Rolls-Royce joins with #Qatar to pump billions into green start-ups in UK | Financial Times

Rolls-Royce joins with Qatar to pump billions into green start-ups in UK | Financial Times

Rolls-Royce is joining forces with Qatar to build a science and engineering campus in the UK to develop green technology start-ups, as the aero-engine group seeks to accelerate its drive towards net zero. 

The partnership would see the gas-rich Gulf state invest billions of pounds into the venture over the next 20 years, with the FTSE 100 company providing its manufacturing expertise and testing facilities, according to three people briefed on the talks. It could be unveiled as early as this week’s COP26 climate talks in Glasgow, said one person familiar with the talks. 

While the exact details of the partnership still need to be finalised, the ambition is to build five green engineering “unicorns” — start-up companies valued at $1bn or more — by 2030 and up to 20 by 2040. Additional investment will be sought from external investors including venture capital funds. 

“The Qataris are willing and able to invest. Given the climate crisis, you have to move at speed,” said the same person, comparing the plan to the government-backed network of catapult centres that link business and academia to develop research.

ADCB nine-month net profit climbs 36% on lower impairment charges

ADCB nine-month net profit climbs 36% on lower impairment charges

Abu Dhabi Commercial Bank, the UAE’s third-largest lender, reported an almost 36 per cent jump in its nine-month net profit thanks to lower impairment charges as the UAE economy continued to recover from the Covid-19 pandemic.

The total profit attributable to equity holders of the bank for the period ending September 30 climbed to Dh3.8 billion ($1.03bn), the lender said in a statement to the Abu Dhabi Securities Exchange, where its shares are traded. Impairment charges during the period dropped 35 per cent to Dh1.98bn, while net fees and commission income rose 24 per cent to Dh1.38bn.

“Despite the subdued macroeconomic conditions, the bank capitalised on an active lending pipeline and has extended Dh28bn in new credit this year to targeted economic sectors in line with our five-year growth strategy,” said Ala'a Eraiqat, ADCB's group chief executive.

#Saudi Aramco Investment News and Analysis After Earnings - Bloomberg

Saudi Aramco Investment News and Analysis After Earnings - Bloomberg

Investors buying Aramco shares in the hope that surging crude prices will encourage the company to follow other oil majors by boosting payouts are being disappointed.

While Dahran, Saudi Arabia-based Aramco, the world’s biggest crude producer, said Sunday third-quarter profit more than doubled to 114.1 billion riyals ($30.4 billion) from a year ago, there was no announcement on additional dividends.

After sliding in their first three months of 2020, the shares have since climbed above the level of the initial public offering of almost two years ago. But that’s cut the yield on Aramco stock to 3.7%, lower than peers such as Exxon Mobil Corp. and BP Plc.

The dividend plans remain “vague,” Bank of America analysts including Moscow-based Karen Kostanian wrote in a note last week. “Aramco’s current and future share-price trajectory will depend on its ability to utilize a window of opportunity to boost minority shareholder returns.”

#SaudiArabia posts third quarter budget surplus, first in over two years | Reuters

Saudi Arabia posts third quarter budget surplus, first in over two years | Reuters

Saudi Arabia recorded a budget surplus of 6.7 billion riyals ($1.79 billion) in the third quarter this year, as higher oil prices fuelled its first quarterly surplus in over two years.

The world's largest oil exporter saw revenues of 243.4 billion riyals in the quarter, with income from oil sales increased 60% to 147.9 billion riyals.

But non-oil revenue contracted 22% to 95.4 billion riyals, according to a finance ministry report that said quarterly public expenditure was down 8% year-on-year to 236.7 billion riyals.

It was the kingdom's first quarterly surplus since the first quarter in 2019, according to ministry data.

Most Gulf bourses in red; Aramco's Q3 profit surges | Reuters

Most Gulf bourses in red; Aramco's Q3 profit surges | Reuters

Most stock markets in the Gulf ended lower on Sunday, with the Saudi index extending losses for a third session as profit-taking continued after the main index reached multi-year highs.

Saudi Arabia's benchmark index (.TASI) fell 0.5%, weighed down by a 1.7% drop in petrochemical maker Saudi Basic Industries Corp (SABIC) (2010.SE), extending losses for a third session.

On Thursday, SABIC reported a net profit of 5.6 billion riyals ($1.49 billion), up from 1.1 billion riyals in the same period last year, but missed Refinitiv-compiled analysts' consensus estimate of 6.1 billion riyals. read more

But, Saudi Arabian state oil producer Aramco (2222.SE) finished 0.4% higher, following a sharp rise in quarterly earnings, boosted by higher crude oil prices and volumes sold, beating analysts forecasts. read more

Aramco's net income jumped to $30.4 billion for the third-quarter from $11.8 billion a year earlier.

The oil giant has risen over 8% this year to a market valuation of just over $2 trillion, a goal sought by de-facto Saudi leader Crown Prince Mohammed bin Salman before the company's initial public offering.

In Abu Dhabi, the index (.ADI) eased 0.1%, hit by a 1.7% fall in Alpha Dhabi Holding (ALPHADHABI.AD) and a 0.1% decrease in First Abu Dhabi Bank (FAB.AD), the country's largest lender.

Dubai's main share index (.DFMGI) edged 0.1% higher, helped by a 0.8% increase in blue-chip developer Emaar Properties (EMAR.DU) and a 10.4% surge in DAMAC Properties (DAMAC.DU).

On Thursday, DAMAC said its board had unanimously recommended minority shareholders accept founder Hussain Sajwani's offer to buy them out and delist the company.

If accepted, BlackRock, State Street and other minority shareholders will receive 1.4 dirham ($0.38) in exchange for each share that they hold, according to the offer.

Outside the Gulf, Egypt's blue-chip index (.EGX30) retreated 0.8%, after it advanced 1.3% in the previous session.

Meanwhile, Egypt's central bank kept its key interest rates unchanged during its monetary policy committee (MPC) meeting on Thursday.

Rolls Royce and #Qatar unite to create green start-ups fund worth billions | ZAWYA MENA Edition

Rolls Royce and Qatar unite to create green start-ups fund worth billions | ZAWYA MENA Edition

Qatar is set to join forces with Rolls Royce to launch a fund worth billions in investments in green engineering projects with a focus on an engineering hub in the UK with the potential for 10,000 jobs, The Sunday Times reported.

The UK broadsheet quoted sources close to the project reporting that a new science and engineering campus in the north of England would be built by the Middle Eastern state for start-ups to test and develop green technologies.

The target is to create five “unicorn” companies — start-ups worth $1 billion — by 2030 and up to 20 by 2040.

A sister campus would be built in Qatar.

The project will be one of the largest inward investments by a foreign state to the UK and the ST suggested an announcement could be made at the COP26 summit.

It is believed talks on the project have been underway for the best part of a year and venture capitalists and private equity firms are involved.

The article also stated that both Qatar and RR are also in talks with British universities to get involved in the project with a projected date of opening for 2023 and 1,000 jobs.

Indonesia and DP World Sign Deal for Port Developments - Bloomberg

Indonesia and DP World Sign Deal for Port Developments - Bloomberg

Indonesia’s newly established wealth fund signed an agreement with Dubai port operator DP World to develop seaports in Southeast Asia’s largest economy.

Under the agreement, Indonesia Investment Authority and DP World, one of the biggest global port operators, will form a consortium to explore long-term investment opportunities across the country, according to a joint statement on Sunday. A partnership with state port operator PT Pelabuhan Indonesia is among options that both parties say will bring economic value of up to $7.5 billion.

Indonesia, an archipelago with over 17,000 islands, considers marine logistics and seaports as a key support for the domestic economy, according to Ridha Wirakusumah, president director at the fund known as INA. The fund lets investors place money in sub-funds spanning infrastructure, healthcare, tourism, technology and the development of a new national capital city planned on the island of Kalimantan.

DP World recently announced a string of deals to become a more diversified and integrated logistics company. Its operations span from gateways in London and Antwerp to hubs in Africa, Russia, India and the Americas. The company, along with partner Caisse de dépôt et placement du Québec, signed a port and logistics park agreement with Indonesia’s Maspion Group in March.

European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #Israel #SaudiArabia #Qatar close

European, Middle Eastern & African Stocks - Bloomberg #UAE #Kuwait #Israel #SaudiArabia #Qatar close

#Saudi Deal to Allow Foreigner Access to Debt - Bloomberg video

Saudi Deal to Allow Foreigner Access to Debt - Bloomberg

Doug Bitcon, Head of Credit Strategies at Rasmala Investment Bank, discusses the Saudi deal with Euroclear to allow foreigner access to debt and where Saudi's government bonds fit into investment strategies. He speaks with Yousef Gamal El-Din on "Bloomberg Daybreak: Middle East."

What Is Neom? #SaudiArabia Starts Building Futuristic Linear City - Bloomberg

What Is Neom? Saudi Arabia Starts Building Futuristic Linear City - Bloomberg

Saudi Arabia has started moving earth and tunneling through mountains to build a futuristic linear city that officials hope will host its first residents in 2024, the project’s chief executive said.

Employees are still developing regional master plans and a “founding law” for the mega-project called Neom, Nadhmi Al-Nasr said in an interview in Riyadh. But they’ve already started early infrastructure work on its main feature -- a 170-kilometer (105-mile) long car-free city called “The Line” that could begin welcoming inhabitants and tourists as early as the first quarter of 2024, he said.

“It’s a huge undertaking,” Al-Nasr said in an interview with Bloomberg TV, estimating that “not even 1%” of the work needed to plan and build the linear city is complete. “Today if you go to Neom you will see construction all over, you will see earthworks going on all over, you will see regions that are being developed,” he said.

Announced in 2017, Neom is the crown jewel of Crown Prince Mohammed bin Salman’s program to overhaul the economy of the world’s largest oil exporter. His plans to turn the remote region on the kingdom’s northwest Red Sea coast into a futuristic tech hub encapsulates the major elements of his so-called “Vision 2030” to diversify away from crude, loosen social restrictions and boost investment.

Yalla Showed Promise as #UAE’s First Tech Unicorn. Then Came the Short Sellers - Bloomberg

Yalla Showed Promise as #UAE’s First Tech Unicorn. Then Came the Short Sellers - Bloomberg

It was hailed as the first tech unicorn from the United Arab Emirates in its debut on the New York Stock Exchange and touted as the “Clubhouse of the Middle East.”

But these days, Yalla Group Ltd., a voice-chat startup based out of Dubai, might be earning a less flattering label: stock-market bust.

After a fivefold surge in the months following its initial public offering last year, Yalla — a Chinese-backed social network based in the United Arab Emirates that means “Let’s Go” in Arabic — has given up all its gains and then some. Since peaking at over $40 in February, Yalla has lost more than 80% of its market value. Its American depositary receipts, which debuted at $7.50, are now consistently below $7 and hit an all-time low of $6.26 this past week.

This is quite a comedown for a company once feted by Dubai’s ruler Sheikh Mohammed bin Rashid Al Maktoum, drew comparisons to the buzzy Silicon Valley startup Clubhouse and even garnered a small stake from billionaire Steve Cohen’s hedge fund. But as the once red-hot, live-audio chatroom space cools, the company’s spectacular growth has come under scrutiny.

#Saudi Aramco's quarterly profit surges on oil price, volumes | Reuters

Saudi Aramco's quarterly profit surges on oil price, volumes | Reuters

Saudi Arabian state oil producer Aramco (2222.SE) said on Sunday its third-quarter net profit more than doubled, boosted by higher crude oil prices and volumes sold, beating analysts' forecasts.

The oil giant's best quarterly earnings since its listing in December 2019 was fuelled by the strongest quarterly average crude prices since its shares began trading.

Aramco shares were up 1% in early trade after the company disclosed its results and have risen about 9% this year to a market valuation of just over $2 trillion, a goal sought by de-facto Saudi leader Crown Prince Mohammed bin Salman before the company's initial public offering.

Aramco's net income jumped to $30.4 billion for the quarter to Sept. 30 from $11.8 billion a year earlier, it said in a bourse filing. That was above the median net profit forecast of $28.4 billion from four analysts.

Major Gulf bourses mixed in early trade | Reuters

Major Gulf bourses mixed in early trade | Reuters

Major stock markets in the Gulf were mixed in early trade on Sunday, with the Saudi index on track to end a four-day losing streak.

Oil prices settled higher on Friday, supported by expectations that the Organization of the Petroleum Exporting Countries, Russia and their allies, known as OPEC+, would maintain production cuts.

OPEC+ forecasts are still higher than those of the International Energy Agency (IEA), which expects oil demand to grow by 5.5 million bpd in 2021 and 3.3 million bpd in 2022.

Saudi Arabia's benchmark index (.TASI) added 0.2%, with Al Rajhi Bank (1120.SE) rising 0.4%. Oil behemoth Saudi Aramco (2222.SE) gained more than 1%, following a sharp rise in quarterly earnings, boosted by higher crude oil prices and volumes sold, beating analysts forecasts.

Aramco's net income jumped to $30.4 billion for the third-quarter from $11.8 billion a year earlier.

The kingdom intends to bid to host the Expo 2030 world fair, Saudi Crown Prince Mohammed bin Salman said on Friday, part of the de facto ruler's push to transform the kingdom's economy and diversify it away from oil. read more

In Abu Dhabi, the index (.ADI) added 0.3%, helped by a 1.2% rise in conglomerate International Holding (IHC.AD) and a 0.7% increase in Aldar Properties (ALDAR.AD).

Dubai's main share index (.DFMGI) lost 0.3%, weighed down by a 0.7% fall in Emirates NBD Bank (ENBD.DU).

However, the index's losses were limited by a 8.8% surge in developer DAMAC Properties (DAMAC.DU).

On Thursday, DAMAC said its board had unanimously recommended minority shareholders accept founder Hussain Sajwani's offer to buy them out and delist the company.

If the recommendation is accepted, BlackRock, State Street and other minority shareholders will receive 1.4 dirhams ($0.3812) in exchange for each share that they hold, according to the offer.

The Qatari index (.QSI) fell 0.3%, with petrochemical maker Industries Qatar (IQCD.QA) losing 1.3% and Qatar National Bank (QNBK.QA) retreating 1.2%.