailer for “Al-Asouf”, meaning “winds of change” in Arabic, features explosions and firefights inside the holiest site in Islam, which Juhayman al-Otaybi and his radical followers occupied for two weeks.
The insurrection sent the kingdom in a more conservative direction as its rulers sought to appease hardliners by ceding control over schools, courts and social issues. Morality police enforced modesty and prayer times while banning music and gender-mixing.
The Islamist takeover of Mecca’s Grand Mosque in 1979 has been turned into a television drama, spotlighting a controversial narrative Saudi Arabia is using to support social changes once deemed un-Islamic.
A trailer for “Al-Asouf”, meaning “winds of change” in Arabic, features explosions and firefights inside the holiest site in Islam, which Juhayman al-Otaybi and his radical followers occupied for two weeks.
The insurrection sent the kingdom in a more conservative direction as its rulers sought to appease hardliners by ceding control over schools, courts and social issues. Morality police enforced modesty and prayer times while banning music and gender-mixing.
Most Mideast Stocks Fall With Trade Tension Spreading: Inside EM - Bloomberg
Most Mideast Stocks Fall With Trade Tension Spreading: Inside EM - Bloomberg:
Most stock markets in the Middle East retreated on Sunday as investors saw more volatility spilling over from trade talks between the U.S. and China.
President Donald Trump said in a tweet on Sunday it would be wise for China to “act now” to finish a trade deal with the U.S., warning that “far worse” terms would be available to them after what he predicted would be his certain re-election in 2020.
The main equity indexes in Saudi Arabia and Kuwait fell the most in the Gulf, both down more than 2%. The main gauge in Riyadh declined for the seventh consecutive session, the longest run since March 2018.
Most stock markets in the Middle East retreated on Sunday as investors saw more volatility spilling over from trade talks between the U.S. and China.
President Donald Trump said in a tweet on Sunday it would be wise for China to “act now” to finish a trade deal with the U.S., warning that “far worse” terms would be available to them after what he predicted would be his certain re-election in 2020.
The main equity indexes in Saudi Arabia and Kuwait fell the most in the Gulf, both down more than 2%. The main gauge in Riyadh declined for the seventh consecutive session, the longest run since March 2018.
Emirates Chief Commercial Officer resigns | ZAWYA MENA Edition
Emirates Chief Commercial Officer resigns | ZAWYA MENA Edition:
Emirates Chief Commercial Officer Thierry Antinori has resigned, a spokeswoman said on Sunday, days after the Gulf airline announced its weakest profit in a decade.
Antinori, also an executive vice president, was responsible for commercial operations, products, the frequent flyer program and cargo division, according to Emirates' website.
The spokeswoman declined to comment when asked why Antinori resigned and when it was effective.
Emirates Chief Commercial Officer Thierry Antinori has resigned, a spokeswoman said on Sunday, days after the Gulf airline announced its weakest profit in a decade.
Antinori, also an executive vice president, was responsible for commercial operations, products, the frequent flyer program and cargo division, according to Emirates' website.
The spokeswoman declined to comment when asked why Antinori resigned and when it was effective.
Shares in #Saudi's Bupa Arabia rally as first quarter earnings rise | ZAWYA MENA Edition
Shares in Saudi's Bupa Arabia rally as first quarter earnings rise | ZAWYA MENA Edition:
Saudi’s Bupa Arabia for Cooperative Insurance Company (Bupa), announced a rise in first quarter earnings for the year 2019, triggering a surge in the company’s shares on Sunday.
Bupa’s Q1 2019 net profit attributable to the company’s shareholders amounted to 23.14 million Saudi riyals ($6.17 million), compared to 20.79 million riyals in Q1 2018, an 11.30 percent increase.
Yazeed Alsaqaaby, research analyst at Al Rajhi Capital, told Zawya by email that the “main reasons behind the bottom-line increase” was an increase in investment and other income and a decrease in provisions for doubtful receivables.
Saudi’s Bupa Arabia for Cooperative Insurance Company (Bupa), announced a rise in first quarter earnings for the year 2019, triggering a surge in the company’s shares on Sunday.
Bupa’s Q1 2019 net profit attributable to the company’s shareholders amounted to 23.14 million Saudi riyals ($6.17 million), compared to 20.79 million riyals in Q1 2018, an 11.30 percent increase.
Yazeed Alsaqaaby, research analyst at Al Rajhi Capital, told Zawya by email that the “main reasons behind the bottom-line increase” was an increase in investment and other income and a decrease in provisions for doubtful receivables.
#Kuwait's Agility reports "disappointing" revenue growth, analyst says | ZAWYA MENA Edition
Kuwait's Agility reports "disappointing" revenue growth, analyst says | ZAWYA MENA Edition:
Kuwait’s Agility, one of the largest logistics companies in the Gulf, reported a rise in first quarter (Q1) earnings and revenue for the year 2019, but earnings growth fell below analysts’ expectations.
Agility’s Q1 2019 net profit attributable to shareholders amounted to 20.28 million Kuwaiti dinars ($66.66 million), compared to 18.9 million dinars in Q1 2018, a 7.3 percent increase.
Earnings were in line with SICO Bank’s estimate of 20.7 million dinars, adjusting for the implementation of International Financial Reporting Standards 16 (IFRS 16), a new global accounting standard covering the treatment of leases. Ayub Ansari, senior analyst at investment bank SICO, said that its introduction had led to the amount of earnings the company declared reducing by 0.55 million Kuwaiti dinars.
Kuwait’s Agility, one of the largest logistics companies in the Gulf, reported a rise in first quarter (Q1) earnings and revenue for the year 2019, but earnings growth fell below analysts’ expectations.
Agility’s Q1 2019 net profit attributable to shareholders amounted to 20.28 million Kuwaiti dinars ($66.66 million), compared to 18.9 million dinars in Q1 2018, a 7.3 percent increase.
Earnings were in line with SICO Bank’s estimate of 20.7 million dinars, adjusting for the implementation of International Financial Reporting Standards 16 (IFRS 16), a new global accounting standard covering the treatment of leases. Ayub Ansari, senior analyst at investment bank SICO, said that its introduction had led to the amount of earnings the company declared reducing by 0.55 million Kuwaiti dinars.
MIDEAST STOCKS-Military tensions, weak oil pressure most major Gulf markets - Reuters
MIDEAST STOCKS-Military tensions, weak oil pressure most major Gulf markets - Reuters:
Saudi Arabia's stock market fell on
Sunday, in line with most Gulf markets, after the U.S. Pentagon
approved the deployment of a warship and Patriot missiles to the
Middle East.
Sunday's decline was the sharpest one day drop since Nov.
18, 2018.
The Tadawul All-Share Index fell two percent to
close at 8,675 points, its lowest level since the end of March.
The benchmark is down almost 7 percent this month.
Saudi Arabia's stock market fell on
Sunday, in line with most Gulf markets, after the U.S. Pentagon
approved the deployment of a warship and Patriot missiles to the
Middle East.
Sunday's decline was the sharpest one day drop since Nov.
18, 2018.
The Tadawul All-Share Index fell two percent to
close at 8,675 points, its lowest level since the end of March.
The benchmark is down almost 7 percent this month.
Most Mideast Stocks Fall With Trade Tension Spreading: Inside EM - Bloomberg
Most Mideast Stocks Fall With Trade Tension Spreading: Inside EM - Bloomberg:
Most stock markets in the Middle East retreated on Sunday as investors see more volatility spilling over from trade talks between the U.S. and China.
President Donald Trump said in a tweet on Sunday it would be wise for China to “act now” to finish a trade deal with the U.S., warning that “far worse” terms would be on offer for them after what he predicted would be his certain re-election in 2020.
The main equity indexes in Saudi Arabia and Kuwait fell the most in the Gulf, both down more than 2%. The main gauge in Riyadh was set for the seventh consecutive decline, the longest run since March 2018.
Most stock markets in the Middle East retreated on Sunday as investors see more volatility spilling over from trade talks between the U.S. and China.
President Donald Trump said in a tweet on Sunday it would be wise for China to “act now” to finish a trade deal with the U.S., warning that “far worse” terms would be on offer for them after what he predicted would be his certain re-election in 2020.
The main equity indexes in Saudi Arabia and Kuwait fell the most in the Gulf, both down more than 2%. The main gauge in Riyadh was set for the seventh consecutive decline, the longest run since March 2018.
The Winner From Trump's Iran Sanctions? #SaudiArabia - Bloomberg
The Winner From Trump's Iran Sanctions? Saudi Arabia - Bloomberg:
Saudi Arabia is set to do very nicely from President Donald Trump’s tougher oil sanctions on Iran.
The Arab kingdom is poised to raise its own output to meet all requests for oil purchases it has received for June, notably from countries that have had to stop buying Iranian crude. Other Persian Gulf Arab countries with spare production capacity — Iraq, Kuwait and the U.A.E. — will almost certainly follow suit.
Saudi Arabia has plenty of room to boost its output without breaching the production targets it agreed for the first half of 2019 as part of the OPEC+ deal to manage oil supplies. That arrangement gave the kingdom a target of 10.3 million barrels a day. Output in April was more than 500,000 barrels a day below that level.
Saudi Arabia is set to do very nicely from President Donald Trump’s tougher oil sanctions on Iran.
The Arab kingdom is poised to raise its own output to meet all requests for oil purchases it has received for June, notably from countries that have had to stop buying Iranian crude. Other Persian Gulf Arab countries with spare production capacity — Iraq, Kuwait and the U.A.E. — will almost certainly follow suit.
Saudi Arabia has plenty of room to boost its output without breaching the production targets it agreed for the first half of 2019 as part of the OPEC+ deal to manage oil supplies. That arrangement gave the kingdom a target of 10.3 million barrels a day. Output in April was more than 500,000 barrels a day below that level.
#Saudi's Shaker Group stock sell-off to continue until Q3 2019 - CEO | ZAWYA MENA Edition
Saudi's Shaker Group stock sell-off to continue until Q3 2019 - CEO | ZAWYA MENA Edition:
Saudi Arabia’s Shaker Group, an importer and manufacturer of air conditioners and home appliances, will continue to liquidate stock in the upcoming period in order to improve inventory efficiency and working capital management, its chief executive said.
Listed on the Saudi stock exchange as Al Hassan Ghazi Ibrahim Shaker Co., the group reported widening losses in the first quarter of 2019 last week, with a net loss after zakat and tax of 27.4 million riyals, increasing by 33.2 percent from a loss of 20.6 million riyals in Q1 2018.
But the group said that it will continue to introduce operational efficiencies through its ‘Breakthrough Program’ turnaround strategy.
Saudi Arabia’s Shaker Group, an importer and manufacturer of air conditioners and home appliances, will continue to liquidate stock in the upcoming period in order to improve inventory efficiency and working capital management, its chief executive said.
Listed on the Saudi stock exchange as Al Hassan Ghazi Ibrahim Shaker Co., the group reported widening losses in the first quarter of 2019 last week, with a net loss after zakat and tax of 27.4 million riyals, increasing by 33.2 percent from a loss of 20.6 million riyals in Q1 2018.
But the group said that it will continue to introduce operational efficiencies through its ‘Breakthrough Program’ turnaround strategy.
Investment losses in AerCap push #UAE's Waha into the red - Reuters
Investment losses in AerCap push UAE's Waha into the red - Reuters:
Abu Dhabi-based investment firm Waha Capital on Sunday reported a first-quarter loss, hit by investment losses in AerCap.
The firm made a net loss attributable to shareholders of 57.8 million dirhams ($15.8 million) in the three months ending March 31, compared to a net profit of 107.4 million dirhams in the prior-year period, it said in a statement.
Reuters reported last week that Abu Dhabi investment firm Gulf Capital and Waha Capital have held exploratory discussions regarding a merger, with talks having taken place over the last few months, sources told Reuters last week
Abu Dhabi-based investment firm Waha Capital on Sunday reported a first-quarter loss, hit by investment losses in AerCap.
The firm made a net loss attributable to shareholders of 57.8 million dirhams ($15.8 million) in the three months ending March 31, compared to a net profit of 107.4 million dirhams in the prior-year period, it said in a statement.
Reuters reported last week that Abu Dhabi investment firm Gulf Capital and Waha Capital have held exploratory discussions regarding a merger, with talks having taken place over the last few months, sources told Reuters last week
MIDEAST STOCKS-Rising U.S. tensions with Iran weigh on Gulf stock markets - Reuters
MIDEAST STOCKS-Rising U.S. tensions with Iran weigh on Gulf stock markets - Reuters:
Saudi Arabia’s stock market fell on Sunday, in line with most Gulf markets, after the U.S. Pentagon approved the deployment of a warship and Patriot missiles to the Middle East.
The Tadawul All-Share Index was down 1.8 percent to 8,699 points, its lowest level since the end of March. The benchmark is down almost 7 percent this month.
“The increased military tension between the U.S. and Iran are pressuring markets down,” said Mohammed Ali Yasin, chief strategy officer at Al Dhabi Capital in Abu Dhabi.
Saudi Arabia’s stock market fell on Sunday, in line with most Gulf markets, after the U.S. Pentagon approved the deployment of a warship and Patriot missiles to the Middle East.
The Tadawul All-Share Index was down 1.8 percent to 8,699 points, its lowest level since the end of March. The benchmark is down almost 7 percent this month.
“The increased military tension between the U.S. and Iran are pressuring markets down,” said Mohammed Ali Yasin, chief strategy officer at Al Dhabi Capital in Abu Dhabi.