Oil falls on India's COVID surge; OPEC+ limits drop | Reuters
Oil pared its losses on Monday as the Organization of the Petroleum Exporting Countries and its allies indicated that it was watching surging COVID-19 cases in India, which may dent fuel demand in the world's third-biggest oil importer.
Brent crude settled 46 cents lower, down 0.7% at $65.65 a barrel, after trading at a session low of $64.57 a barrel. U.S. West Texas Intermediate (WTI) crude ended down 23 cents, or 0.4%, at $61.91 a barrel, after touching a session low of $60.66.
"The market is on guard, coming back from India demand fears on reports that the OPEC technical committee acknowledged potential demand threats from the situation in India," said Phil Flynn, senior analyst at Price Futures Group in Chicago.
The OPEC+ joint technical committee (JTC) has kept its forecast for growth in global oil demand this year, but is concerned about surging COVID-19 cases in India and elsewhere, three sources from the producer group told Reuters.
Monday 26 April 2021
Aramco Is Said to Weigh Sale of Stake in Natural Gas Pipelines - Bloomberg
Aramco Is Said to Weigh Sale of Stake in Natural Gas Pipelines - Bloomberg
Saudi Aramco is considering the sale of a stake in its vast natural gas pipeline network to help free up cash and draw more international investors to the kingdom, people familiar with the matter said.
The state-owned energy producer is holding preliminary discussions on the potential move, the people said, asking not to be identified because the information is private. Any deal could raise billions of dollars for Dhahran-based Aramco depending how a transaction is structured, according to the people.
Aramco is at the forefront of Saudi Arabia’s drive to attract foreign investment and diversify its economy. Earlier this month, it said it would raise more than $12 billion selling a stake in its oil-pipeline unit to a consortium led by EIG Global Energy Partners.
The company is also conducting a strategic review of its upstream business in a move that could see it introduce external investors to some of its oil and gas assets, Bloomberg News reported last week. Aramco Chairman Yasir Al-Rumayyan has started selling stakes in non-core assets to help maintain the company’s $75 billion dividend, most of which goes to the Saudi government.
Aramco’s Master Gas System is a network of pipelines connecting its production with processing sites throughout the kingdom. The infrastructure has a current capacity of about 9.6 billion cubic feet per day, according to Aramco’s annual report.
Deliberations are at an early stage, and there’s no certainty Aramco will proceed with a transaction, the people said. Aramco, which is formally known as Saudi Arabian Oil Co., declined to comment.
The company reshuffled its senior management last year and created a division focused on “portfolio optimization,” which will “assess existing assets” and boost access to growth markets. It is headed by Abdulaziz Al Gudaimi, who reports to Chief Executive Officer Amin Nasser.
Saudi Arabia has the eighth-largest gas reserves globally and the largest in the Arab world after Qatar, according to BP Plc. They have mostly been overlooked by the kingdom as it instead focused on its huge oil deposits. In recent years, the government has sought to increase gas production -- which reached a record level in 2020 -- to diversify the economy and transition to cleaner fuels for local power plants.
Saudi Aramco is considering the sale of a stake in its vast natural gas pipeline network to help free up cash and draw more international investors to the kingdom, people familiar with the matter said.
The state-owned energy producer is holding preliminary discussions on the potential move, the people said, asking not to be identified because the information is private. Any deal could raise billions of dollars for Dhahran-based Aramco depending how a transaction is structured, according to the people.
Aramco is at the forefront of Saudi Arabia’s drive to attract foreign investment and diversify its economy. Earlier this month, it said it would raise more than $12 billion selling a stake in its oil-pipeline unit to a consortium led by EIG Global Energy Partners.
The company is also conducting a strategic review of its upstream business in a move that could see it introduce external investors to some of its oil and gas assets, Bloomberg News reported last week. Aramco Chairman Yasir Al-Rumayyan has started selling stakes in non-core assets to help maintain the company’s $75 billion dividend, most of which goes to the Saudi government.
Aramco’s Master Gas System is a network of pipelines connecting its production with processing sites throughout the kingdom. The infrastructure has a current capacity of about 9.6 billion cubic feet per day, according to Aramco’s annual report.
Deliberations are at an early stage, and there’s no certainty Aramco will proceed with a transaction, the people said. Aramco, which is formally known as Saudi Arabian Oil Co., declined to comment.
The company reshuffled its senior management last year and created a division focused on “portfolio optimization,” which will “assess existing assets” and boost access to growth markets. It is headed by Abdulaziz Al Gudaimi, who reports to Chief Executive Officer Amin Nasser.
Saudi Arabia has the eighth-largest gas reserves globally and the largest in the Arab world after Qatar, according to BP Plc. They have mostly been overlooked by the kingdom as it instead focused on its huge oil deposits. In recent years, the government has sought to increase gas production -- which reached a record level in 2020 -- to diversify the economy and transition to cleaner fuels for local power plants.
#AbuDhabi's Adnoc, OCI Pick Banks for Fertilizer Venture IPO - Bloomberg
Abu Dhabi's Adnoc, OCI Pick Banks for Fertilizer Venture IPO - Bloomberg
Abu Dhabi National Oil Co. and chemical producer OCI NV have hired banks for a potential listing of their fertilizer joint venture, in what could be one of the largest offerings in the United Arab Emirates in recent years, people familiar with the matter said.
Morgan Stanley, Citigroup Inc, HSBC Holdings Plc and First Abu Dhabi Bank PJSC have been appointed as advisers for Fertiglobe’s offering in Abu Dhabi, the people said, asking not to be identified as the matter is private. The company could be valued at about $7 billion including debt in the listing, which is set to take place as early as this year, the people said.
OCI owns 58% of Fertiglobe and the rest is held by Adnoc. No final decisions have been made and the owners could also decide to retain the assets, the people said. Representatives for Adnoc, OCI, Citigroup, Morgan Stanley, HSBC and FAB declined to comment.
Adnoc and OCI merged their Middle East and North Africa crop-nutrient businesses in 2019, creating the region’s top fertilizer producer with $1.7 billion in annual sales, the companies said at the time.
Fertiglobe is headed by Egyptian billionaire Nassef Sawiris, who is also the main shareholder in OCI. It is the largest producer of nitrogen fertilizer in the Middle East and North Africa region, according to information on its website.
The planned IPO comes at a time when Abu Dhabi’s government is seeking to deepen its financial markets. Petrostates across the Persian Gulf are also trying diversify sources of funding by using money raised from their oil assets to invest in other industries.
Aside from planning the Fertiglobe IPO, Adnoc is also considering a potential listing of its drilling business, Bloomberg reported earlier this month. Both the deals could raise more than $1 billion each, people familiar said at the time.
Abu Dhabi National Oil Co. and chemical producer OCI NV have hired banks for a potential listing of their fertilizer joint venture, in what could be one of the largest offerings in the United Arab Emirates in recent years, people familiar with the matter said.
Morgan Stanley, Citigroup Inc, HSBC Holdings Plc and First Abu Dhabi Bank PJSC have been appointed as advisers for Fertiglobe’s offering in Abu Dhabi, the people said, asking not to be identified as the matter is private. The company could be valued at about $7 billion including debt in the listing, which is set to take place as early as this year, the people said.
OCI owns 58% of Fertiglobe and the rest is held by Adnoc. No final decisions have been made and the owners could also decide to retain the assets, the people said. Representatives for Adnoc, OCI, Citigroup, Morgan Stanley, HSBC and FAB declined to comment.
Adnoc and OCI merged their Middle East and North Africa crop-nutrient businesses in 2019, creating the region’s top fertilizer producer with $1.7 billion in annual sales, the companies said at the time.
Fertiglobe is headed by Egyptian billionaire Nassef Sawiris, who is also the main shareholder in OCI. It is the largest producer of nitrogen fertilizer in the Middle East and North Africa region, according to information on its website.
The planned IPO comes at a time when Abu Dhabi’s government is seeking to deepen its financial markets. Petrostates across the Persian Gulf are also trying diversify sources of funding by using money raised from their oil assets to invest in other industries.
Aside from planning the Fertiglobe IPO, Adnoc is also considering a potential listing of its drilling business, Bloomberg reported earlier this month. Both the deals could raise more than $1 billion each, people familiar said at the time.
Blackstone Seeks Control of MPhasis for Up to $2.8 Billion - Bloomberg
Blackstone Seeks Control of MPhasis for Up to $2.8 Billion - Bloomberg
Blackstone Group Inc. offered to take a controlling stake in Indian IT outsourcing services provider Mphasis Ltd. in a deal worth as much as $2.8 billion, as demand for cloud computing surges amid the pandemic.
Funds managed by Blackstone Capital Partners VIII and Blackstone Capital Partners Asia have teamed up with long-term investors including Abu Dhabi Investment Authority and UC Investments to take a majority stake in Mphasis, the private equity firm said in a statement on Monday. They’re buying a 55.31% stake from Blackstone Capital Partners VI fund.
That agreement triggered an open offer for an additional 26% stake in the Indian firm at 1,677.16 rupees apiece, which amounts to as much as 82.6 billion rupees ($1.1 billion). The offer price is a 1.1% discount to the closing share price on Friday. The stock gained as much as 6.5% in Mumbai after the offer.
Blackstone’s move to increase its stake in Mphasis is in sync with the U.S. asset manager’s plans to boost investment in the South Asian nation. India is the strongest performer in the world for Blackstone and the firm intends to continue deploying large investments in the nation, Blackstone Chief Executive Officer and co-founder Stephen Schwarzman said during his visit to Mumbai in 2020.
Blackstone Group Inc. offered to take a controlling stake in Indian IT outsourcing services provider Mphasis Ltd. in a deal worth as much as $2.8 billion, as demand for cloud computing surges amid the pandemic.
Funds managed by Blackstone Capital Partners VIII and Blackstone Capital Partners Asia have teamed up with long-term investors including Abu Dhabi Investment Authority and UC Investments to take a majority stake in Mphasis, the private equity firm said in a statement on Monday. They’re buying a 55.31% stake from Blackstone Capital Partners VI fund.
That agreement triggered an open offer for an additional 26% stake in the Indian firm at 1,677.16 rupees apiece, which amounts to as much as 82.6 billion rupees ($1.1 billion). The offer price is a 1.1% discount to the closing share price on Friday. The stock gained as much as 6.5% in Mumbai after the offer.
Blackstone’s move to increase its stake in Mphasis is in sync with the U.S. asset manager’s plans to boost investment in the South Asian nation. India is the strongest performer in the world for Blackstone and the firm intends to continue deploying large investments in the nation, Blackstone Chief Executive Officer and co-founder Stephen Schwarzman said during his visit to Mumbai in 2020.
#Kuwait sovereign fund to get over $1.8 bln per year from KPC – sources | Reuters
Kuwait sovereign fund to get over $1.8 bln per year from KPC – sources | Reuters
Kuwait’s sovereign wealth fund and state-owned Kuwait Petroleum Corporation (KPC) reached an agreement under which KPC will pay 8.25 billion Kuwaiti dinars ($27.44 billion) in accrued dividends over 15 years, two sources said.
KPC has owed for years about 7 billion Kuwaiti dinars in dividends to the General Reserve Fund (GRF), one of Kuwait’s sovereign funds, tasked with covering budget deficits.
The company and GRF have recently agreed a repayment schedule by which KPC will pay 550 million dinars ($1.83 billion) annually to the GRF during the next 15 years, said a government source and a source familiar with the agreement.
Kuwait’s sovereign wealth fund and state-owned Kuwait Petroleum Corporation (KPC) reached an agreement under which KPC will pay 8.25 billion Kuwaiti dinars ($27.44 billion) in accrued dividends over 15 years, two sources said.
KPC has owed for years about 7 billion Kuwaiti dinars in dividends to the General Reserve Fund (GRF), one of Kuwait’s sovereign funds, tasked with covering budget deficits.
The company and GRF have recently agreed a repayment schedule by which KPC will pay 550 million dinars ($1.83 billion) annually to the GRF during the next 15 years, said a government source and a source familiar with the agreement.
Oil falls on India's COVID surge, supply increase | Reuters
Oil falls on India's COVID surge, supply increase | Reuters
Oil fell on Monday on fears that surging COVID-19 cases in India will dent fuel demand in the world's third-biggest oil importer, while the end of a force majeure on exports from a Libyan terminal and an expected supply increase from OPEC+ added to pressure.
Brent crude was $1.08, or 1.6%, lower at $65.03 a barrel by 1329 GMT. U.S. West Texas Intermediate (WTI) crude was down 97 cents, or 1.6%, at $61.17 a barrel.
Both benchmarks fell about 1% last week.
"The market is tending to focus more on the bad news from India and Japan at present, where the number of new coronavirus cases has risen sharply, prompting increased mobility restrictions to be imposed," said Commerzbank analyst Eugen Weinberg.
Oil fell on Monday on fears that surging COVID-19 cases in India will dent fuel demand in the world's third-biggest oil importer, while the end of a force majeure on exports from a Libyan terminal and an expected supply increase from OPEC+ added to pressure.
Brent crude was $1.08, or 1.6%, lower at $65.03 a barrel by 1329 GMT. U.S. West Texas Intermediate (WTI) crude was down 97 cents, or 1.6%, at $61.17 a barrel.
Both benchmarks fell about 1% last week.
"The market is tending to focus more on the bad news from India and Japan at present, where the number of new coronavirus cases has risen sharply, prompting increased mobility restrictions to be imposed," said Commerzbank analyst Eugen Weinberg.
#Dubai Crisis Aftershocks Felt in Developer’s Third Restructuring - Bloomberg
Dubai Crisis Aftershocks Felt in Developer’s Third Restructuring - Bloomberg
Dubai property developer Limitless, one of the biggest casualties of the emirate’s financial crisis in 2009, may end up taking close to two decades to complete its debt restructuring under the timeline of its new plan.
Limitless gave secured lenders -- both banks and trade creditors -- two options, according to a recent presentation to creditors that shows the company owes around 2.8 billion dirhams ($762 million). People familiar with the matter confirmed the details of the proposal, asking not to be identified because the information is private.
Creditors either receive an upfront 50% payment on the money they’re owed to settle or agree to a seven-year restructuring of 2 billion dirhams worth of debt facilities, according to the terms outlined in the document.
Limitless told creditors last year it was hiring advisers for its third restructuring as the company defaulted on certain earlier agreements it had struck with its banks in recent years.
A spokeswoman for Limitless said “discussions with our lenders are ongoing, but, as the talks are private and confidential, we are not at liberty to share details.”
Dubai property developer Limitless, one of the biggest casualties of the emirate’s financial crisis in 2009, may end up taking close to two decades to complete its debt restructuring under the timeline of its new plan.
Limitless gave secured lenders -- both banks and trade creditors -- two options, according to a recent presentation to creditors that shows the company owes around 2.8 billion dirhams ($762 million). People familiar with the matter confirmed the details of the proposal, asking not to be identified because the information is private.
Creditors either receive an upfront 50% payment on the money they’re owed to settle or agree to a seven-year restructuring of 2 billion dirhams worth of debt facilities, according to the terms outlined in the document.
Limitless told creditors last year it was hiring advisers for its third restructuring as the company defaulted on certain earlier agreements it had struck with its banks in recent years.
A spokeswoman for Limitless said “discussions with our lenders are ongoing, but, as the talks are private and confidential, we are not at liberty to share details.”
Dana Gas, Crescent Petroleum to invest $600mln more in Khor Mor project | ZAWYA MENA Edition
Dana Gas, Crescent Petroleum to invest $600mln more in Khor Mor project | ZAWYA MENA Edition
United Arab Emirates-based Dana Gas and Crescent Petroleum said on Monday they will invest another $600 million in the expansion project at the Khor Morfield in the Kurdistan Region of Iraq (KRI), work on which has resumed after a year-long hiatus due to the coronavirus pandemic with a new target start date set for April 2023.
The additional investment will add 250 million cubic feet per day of “much-needed” additional gas production to supply the local power stations, the companies said in a filing to Abu Dhabi Stock Exchange, where Dana is listed.
Dana and Crescent operate the gas field on behalf of the Pearl Petroleum consortium.
The new start date has been set after agreement to lift the force majeure with both the Kurdistan Regional Government (KRG) and the US contractor, Exterran.
Under a gas sales agreement signed in March 2019 with the KRG Ministry of Natural Resources, Pearl Petroleum will sell the additional quantities of gas to supply the power stations with affordable and environmentally cleaner fuel, and further enhanceelectricity supplies.
Today over 80 percent of the KRI’s electricity generation is enabled by the gas produced by the companies.
Current production at the Khor Mor field is 440 million cubic feet per day of natural gas as well as 15,700 barrels per day of condensate and 1,020 tonnes of liquified petroleum gas (LPG), or a total of 110,400 barrels of oil equivalent (boe) per day,making it the largest overall producer in the KRI and the largest private sector upstream gas operation in Iraq, Dana said in the statement.
After the KM250 train, there are plans to add a further KM500 train which would take production to almost 1 billion cubic feet per day by 2024.
Total investment to date has topped $2 billion with total cumulative production of over 332 million barrels of oil equivalent (boe), which has resulted in significant fuel cost savings and economic benefits for the Kurdistan Region and Iraq as a whole, it added.
United Arab Emirates-based Dana Gas and Crescent Petroleum said on Monday they will invest another $600 million in the expansion project at the Khor Morfield in the Kurdistan Region of Iraq (KRI), work on which has resumed after a year-long hiatus due to the coronavirus pandemic with a new target start date set for April 2023.
The additional investment will add 250 million cubic feet per day of “much-needed” additional gas production to supply the local power stations, the companies said in a filing to Abu Dhabi Stock Exchange, where Dana is listed.
Dana and Crescent operate the gas field on behalf of the Pearl Petroleum consortium.
The new start date has been set after agreement to lift the force majeure with both the Kurdistan Regional Government (KRG) and the US contractor, Exterran.
Under a gas sales agreement signed in March 2019 with the KRG Ministry of Natural Resources, Pearl Petroleum will sell the additional quantities of gas to supply the power stations with affordable and environmentally cleaner fuel, and further enhanceelectricity supplies.
Today over 80 percent of the KRI’s electricity generation is enabled by the gas produced by the companies.
Current production at the Khor Mor field is 440 million cubic feet per day of natural gas as well as 15,700 barrels per day of condensate and 1,020 tonnes of liquified petroleum gas (LPG), or a total of 110,400 barrels of oil equivalent (boe) per day,making it the largest overall producer in the KRI and the largest private sector upstream gas operation in Iraq, Dana said in the statement.
After the KM250 train, there are plans to add a further KM500 train which would take production to almost 1 billion cubic feet per day by 2024.
Total investment to date has topped $2 billion with total cumulative production of over 332 million barrels of oil equivalent (boe), which has resulted in significant fuel cost savings and economic benefits for the Kurdistan Region and Iraq as a whole, it added.
MIDEAST STOCKS Most major Gulf bourses gain on corporate earnings | Reuters
MIDEAST STOCKS Most major Gulf bourses gain on corporate earnings | Reuters
Major stock markets in the Gulf closed higher on Monday, with the Saudi index leading gains after a slew of strong corporate earnings.
Saudi Arabia's benchmark index (.TASI) rose 0.9%, boosted by a 1.8% gain in Al Rajhi Bank (1120.SE) and a 8.9% surge in Bank Al Jazira (1020.SE), which reported an increase in its quarterly net profit.
Elsewhere, Saudi National Bank (SNB) (1180.SE) closed 0.9% higher. The kingdom's largest lender posted a 20.3% rise in first-quarter net profit on Monday with lower impairments and higher fees, in a sign that the economy has been recovering from last year's pandemic lockdowns. read more
In Dubai, the main share index (.DFMGI) gained 0.7%, with Emirates NBD Bank advancing 2.1%, while Dubai Islamic Bank (DISB.DU), the United Arab Emirates' largest lender, closed 0.9% higher.
The Abu Dhabi index (.ADI) added 0.5%, bolstered by a 0.7% gain in top lender First Abu Dhabi Bank (FAB.AD) while telecoms giant Etisalat (ETISALAT.AD) was up 0.6%.
Abu Dhabi Commercial Bank (ADCB.AD) finished 2.3% higher, after the United Arab Emirates' third-biggest lender reported soaring profit as it recovers from impairments linked to troubled hospital operator NMC Health. read more
ADCB reported first-quarter net profit of 1.1 billion dirhams ($299.50 million), a 436% increase year-on-year.
In Qatar, the benchmark (.QSI) gained 0.4%, bolstered by a 3.4% jump in Commercial Bank (COMB.QA) after the lender reported a net profit of 602.7 million riyals ($165.58 million) for the first-quarter, up from 402.1 million a year earlier.
Among others, petrochemical maker Industries Qatar (IQCD.QA) gained 0.4% following an increase in its first-quarter net profit.
Saudi Arabia's benchmark index (.TASI) rose 0.9%, boosted by a 1.8% gain in Al Rajhi Bank (1120.SE) and a 8.9% surge in Bank Al Jazira (1020.SE), which reported an increase in its quarterly net profit.
Elsewhere, Saudi National Bank (SNB) (1180.SE) closed 0.9% higher. The kingdom's largest lender posted a 20.3% rise in first-quarter net profit on Monday with lower impairments and higher fees, in a sign that the economy has been recovering from last year's pandemic lockdowns. read more
In Dubai, the main share index (.DFMGI) gained 0.7%, with Emirates NBD Bank advancing 2.1%, while Dubai Islamic Bank (DISB.DU), the United Arab Emirates' largest lender, closed 0.9% higher.
The Abu Dhabi index (.ADI) added 0.5%, bolstered by a 0.7% gain in top lender First Abu Dhabi Bank (FAB.AD) while telecoms giant Etisalat (ETISALAT.AD) was up 0.6%.
Abu Dhabi Commercial Bank (ADCB.AD) finished 2.3% higher, after the United Arab Emirates' third-biggest lender reported soaring profit as it recovers from impairments linked to troubled hospital operator NMC Health. read more
ADCB reported first-quarter net profit of 1.1 billion dirhams ($299.50 million), a 436% increase year-on-year.
In Qatar, the benchmark (.QSI) gained 0.4%, bolstered by a 3.4% jump in Commercial Bank (COMB.QA) after the lender reported a net profit of 602.7 million riyals ($165.58 million) for the first-quarter, up from 402.1 million a year earlier.
Among others, petrochemical maker Industries Qatar (IQCD.QA) gained 0.4% following an increase in its first-quarter net profit.
#Oman Explores Cement Stake Sale in Privatization Drive: Sources - Bloomberg
Oman Explores Cement Stake Sale in Privatization Drive: Sources - Bloomberg
Oman is considering the sale of its stake in Oman Cement Co. SAOG, according to people with knowledge of the matter, as Gulf nations increasingly lean on state assets to bolster their finances.
The sultanate is speaking to advisers about selling its nearly 54% holding in the company, according to the people, who asked not to be identified because the information is private. The stake could be worth just over $100 million based on its current market price.
No final decisions have been made and the state may also decide to retain the stake.
Oman Cement’s chief executive officer, Salem AlHajry, said there’s no plan for now to divest shares in the company and the government’s focus is on growing the business. The Oman Investment Authority, the country’s wealth fund that controls the stake, couldn’t be reached immediately for comment.
The government has been seeking ways to tame its budget deficit and steady an economy hit by last year’s decline in oil prices and the coronavirus pandemic. It’s pushed through reforms including cutting spending, slashing government jobs and introducing a value-added tax in April.
Oman is considering the sale of its stake in Oman Cement Co. SAOG, according to people with knowledge of the matter, as Gulf nations increasingly lean on state assets to bolster their finances.
The sultanate is speaking to advisers about selling its nearly 54% holding in the company, according to the people, who asked not to be identified because the information is private. The stake could be worth just over $100 million based on its current market price.
No final decisions have been made and the state may also decide to retain the stake.
Oman Cement’s chief executive officer, Salem AlHajry, said there’s no plan for now to divest shares in the company and the government’s focus is on growing the business. The Oman Investment Authority, the country’s wealth fund that controls the stake, couldn’t be reached immediately for comment.
The government has been seeking ways to tame its budget deficit and steady an economy hit by last year’s decline in oil prices and the coronavirus pandemic. It’s pushed through reforms including cutting spending, slashing government jobs and introducing a value-added tax in April.
Mideast Stocks: #Saudi, #Qatar indexes up on corporate earnings; others dip | ZAWYA MENA Edition
Mideast Stocks: Saudi, Qatar indexes up on corporate earnings; others dip | ZAWYA MENA Edition
Most major Gulf stock markets traded mixed early on Monday, with a slew of corporate earnings driving shares in Saudi and Qatar higher.
Saudi Arabia's benchmark index gained 0.1%, helped by a 0.3% rise in Al Rajhi Bank and a 0.6% increase in Saudi National Bank (SNB).
SNB, the kingdom's largest lender, posted a 20.3% rise in first-quarter net profit on Monday with lower impairments and higher fees, in a sign that the economy has been recovering from last year's pandemic lockdowns.
But, Saudi Arabian Mining Company retreated 2%, following a decrease in net sales compared with the previous quarter.
In Dubai, the main share index eased 0.1%. Top lender Emirates NBD lost 0.4% and the Dubai Financial Market declined 1.8%.
The Abu Dhabi index slid 0.1%, hit by a 0.5% fall in telecoms giant Etisalat.
However, the index's fall was cushioned by gains at Abu Dhabi Commercial Bank, after the United Arab Emirates' third-biggest lender reported soaring profit as it recovers from troubled hospital operator NMC Health impairments.
ADCB reported first-quarter net profit of 1.1 billion dirhams ($299.50 million), a 436% increase year-on-year.
In Qatar, the benchmark index edged up 0.2%, with Commercial advancing 2.2% after the lender reported a net profit of 602.7 million Qatari riyals for the first-quarter, up from 402.1 million a year earlier.
Among others, utility firm Qatar Electricity and Water Co added 0.9%, ahead of its earnings announcement.
Most major Gulf stock markets traded mixed early on Monday, with a slew of corporate earnings driving shares in Saudi and Qatar higher.
Saudi Arabia's benchmark index gained 0.1%, helped by a 0.3% rise in Al Rajhi Bank and a 0.6% increase in Saudi National Bank (SNB).
SNB, the kingdom's largest lender, posted a 20.3% rise in first-quarter net profit on Monday with lower impairments and higher fees, in a sign that the economy has been recovering from last year's pandemic lockdowns.
But, Saudi Arabian Mining Company retreated 2%, following a decrease in net sales compared with the previous quarter.
In Dubai, the main share index eased 0.1%. Top lender Emirates NBD lost 0.4% and the Dubai Financial Market declined 1.8%.
The Abu Dhabi index slid 0.1%, hit by a 0.5% fall in telecoms giant Etisalat.
However, the index's fall was cushioned by gains at Abu Dhabi Commercial Bank, after the United Arab Emirates' third-biggest lender reported soaring profit as it recovers from troubled hospital operator NMC Health impairments.
ADCB reported first-quarter net profit of 1.1 billion dirhams ($299.50 million), a 436% increase year-on-year.
In Qatar, the benchmark index edged up 0.2%, with Commercial advancing 2.2% after the lender reported a net profit of 602.7 million Qatari riyals for the first-quarter, up from 402.1 million a year earlier.
Among others, utility firm Qatar Electricity and Water Co added 0.9%, ahead of its earnings announcement.
#AbuDhabi Ports hires banks for dollar bonds | Reuters
Abu Dhabi Ports hires banks for dollar bonds | Reuters
Abu Dhabi Ports has hired banks to arrange an issuance of 10-year U.S. dollar-denominated bonds, which it will use for general corporate purposes, a presentation for investors seen by Reuters showed on Monday.
Citi, First Abu Dhabi Bank and Standard Chartered will act as joint global coordinators. HSBC , Mizuho, Societe Generale, BNP Paribas, Credit Agricole and SMBC Nikko also have roles.
The banks will arrange fixed income investor calls on Monday and Tuesday, a document from one of the banks showed. An issuance of benchmark size, generally at least $500 million, will follow, subject to market conditions.
Reuters reported on Sunday that Abu Dhabi Ports had secured a $1 billion loan from nine banks including Citi, FAB, HSBC and Standard Chartered. One source said it was also planning a bond sale.
Abu Dhabi Ports has hired banks to arrange an issuance of 10-year U.S. dollar-denominated bonds, which it will use for general corporate purposes, a presentation for investors seen by Reuters showed on Monday.
Citi, First Abu Dhabi Bank and Standard Chartered will act as joint global coordinators. HSBC , Mizuho, Societe Generale, BNP Paribas, Credit Agricole and SMBC Nikko also have roles.
The banks will arrange fixed income investor calls on Monday and Tuesday, a document from one of the banks showed. An issuance of benchmark size, generally at least $500 million, will follow, subject to market conditions.
Reuters reported on Sunday that Abu Dhabi Ports had secured a $1 billion loan from nine banks including Citi, FAB, HSBC and Standard Chartered. One source said it was also planning a bond sale.
#Dubai theme park operator DXBE's first quarter 2021 revenues drop to Dh55.45m | Tourism – Gulf News
Dubai theme park operator DXBE's first quarter 2021 revenues drop to Dh55.45m | Tourism – Gulf News
Dubai’s biggest theme park operator was able to bring down losses for the first three months to Dh359.8 million against Dh564.63 million a year ago. But it will be the coming quarters that will give a true comparison, as the COVID-19 related closures become more apparent on the financials.
DXB Entertainments, which is currently at an advanced stage of its takeover by Dubai Holding entity Meraas, had first quarter revenues of Dh55.45 million, and down from the Dh100.24 million same time last year. Once the Meraas acquisition is done, the DXB Entertainments stock will be delisted.
Admission revenue for the first three months were Dh16.36 million, a steep drop from the Dh40 million plus from a year ago.
DXB Entertainments is the owner-operator of Dubai Parks and Resorts, one of the most popular theme park destinations in the region. At the end of the first quarter, the company’s total assets were valued at Dh7.02 billion, down on the Dh7.19 billion from a year ago.
Dubai’s biggest theme park operator was able to bring down losses for the first three months to Dh359.8 million against Dh564.63 million a year ago. But it will be the coming quarters that will give a true comparison, as the COVID-19 related closures become more apparent on the financials.
DXB Entertainments, which is currently at an advanced stage of its takeover by Dubai Holding entity Meraas, had first quarter revenues of Dh55.45 million, and down from the Dh100.24 million same time last year. Once the Meraas acquisition is done, the DXB Entertainments stock will be delisted.
Admission revenue for the first three months were Dh16.36 million, a steep drop from the Dh40 million plus from a year ago.
DXB Entertainments is the owner-operator of Dubai Parks and Resorts, one of the most popular theme park destinations in the region. At the end of the first quarter, the company’s total assets were valued at Dh7.02 billion, down on the Dh7.19 billion from a year ago.
ADCB secures freezing order on BR Shetty's assets | The National
ADCB secures freezing order on BR Shetty's assets | The National
Abu Dhabi Commercial Bank secured an asset freezing order against NMC Health founder BR Shetty and five UAE-based companies owned by him in the Abu Dhabi Global Market Courts.
The court ruling prohibits Mr Shetty from dealing in shares of five of his companies, grants a domestic freezing order on his assets and a worldwide freezing order on assets held by him and the five entities.
In granting the order, the judge Justice Andrew Smith ruled that Mr Shetty has control over the companies and "there is a substantial risk that he will 'dissipate' his own assets".
A spokesman for ADCB declined to comment on the ruling as legal action is ongoing. Mr Shetty did not respond to requests to comment.
Abu Dhabi Commercial Bank secured an asset freezing order against NMC Health founder BR Shetty and five UAE-based companies owned by him in the Abu Dhabi Global Market Courts.
The court ruling prohibits Mr Shetty from dealing in shares of five of his companies, grants a domestic freezing order on his assets and a worldwide freezing order on assets held by him and the five entities.
In granting the order, the judge Justice Andrew Smith ruled that Mr Shetty has control over the companies and "there is a substantial risk that he will 'dissipate' his own assets".
A spokesman for ADCB declined to comment on the ruling as legal action is ongoing. Mr Shetty did not respond to requests to comment.
#Saudi National Bank posts 20% rise in quarterly profit | Reuters
Saudi National Bank posts 20% rise in quarterly profit | Reuters
Saudi National Bank (SNB), the country’s biggest lender, posted a 20.3% rise in first-quarter net profit on Monday with lower impairments and higher fees, in a sign that the economy has been recovering from last year’s pandemic lockdowns.
SNB reported a net profit of 3.4 billion riyals ($907 million) for the quarter that ended on March 31, up from 2.8 billion riyals in the same period a year earlier.
EFG Hermes had forecast a net profit of 3.9 billion riyals.
The Saudi bank said total operating income increased by 8.8% mainly due to higher net special commission income, investment related income and higher fees from banking services.
SNB was created after the merger of Saudi Arabia’s biggest lender National Commercial Bank and Samba Financial Group.
Rating agency Moody’s said this month the merger would increase the group’s resilience against current operating environment pressures on the back of moderate oil prices, spread of coronavirus and reduced government spending.
Saudi National Bank (SNB), the country’s biggest lender, posted a 20.3% rise in first-quarter net profit on Monday with lower impairments and higher fees, in a sign that the economy has been recovering from last year’s pandemic lockdowns.
SNB reported a net profit of 3.4 billion riyals ($907 million) for the quarter that ended on March 31, up from 2.8 billion riyals in the same period a year earlier.
EFG Hermes had forecast a net profit of 3.9 billion riyals.
The Saudi bank said total operating income increased by 8.8% mainly due to higher net special commission income, investment related income and higher fees from banking services.
SNB was created after the merger of Saudi Arabia’s biggest lender National Commercial Bank and Samba Financial Group.
Rating agency Moody’s said this month the merger would increase the group’s resilience against current operating environment pressures on the back of moderate oil prices, spread of coronavirus and reduced government spending.
#UAE's Mubadala in talks to buy $1.1 bln stake in Israeli gas field | Reuters
UAE's Mubadala in talks to buy $1.1 bln stake in Israeli gas field | Reuters
Delek Drilling (DEDRp.TA) said on Monday it has signed a non-binding deal to sell its stake in the east Mediterranean natural gas field Tamar to Abu Dhabi's Mubadala Petroleum for $1.1 billion.
The deal, if finalised, would be among the most significant developments since Israel and the United Arab Emirates agreed to normalise ties last year.
The Tamar gas field is one of Israel's primary energy sources and is able to produce 11 billion cubic meters of gas each year. That is enough to cover much of the Israeli market as well as exports to Egypt and Jordan.
Delek Drilling, a unit of conglomerate Delek Group (DLEKG.TA), holds a 22% stake in the field, which is operated by Chevron (CVX.N).
Delek Drilling CEO Yossi Abu said the deal potentially marks a "strategic alignment in the Middle East, whereby natural gas becomes a source of collaboration in the region".
The aim was to try to complete the deal, which would require Israeli government approval, by the end of May, Delek said.
Mubadala Petroleum, a unit of Abu Dhabi government-owned Mubadala Investment Company, said the "proposed transaction is in line with our strategy of seeking high quality ... investments that strengthen our gas-biased portfolio in line with our energy transition targets".
Delek also holds a major stake in the even larger Leviathan gas field nearby and is selling its Tamar holdings to comply with government moves to open the market to more competition.
Delek Drilling (DEDRp.TA) said on Monday it has signed a non-binding deal to sell its stake in the east Mediterranean natural gas field Tamar to Abu Dhabi's Mubadala Petroleum for $1.1 billion.
The deal, if finalised, would be among the most significant developments since Israel and the United Arab Emirates agreed to normalise ties last year.
The Tamar gas field is one of Israel's primary energy sources and is able to produce 11 billion cubic meters of gas each year. That is enough to cover much of the Israeli market as well as exports to Egypt and Jordan.
Delek Drilling, a unit of conglomerate Delek Group (DLEKG.TA), holds a 22% stake in the field, which is operated by Chevron (CVX.N).
Delek Drilling CEO Yossi Abu said the deal potentially marks a "strategic alignment in the Middle East, whereby natural gas becomes a source of collaboration in the region".
The aim was to try to complete the deal, which would require Israeli government approval, by the end of May, Delek said.
Mubadala Petroleum, a unit of Abu Dhabi government-owned Mubadala Investment Company, said the "proposed transaction is in line with our strategy of seeking high quality ... investments that strengthen our gas-biased portfolio in line with our energy transition targets".
Delek also holds a major stake in the even larger Leviathan gas field nearby and is selling its Tamar holdings to comply with government moves to open the market to more competition.
#Qatar property demand skyrockets due to lower prices, relaxed ownership rules | ZAWYA MENA Edition
Qatar property demand skyrockets due to lower prices, relaxed ownership rules | ZAWYA MENA Edition
Demand for home ownership in Qatar, which had tens of thousands of properties vacant last year, has skyrocketed in recent months, with enquiries for buying residential units surging by 74 percent during the first three months of the year, according to Property Finder Qatar.
Sales listings for apartments and villas in the Gulf state have also surged by 33 percent and 60 percent, respectively, indicating that supply is still not running out.
The increase in demand for property may have been fuelled by lower prices, as well as the easing of rules on non-Qatari property ownership, Property Finder said in a statement.
Last October, it was announced that Qatar would increase the number of locations in which foreigners can acquire a property outright. Non-Qataris would be able to own homes in a total of nine locations, compared to just three before.
“There is a direct correlation and impact of the country’s new property ownership laws which were introduced late last year, as well as lowered prices in high-demand areas such as Al Erkyah City and West Bay,” Property Finder noted.
Demand for home ownership in Qatar, which had tens of thousands of properties vacant last year, has skyrocketed in recent months, with enquiries for buying residential units surging by 74 percent during the first three months of the year, according to Property Finder Qatar.
Sales listings for apartments and villas in the Gulf state have also surged by 33 percent and 60 percent, respectively, indicating that supply is still not running out.
The increase in demand for property may have been fuelled by lower prices, as well as the easing of rules on non-Qatari property ownership, Property Finder said in a statement.
Last October, it was announced that Qatar would increase the number of locations in which foreigners can acquire a property outright. Non-Qataris would be able to own homes in a total of nine locations, compared to just three before.
“There is a direct correlation and impact of the country’s new property ownership laws which were introduced late last year, as well as lowered prices in high-demand areas such as Al Erkyah City and West Bay,” Property Finder noted.
#AbuDhabi Commercial Bank targets 50% dividend payout as Q1 profit soars | ZAWYA MENA Edition
Abu Dhabi Commercial Bank targets 50% dividend payout as Q1 profit soars | ZAWYA MENA Edition
Abu Dhabi Commercial Bank (ADCB), which reported a more than five-fold increase in its first quarter 2021 net profit, said it is targeting a dividend payout ratio of 50 percent and is looking at over 1 billion UAE dirhams ($272 million) in cost synergy for this year.
In a statement on Sunday to the Abu Dhabi Securities Exchange where it is listed, the UAE’s third-largest lender said its net profit for the first three months soared to 1.121 billion dirhams.
Higher non-interest income of 802 million dirhams, up 17 percent on year, also contributed to the bottom line while operating expenses fell 20 per cent to 1.06 billion dirhams.
Impairment charges declined 63 percent to 704 million dirhams year-on-year.
In the corresponding period last year, the bank took a 1.072 billion dirhams hit in impairments on debt exposure to hospital operator NMC Health and payments group Finablr.
Abu Dhabi Commercial Bank (ADCB), which reported a more than five-fold increase in its first quarter 2021 net profit, said it is targeting a dividend payout ratio of 50 percent and is looking at over 1 billion UAE dirhams ($272 million) in cost synergy for this year.
In a statement on Sunday to the Abu Dhabi Securities Exchange where it is listed, the UAE’s third-largest lender said its net profit for the first three months soared to 1.121 billion dirhams.
Higher non-interest income of 802 million dirhams, up 17 percent on year, also contributed to the bottom line while operating expenses fell 20 per cent to 1.06 billion dirhams.
Impairment charges declined 63 percent to 704 million dirhams year-on-year.
In the corresponding period last year, the bank took a 1.072 billion dirhams hit in impairments on debt exposure to hospital operator NMC Health and payments group Finablr.
Oil falls 1% as India's COVID-19 surge dents demand outlook | Reuters
Oil falls 1% as India's COVID-19 surge dents demand outlook | Reuters
Oil prices fell more than 1% on Monday on fears that surging COVID-19 cases in India will dent fuel demand in the world’s third-biggest oil importer and as investors adjusted positions ahead of a planned increase in OPEC+ output from May.
Brent crude fell 72 cents, or 1.1%, to $65.39 a barrel by 0653 GMT, following a 1.1% rise on Friday. U.S. West Texas Intermediate (WTI) crude futures were down 67 cents, or 1.1%, at $61.47 a barrel, after rising 1.2% on Friday.
Both benchmark crudes fell about 1% last week.
“Market sentiment was dented on worries that surging number of COVID-19 cases in some countries, especially in India, will slash fuel demand,” Kazuhiko Saito, chief analyst at commodities broker Fujitomi Co.
India’s new coronavirus infections hit a record peak for a fifth day on Monday as countries including Britain, Germany and the United States pledged to send urgent medical aid to help battle the crisis overwhelming its hospitals.
Oil prices fell more than 1% on Monday on fears that surging COVID-19 cases in India will dent fuel demand in the world’s third-biggest oil importer and as investors adjusted positions ahead of a planned increase in OPEC+ output from May.
Brent crude fell 72 cents, or 1.1%, to $65.39 a barrel by 0653 GMT, following a 1.1% rise on Friday. U.S. West Texas Intermediate (WTI) crude futures were down 67 cents, or 1.1%, at $61.47 a barrel, after rising 1.2% on Friday.
Both benchmark crudes fell about 1% last week.
“Market sentiment was dented on worries that surging number of COVID-19 cases in some countries, especially in India, will slash fuel demand,” Kazuhiko Saito, chief analyst at commodities broker Fujitomi Co.
India’s new coronavirus infections hit a record peak for a fifth day on Monday as countries including Britain, Germany and the United States pledged to send urgent medical aid to help battle the crisis overwhelming its hospitals.
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