Gulf Business Hubs Seek Foreign Investors - Bloomberg:
Ali Alwaleed Al-Thani, chief executive officer at Investment Promotion Agency of Qatar, discusses investing in Qatar, the most important sector for the agency and the impact of the country’s labor reforms. He speaks exclusively on “Bloomberg Daybreak: Middle East.” (Source: Bloomberg)
Thursday 10 September 2020
Commodity Trader GP Global Seeking to Sell Assets to Repay Banks - Bloomberg
Commodity Trader GP Global Seeking to Sell Assets to Repay Banks - Bloomberg:
GP Global Group, a United Arab Emirates-based commodities firm, is seeking to sell oil-storage terminals, fuel barges and other assets to repay creditors after trying unsuccessfully to find a buyer for its trading units, according to people involved.
A restructuring adviser is reviewing offers for parts or all of the business and may recommend a deal this month, the people said, asking not to be identified because the information is confidential. Geneva-based Mercuria Energy Trading SA is among firms that have expressed interest, according to people familiar with the situation, one of whom said the two sides were far apart on a potential valuation.
Mercuria declined to comment. A spokesperson for GP Global said all options are on the table and that the company is looking for the one that will yield the best result for its creditors.
Commodity trading companies worldwide are struggling as the coronavirus saps economies and depresses demand for fuel and other primary products. Adding to their pain is a shortage of credit since several specialized lenders, including ABN Amro Bank NV, BNP Paribas SA and Societe Generale SA, began reducing their exposure to the industry.
GP Global Group, a United Arab Emirates-based commodities firm, is seeking to sell oil-storage terminals, fuel barges and other assets to repay creditors after trying unsuccessfully to find a buyer for its trading units, according to people involved.
A restructuring adviser is reviewing offers for parts or all of the business and may recommend a deal this month, the people said, asking not to be identified because the information is confidential. Geneva-based Mercuria Energy Trading SA is among firms that have expressed interest, according to people familiar with the situation, one of whom said the two sides were far apart on a potential valuation.
Mercuria declined to comment. A spokesperson for GP Global said all options are on the table and that the company is looking for the one that will yield the best result for its creditors.
Commodity trading companies worldwide are struggling as the coronavirus saps economies and depresses demand for fuel and other primary products. Adding to their pain is a shortage of credit since several specialized lenders, including ABN Amro Bank NV, BNP Paribas SA and Societe Generale SA, began reducing their exposure to the industry.
#Saudi-backed Lucid Motors launches its first electric vehicle - Arabianbusiness
Saudi-backed Lucid Motors launches its first electric vehicle - Arabianbusiness:
Backed by Saudi Arabia’s Public Investment Fund, Lucid Motors has unveiled its first production electric vehicle (EV), which is hoped will rival Tesla in the market.
The Lucid Air was launched from the company’s Silicon Valley headquarters on Thursday, with deliveries expected to start in spring 2021.
“Lucid Motors is driven to make the electric car better, and by doing so, help move the entire industry forward, towards accelerated adoption of sustainable mobility. The goal of this relentless approach to developing the world’s most advanced electric vehicle is to benefit all mankind with sustainable, zero emission transportation, and to also attract new customers to the world of EVs,” said Peter Rawlinson, CEO and CTO, Lucid Motors.
Backed by Saudi Arabia’s Public Investment Fund, Lucid Motors has unveiled its first production electric vehicle (EV), which is hoped will rival Tesla in the market.
The Lucid Air was launched from the company’s Silicon Valley headquarters on Thursday, with deliveries expected to start in spring 2021.
“Lucid Motors is driven to make the electric car better, and by doing so, help move the entire industry forward, towards accelerated adoption of sustainable mobility. The goal of this relentless approach to developing the world’s most advanced electric vehicle is to benefit all mankind with sustainable, zero emission transportation, and to also attract new customers to the world of EVs,” said Peter Rawlinson, CEO and CTO, Lucid Motors.
Exclusive: #Saudi sovereign fund PIF weighs investing in Ant IPO - sources - Reuters
Exclusive: Saudi sovereign fund PIF weighs investing in Ant IPO - sources - Reuters:
Saudi Arabia’s sovereign fund PIF is weighing a potential investment in the initial public offering of Chinese financial technology firm Ant Group, which could be the world’s biggest IPO, two sources familiar with the matter said.
Ant, Alibaba’s fintech arm and China’s dominant mobile payments firm, filed for a dual listing in Hong Kong and on Shanghai’s Nasdaq-style STAR Market last month.
The offering size could reach as much as $30 billion if market conditions allow, Reuters reported citing three sources.
That would make it the world’s biggest IPO since oil giant Saudi Aramco 2222.SE raised $29.4 billion last December, which surpassed the record set by China’s Alibaba Group Holding Ltd’s BABA.N, (9988.HK).
The Public Investment Fund (PIF) was approached by Ant through its advisors to consider investing in the deal, the sources said.
Saudi Arabia’s sovereign fund PIF is weighing a potential investment in the initial public offering of Chinese financial technology firm Ant Group, which could be the world’s biggest IPO, two sources familiar with the matter said.
Ant, Alibaba’s fintech arm and China’s dominant mobile payments firm, filed for a dual listing in Hong Kong and on Shanghai’s Nasdaq-style STAR Market last month.
The offering size could reach as much as $30 billion if market conditions allow, Reuters reported citing three sources.
That would make it the world’s biggest IPO since oil giant Saudi Aramco 2222.SE raised $29.4 billion last December, which surpassed the record set by China’s Alibaba Group Holding Ltd’s BABA.N, (9988.HK).
The Public Investment Fund (PIF) was approached by Ant through its advisors to consider investing in the deal, the sources said.
Oil prices slide near 2% after surprise U.S. crude stock build - Reuters
Oil prices slide near 2% after surprise U.S. crude stock build - Reuters:
Oil prices slid nearly 2% on Thursday after U.S. data showed a surprise build in crude stockpiles last week related in part to ongoing reductions at refineries along the Gulf of Mexico following Hurricane Laura.
Brent futures LCOc1 fell 73 cents, or 1.8%, to settle at $40.06 a barrel, while U.S. West Texas Intermediate (WTI) crude CLc1 fell 75 cents, or 2.0%, to settle at $37.30.
After the market close, WTI briefly traded down over $1 a barrel and Brent was down as much as 99 cents.
The U.S. Energy Information Administration (EIA) said crude inventories rose 2.0 million barrels last week.
Oil prices slid nearly 2% on Thursday after U.S. data showed a surprise build in crude stockpiles last week related in part to ongoing reductions at refineries along the Gulf of Mexico following Hurricane Laura.
Brent futures LCOc1 fell 73 cents, or 1.8%, to settle at $40.06 a barrel, while U.S. West Texas Intermediate (WTI) crude CLc1 fell 75 cents, or 2.0%, to settle at $37.30.
After the market close, WTI briefly traded down over $1 a barrel and Brent was down as much as 99 cents.
The U.S. Energy Information Administration (EIA) said crude inventories rose 2.0 million barrels last week.
European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #Israel#SaudiArabia #Qatar close
European, Middle Eastern & African Stocks - Bloomberg:
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
#UAE central bank urges post-crisis caution to avoid credit supply squeeze | ZAWYA MENA Edition
UAE central bank urges post-crisis caution to avoid credit supply squeeze | ZAWYA MENA Edition:
Central banks need to act in "a careful and phased manner" to avoid a sharp deterioration of credit supply when their economies are in a position to recover from the COVID-19 crisis, the UAE central bank governor Abdulhamid M. Saeed Alahmadi said.
His comments, made in a speech to a conference of central bankers from emerging markets, were published on Thursday by the central bank.
The central bank has reduced its policy interest rate twice this year and announced a $70 billion package of measures as the coronavirus crisis hit vital sectors of the country's economy.
The governor's comments echoed similar remarks this week by the governor of the Saudi central bank, Ahmed al-Kholifey, who called for caution against a deterioration of asset quality as central banks look to "unplug life support" to their economies.
Central banks need to act in "a careful and phased manner" to avoid a sharp deterioration of credit supply when their economies are in a position to recover from the COVID-19 crisis, the UAE central bank governor Abdulhamid M. Saeed Alahmadi said.
His comments, made in a speech to a conference of central bankers from emerging markets, were published on Thursday by the central bank.
The central bank has reduced its policy interest rate twice this year and announced a $70 billion package of measures as the coronavirus crisis hit vital sectors of the country's economy.
The governor's comments echoed similar remarks this week by the governor of the Saudi central bank, Ahmed al-Kholifey, who called for caution against a deterioration of asset quality as central banks look to "unplug life support" to their economies.
MIDEAST STOCKS-Major Gulf markets gain as financial shares rise | Reuters
MIDEAST STOCKS-Major Gulf markets gain as financial shares rise | Reuters:
Major stock markets in the Gulf rose in early trade on Thursday, mostly on back of financial shares, with broad-based gains pushing Qatari shares higher.
Saudi Arabia’s benchmark index rose 0.4%, led by a 1.1% gain in Saudi Telecom Company and a 2.5% increase in Yanbu National Petrochemicals Company.
On Wednesday, the kingdom’s finance minister said Saudi Arabia’s economy was likely to contract this year, but less sharply than International Monetary Fund forecasts.
The IMF expects Saudi Arabia’s economy to shrink by 6.8% this year, a forecast that Saudi officials previously said was more pessimistic than their own projections.
Dubai’s main share index edged up 0.2%, with Emirates NBD Bank rising 0.5% and blue-chip developer Emaar Properties up 0.3%.
The Abu Dhabi index added 0.3%, helped by a 0.2% gain in the country’s largest lender First Abu Dhabi Bank.
Meanwhile, the United Arab Emirates recorded 883 new coronavirus infections on Wednesday, its highest daily increase in over three months.
Daily infections in the Gulf Arab state have risen in recent weeks, after generally declining from a peak in May.
In Qatar, the index gained 0.8%, as most of the stocks were in positive territory including Qatar Islamic Bank which traded up 1%.
Major stock markets in the Gulf rose in early trade on Thursday, mostly on back of financial shares, with broad-based gains pushing Qatari shares higher.
Saudi Arabia’s benchmark index rose 0.4%, led by a 1.1% gain in Saudi Telecom Company and a 2.5% increase in Yanbu National Petrochemicals Company.
On Wednesday, the kingdom’s finance minister said Saudi Arabia’s economy was likely to contract this year, but less sharply than International Monetary Fund forecasts.
The IMF expects Saudi Arabia’s economy to shrink by 6.8% this year, a forecast that Saudi officials previously said was more pessimistic than their own projections.
Dubai’s main share index edged up 0.2%, with Emirates NBD Bank rising 0.5% and blue-chip developer Emaar Properties up 0.3%.
The Abu Dhabi index added 0.3%, helped by a 0.2% gain in the country’s largest lender First Abu Dhabi Bank.
Meanwhile, the United Arab Emirates recorded 883 new coronavirus infections on Wednesday, its highest daily increase in over three months.
Daily infections in the Gulf Arab state have risen in recent weeks, after generally declining from a peak in May.
In Qatar, the index gained 0.8%, as most of the stocks were in positive territory including Qatar Islamic Bank which traded up 1%.
European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #Israel #SaudiArabia #Qatar mid-session
European, Middle Eastern & African Stocks - Bloomberg:
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Updated stock indexes in Europe, Middle East & Africa. Get an overview of major indexes, current values and stock market data in Europe, UK, Germany, Russia & more.
Mortgage Cravings Keep #Saudi Credit Humming as in Oil Boom Times - Bloomberg
Mortgage Cravings Keep Saudi Credit Humming as in Oil Boom Times - Bloomberg:
Saudi Arabia’s mortgage market is almost single-handedly keeping credit flowing to the private sector at the fastest since the kingdom was coming off an oil boom in 2014.
Home loans are a major impetus at a time when the economy is down in the dumps as the global pandemic takes a toll. In July, bank claims on the private sector expanded by an annual 13.5%.
New residential mortgages provided by banks were equivalent to 85% of July’s credit growth, according to Bloomberg calculations based on the latest official data.
Saudi Arabia’s mortgage market is almost single-handedly keeping credit flowing to the private sector at the fastest since the kingdom was coming off an oil boom in 2014.
Home loans are a major impetus at a time when the economy is down in the dumps as the global pandemic takes a toll. In July, bank claims on the private sector expanded by an annual 13.5%.
New residential mortgages provided by banks were equivalent to 85% of July’s credit growth, according to Bloomberg calculations based on the latest official data.
Oil prices steady but concerns remain over demand outlook - Reuters
Oil prices steady but concerns remain over demand outlook - Reuters:
Oil prices were little changed on Thursday after falling earlier as the demand outlook remains clouded by rising coronavirus cases in many countries and as data showed U.S. crude stockpiles unexpectedly rose last week.
U.S. West Texas Intermediate (WTI) crude CLc1 futures dipped 4 cents, or 0.1%, to $38.01 a barrel at 0657 GMT, after climbing 3.5% on Wednesday.
Brent crude LCOc1 futures edge up 2 cents, or 0.05% to $40.81 a barrel, after rising 2.5% on Wednesday.
The oil market is under pressure on the prospect of both subdued demand and rising supply, ANZ analysts said in a note. The U.S. Energy Information Administration (EIA) will release official weekly inventory data later on Thursday, a day later than normal following this week’s U.S. Labor Day holiday.
Oil prices were little changed on Thursday after falling earlier as the demand outlook remains clouded by rising coronavirus cases in many countries and as data showed U.S. crude stockpiles unexpectedly rose last week.
U.S. West Texas Intermediate (WTI) crude CLc1 futures dipped 4 cents, or 0.1%, to $38.01 a barrel at 0657 GMT, after climbing 3.5% on Wednesday.
Brent crude LCOc1 futures edge up 2 cents, or 0.05% to $40.81 a barrel, after rising 2.5% on Wednesday.
The oil market is under pressure on the prospect of both subdued demand and rising supply, ANZ analysts said in a note. The U.S. Energy Information Administration (EIA) will release official weekly inventory data later on Thursday, a day later than normal following this week’s U.S. Labor Day holiday.
Israeli hospital Sheba, #UAE's APEX to develop health technologies - Reuters
Israeli hospital Sheba, UAE's APEX to develop health technologies - Reuters:
Israel’s Sheba Medical Center and the United Arab Emirates’s APEX National Investment said on Thursday they signed a preliminary agreement to jointly promote healthcare technologies in the UAE and the Gulf region.
The memorandum of understanding is the first cooperation announced between an Israeli hospital with an Emirati company after Israel and the UAE agreed to normalise relations last month.
A final agreement is expected to be signed around Sept. 21 in the UAE, said Yoel Hareven, director of Sheba International at Sheba Medical Center.
Hareven said the MOU will pave the way for cooperation on medical innovation, professional training, medical tourism and COVID-19 treatment.
Israel’s Sheba Medical Center and the United Arab Emirates’s APEX National Investment said on Thursday they signed a preliminary agreement to jointly promote healthcare technologies in the UAE and the Gulf region.
The memorandum of understanding is the first cooperation announced between an Israeli hospital with an Emirati company after Israel and the UAE agreed to normalise relations last month.
A final agreement is expected to be signed around Sept. 21 in the UAE, said Yoel Hareven, director of Sheba International at Sheba Medical Center.
Hareven said the MOU will pave the way for cooperation on medical innovation, professional training, medical tourism and COVID-19 treatment.