Dubai Property May Not See Meaningful Recovery in Near Term: S&P - Bloomberg:
Dubai’s real estate market may not see a meaningful recovery in the near term because of "supply-demand imbalance," according to S&P Global Ratings.
S&P said it believes residential prices have fallen by about 10% since its last report on the emirate’s property sector in February. "The outlook remains weak in the fourth quarter as new supply hits the market."
"We believe Expo 2020, just on the back of potential visitor flows to the emirate, will ease temporary pressures on hotels and retailers," credit analyst Sapna Jagtiani said in a note. "However, it is unlikely to materially improve long-term conditions in the real estate sector."
Sunday, 24 November 2019
Creditors of #UAE's Al Jaber consider enforcing debt claims: sources - Reuters
Creditors of UAE's Al Jaber consider enforcing debt claims: sources - Reuters:
Creditors of Abu Dhabi-based Al Jaber Group are considering enforcing claims against the owners of the group after delays in executing a restructuring agreement, the latest in a long-running debt dispute, two sources familiar with the matter said.
Al Jaber, best known as a contractor but with interests across a range of sectors, has struggled since a construction downturn in the United Arab Emirates after the global financial crisis.
The group agreed late last year restructuring terms for 5.9 billion dirhams ($1.6 billion) of debt, in a deal that would have seen the company reduce its obligations through asset sales and a debt buyback mechanism with a 52% discount.
Creditors of Abu Dhabi-based Al Jaber Group are considering enforcing claims against the owners of the group after delays in executing a restructuring agreement, the latest in a long-running debt dispute, two sources familiar with the matter said.
Al Jaber, best known as a contractor but with interests across a range of sectors, has struggled since a construction downturn in the United Arab Emirates after the global financial crisis.
The group agreed late last year restructuring terms for 5.9 billion dirhams ($1.6 billion) of debt, in a deal that would have seen the company reduce its obligations through asset sales and a debt buyback mechanism with a 52% discount.
#Saudi Aramco markets IPO in Dubai after approaching Kuwait fund - Reuters
Saudi Aramco markets IPO in Dubai after approaching Kuwait fund - Reuters:
Saudi Aramco met investors in Dubai on Sunday to market its initial public offering (IPO), after trying to secure demand from Kuwait’s sovereign wealth fund for the deal, worth up to $25.6 billion, which relies heavily on local and regional buyers.
Top executives of the Saudi state-owned oil giant, including Aramco’s Chief Executive Amin Nasser, met officials of Kuwait’s sovereign wealth fund weeks ago, a source familiar with the matter said, confirming an earlier report on Sunday in the Kuwaiti newspaper Alrai.
Meanwhile, Aramco’s management including its finance head and advisers met with institutional investors at an IPO roadshow in Dubai on Sunday, the second outside Riyadh after the company decided to cancel all roadshows in developed markets.
Saudi Aramco met investors in Dubai on Sunday to market its initial public offering (IPO), after trying to secure demand from Kuwait’s sovereign wealth fund for the deal, worth up to $25.6 billion, which relies heavily on local and regional buyers.
Top executives of the Saudi state-owned oil giant, including Aramco’s Chief Executive Amin Nasser, met officials of Kuwait’s sovereign wealth fund weeks ago, a source familiar with the matter said, confirming an earlier report on Sunday in the Kuwaiti newspaper Alrai.
Meanwhile, Aramco’s management including its finance head and advisers met with institutional investors at an IPO roadshow in Dubai on Sunday, the second outside Riyadh after the company decided to cancel all roadshows in developed markets.
#Saudi Aramco won't breach maximum weight for firms in Saudi index: Argaam - Reuters
Saudi Aramco won't breach maximum weight for firms in Saudi index: Argaam - Reuters:
Saudi Aramco’s weighting in Saudi Arabia’s main stock index once the oil giant has listed shares is not expected to breach the maximum limit set by the Gulf kingdom’s Tadawul exchange, a senior executive said on Sunday.
“There is a ceiling for the maximum weight any listed company on the Saudi index can reach, it will be around 15%. It is unlikely that Aramco’s weight will reach the maximum level,” Argaam financial website quoted Tadawul chief executive, Khalid al-Hussan, as saying.
Saudi Aramco plans to sell 1.5% of the company to raise $25.6 billion in a deal that is the centerpiece of Crown Prince Mohammed bin Salman’s plan to raise funds to help diversify the kingdom’s oil-dependent economy.
Saudi Aramco’s weighting in Saudi Arabia’s main stock index once the oil giant has listed shares is not expected to breach the maximum limit set by the Gulf kingdom’s Tadawul exchange, a senior executive said on Sunday.
“There is a ceiling for the maximum weight any listed company on the Saudi index can reach, it will be around 15%. It is unlikely that Aramco’s weight will reach the maximum level,” Argaam financial website quoted Tadawul chief executive, Khalid al-Hussan, as saying.
Saudi Aramco plans to sell 1.5% of the company to raise $25.6 billion in a deal that is the centerpiece of Crown Prince Mohammed bin Salman’s plan to raise funds to help diversify the kingdom’s oil-dependent economy.
MIDEAST STOCKS- #Saudi snaps five days of gains with most Gulf markets subdued - Reuters
MIDEAST STOCKS-Saudi snaps five days of gains with most Gulf markets subdued - Reuters:
The Saudi Arabian stock market snapped a
five-day rising streak on Sunday with lenders taking a breather
after riding high on a lending boom related to Saudi Aramco's
public listing.
Other markets in the region were mostly lower as concerns
surrounding global trade persisted.
To help local Saudis to buy Aramco shares, banks are
marketing loans, with some offering four times the usual lending
limit, two financial sources told Reuters earlier this month.
The jump in lending has prompted Saudi Arabia's central bank
to monitor banking sector liquidity on a daily basis but there
have not been any issues so far, the central bank governor said.
The Saudi Arabian stock market snapped a
five-day rising streak on Sunday with lenders taking a breather
after riding high on a lending boom related to Saudi Aramco's
public listing.
Other markets in the region were mostly lower as concerns
surrounding global trade persisted.
To help local Saudis to buy Aramco shares, banks are
marketing loans, with some offering four times the usual lending
limit, two financial sources told Reuters earlier this month.
The jump in lending has prompted Saudi Arabia's central bank
to monitor banking sector liquidity on a daily basis but there
have not been any issues so far, the central bank governor said.
Algeria Squeezed In Europe’s Gas Market by a Flood of LNG - Bloomberg
Algeria Squeezed In Europe’s Gas Market by a Flood of LNG - Bloomberg:
Algeria’s natural gas pipeline exports to Europe are getting squeezed by cheaper Russian supplies and a global abundance of the liquefied form of the fuel.
European clients of Sonatrach have “greatly reduced their demand” for conventional gas from Algeria, resulting in a 25% drop the level of sales expected this year, said Ahmed El-Hachemi Mazighi, vice-president of marketing at the state-owned energy company.
Algeria is the third-biggest gas supplier to Europe. Its lower pipeline exports are evidence of how new LNG supplies from the U.S. to Australia and Russia are overwhelming the market and driving prices lower. That’s reduced the competitiveness of the north African country’s pipeline gas contracts, which are mostly tied to oil prices, according to the energy consultant Wood Mackenzie.
Algeria’s natural gas pipeline exports to Europe are getting squeezed by cheaper Russian supplies and a global abundance of the liquefied form of the fuel.
European clients of Sonatrach have “greatly reduced their demand” for conventional gas from Algeria, resulting in a 25% drop the level of sales expected this year, said Ahmed El-Hachemi Mazighi, vice-president of marketing at the state-owned energy company.
Algeria is the third-biggest gas supplier to Europe. Its lower pipeline exports are evidence of how new LNG supplies from the U.S. to Australia and Russia are overwhelming the market and driving prices lower. That’s reduced the competitiveness of the north African country’s pipeline gas contracts, which are mostly tied to oil prices, according to the energy consultant Wood Mackenzie.
#Saudi Banks Extend Gains to Outperform Main Index: Inside EM - Bloomberg
Saudi Banks Extend Gains to Outperform Main Index: Inside EM - Bloomberg:
Most Saudi Arabian banking stocks climbed, even as the main local gauge fell, ahead of Saudi Aramco’s giant listing.
The Tadawul Banks Index gained as much as 0.5% with more than half of its members advancing, while the main local gauge slipped 0.2% as of 11:40 a.m. in Riyadh. Al Rajhi Bank and National Commercial Bank contributed the most to the sector-gauge’s increase.
Last week the index tracking 11 banks outperformed the main gauge. That’s partly because lenders are expected to get a revenue boost by providing clients margin loans and brokerage services to customers buying Aramco shares.
Most Saudi Arabian banking stocks climbed, even as the main local gauge fell, ahead of Saudi Aramco’s giant listing.
The Tadawul Banks Index gained as much as 0.5% with more than half of its members advancing, while the main local gauge slipped 0.2% as of 11:40 a.m. in Riyadh. Al Rajhi Bank and National Commercial Bank contributed the most to the sector-gauge’s increase.
Last week the index tracking 11 banks outperformed the main gauge. That’s partly because lenders are expected to get a revenue boost by providing clients margin loans and brokerage services to customers buying Aramco shares.
OPEC+ Can't Afford Not to Act on Oil Amid Trade Wars and Protests - Bloomberg
OPEC+ Can't Afford Not to Act on Oil Amid Trade Wars and Protests - Bloomberg:
In less than two weeks, OPEC and its allies are due to meet to decide on the next phase of their deal for managing the supply of crude oil, and therefore its price. Expect them to decide to do nothing for another six months, kicking the can further down the road even though their own forecasts show a need for deeper cuts to balance the market.
Outlooks for supply and demand indicate that they need to reduce output further during the first half of 2020 if they are to keep inventories from building again. But it looks more likely that the group, known as OPEC+, will risk a period of price weakness that they believe will be short-lived, if it materializes at all.
In less than two weeks, OPEC and its allies are due to meet to decide on the next phase of their deal for managing the supply of crude oil, and therefore its price. Expect them to decide to do nothing for another six months, kicking the can further down the road even though their own forecasts show a need for deeper cuts to balance the market.
Outlooks for supply and demand indicate that they need to reduce output further during the first half of 2020 if they are to keep inventories from building again. But it looks more likely that the group, known as OPEC+, will risk a period of price weakness that they believe will be short-lived, if it materializes at all.
#Saudi Aramco's CEO met Kuwait sovereign fund to discuss IPO: source - Reuters
Saudi Aramco's CEO met Kuwait sovereign fund to discuss IPO: source - Reuters:
Saudi Aramco’s top executives have met officials of Kuwait’s sovereign wealth fund to convince them to invest in the oil giant’s initial public offering (IPO), which could raise as much as $25.6 billion, a source familiar with the matter said.
The meeting, which was led by Aramco’s Chief Executive Amin Nasser, took place weeks ago, the source said, confirming an earlier report on Sunday in the Kuwaiti newspaper Alrai.
The Kuwaiti newspaper said the Kuwait Investment Authority’s (KIA) decision to participate in the deal or not will depend on a “study” of the IPO.
Saudi Aramco’s top executives have met officials of Kuwait’s sovereign wealth fund to convince them to invest in the oil giant’s initial public offering (IPO), which could raise as much as $25.6 billion, a source familiar with the matter said.
The meeting, which was led by Aramco’s Chief Executive Amin Nasser, took place weeks ago, the source said, confirming an earlier report on Sunday in the Kuwaiti newspaper Alrai.
The Kuwaiti newspaper said the Kuwait Investment Authority’s (KIA) decision to participate in the deal or not will depend on a “study” of the IPO.
#Saudi central bank says Aramco IPO not causing liquidity issues for banks - Reuters
Saudi central bank says Aramco IPO not causing liquidity issues for banks - Reuters:
Saudi Arabia’s central bank is monitoring banking indicators on a daily basis and is not seeing any impact on liquidity from oil giant Aramco’s initial public offering (IPO), its governor said on Sunday.
Saudi Arabian Monetary Authority governor Ahmed al-Kholifey told Reuters on the sidelines of a conference that he had no concerns about liquidity due to the size of Aramco’s IPO.
“We are monitoring all indicators on a daily basis and if there is any squeeze on liquidity, definitely we’ll be injecting liquidity but so far ... everything is assuring,” he said.
Aramco plans to sell 1.5% of the company, giving it a potential market value of as much as $1.7 trillion in a deal that is the centrepiece of Crown Prince Mohammed bin Salman’s plans to diversify the oil-dependent economy.
Saudi Arabia’s central bank is monitoring banking indicators on a daily basis and is not seeing any impact on liquidity from oil giant Aramco’s initial public offering (IPO), its governor said on Sunday.
Saudi Arabian Monetary Authority governor Ahmed al-Kholifey told Reuters on the sidelines of a conference that he had no concerns about liquidity due to the size of Aramco’s IPO.
“We are monitoring all indicators on a daily basis and if there is any squeeze on liquidity, definitely we’ll be injecting liquidity but so far ... everything is assuring,” he said.
Aramco plans to sell 1.5% of the company, giving it a potential market value of as much as $1.7 trillion in a deal that is the centrepiece of Crown Prince Mohammed bin Salman’s plans to diversify the oil-dependent economy.
MIDEAST STOCKS- #Saudi rises for a sixth day, #Dubai gains on financials - Reuters
MIDEAST STOCKS-Saudi rises for a sixth day, Dubai gains on financials - Reuters:
Saudi Arabia’s stock market rose in early trade on Sunday and was set for a sixth straight session of gains, led by banking shares, which also bolstered the Dubai index.
The benchmark Saudi index edged up 0.1%, with the kingdom’s largest lender National Commercial Bank increasing 1.6%, and Saudi British Bank gaining 1%.
The country’s banking sector continues to enjoy a high level of liquidity, the kingdom’s central bank governor said on Sunday.
The statement could allay market fears that Saudi oil giant Aramco’s initial public offering (IPO) - which could be the world’s largest so far - might soak up market liquidity as Saudi investors direct their wealth towards the offering.
Saudi Arabia’s stock market rose in early trade on Sunday and was set for a sixth straight session of gains, led by banking shares, which also bolstered the Dubai index.
The benchmark Saudi index edged up 0.1%, with the kingdom’s largest lender National Commercial Bank increasing 1.6%, and Saudi British Bank gaining 1%.
The country’s banking sector continues to enjoy a high level of liquidity, the kingdom’s central bank governor said on Sunday.
The statement could allay market fears that Saudi oil giant Aramco’s initial public offering (IPO) - which could be the world’s largest so far - might soak up market liquidity as Saudi investors direct their wealth towards the offering.