Oil slides over 2% from 7-year high on more U.S.-Iran talks | Reuters
Oil slid more than 2% on Tuesday from recent seven-year highs as the resumption of indirect talks between the United States and Iran could revive an international nuclear agreement and allow more oil exports from the OPEC producer.
A deal could return more than 1 million barrels per day (bpd) of Iranian oil to the market, boosting global supply by about 1%. The nuclear talks resumed in Vienna on Tuesday. read more
Brent futures fell $1.91, or 2.1%, to settle at $90.78 a barrel, while U.S. West Texas Intermediate (WTI) crude fell $1.96, or 2.1%, to settle at $89.36.
Both benchmarks, however, face extreme backwardation in coming months. Futures for Brent and WTI through July were in what Robert Yawger, executive director of energy futures at Mizuho, called "super-backwardation" with each month trading at least $1 a barrel below the prior month.
Tuesday 8 February 2022
#AbuDhabi Global Market makes it easier for private investors to tap capital markets | Markets – Gulf News
Abu Dhabi Global Market makes it easier for private investors to tap capital markets | Markets – Gulf News
The Financial Services Regulatory Authority at Abu Dhabi Global Market (ADGM) has updated its regulatory framework to enable a greater degree of participation by investors and private enterprises seeking funding. The move aims to “support the continued development of private capital markets”.
Access to investments in private markets was, until now, limited to professional investors, which was compounded by the “absence of an organised market for such investments which resulted in illiquidity”. But, with easy availability of digital assets and tokenised securities, private capital markets have become accessible to investors seeking smaller funding. Plus, private enterprises will have more efficient access to raising capital, while “permitting such investments to be traded and - therefore - become more liquid”.
The private capital markets framework (PCM framework) promotes broader participation in this area, thereby leading to greater liquidity, through technology platforms. It allows private enterprises to raise capital from professional clients alongside a limited number of non-professional clients, the latter group being required to have relevant investment knowledge and experience, without the need to ‘go public’ and issue a prospectus.
It also allows securities issued through the framework to trade on technology platforms among professional clients and qualifying non-professional clients.
Notably, the PCM framework is available to serve larger private start-up companies seeking to significantly scale up and expand their operations but do not yet wish to tap the public equity capital markets through an IPO.
According to Emmanuel Givanakis, CEO of FSRA, “The private capital markets framework… will help support and bolster the growth of enterprises, while providing greater investor choices, and ultimately contributing to the growth and diversification of the economy of Abu Dhabi, the UAE, and the broader region. It complements our existing regulatory regime for private financing platform operators that enables early stage start-ups to seek funding from angel and venture capital investors. Collectively, our regulatory framework caters to the funding needs of a wide range of companies at different stages of their growth cycle.”
The Financial Services Regulatory Authority at Abu Dhabi Global Market (ADGM) has updated its regulatory framework to enable a greater degree of participation by investors and private enterprises seeking funding. The move aims to “support the continued development of private capital markets”.
Access to investments in private markets was, until now, limited to professional investors, which was compounded by the “absence of an organised market for such investments which resulted in illiquidity”. But, with easy availability of digital assets and tokenised securities, private capital markets have become accessible to investors seeking smaller funding. Plus, private enterprises will have more efficient access to raising capital, while “permitting such investments to be traded and - therefore - become more liquid”.
The private capital markets framework (PCM framework) promotes broader participation in this area, thereby leading to greater liquidity, through technology platforms. It allows private enterprises to raise capital from professional clients alongside a limited number of non-professional clients, the latter group being required to have relevant investment knowledge and experience, without the need to ‘go public’ and issue a prospectus.
It also allows securities issued through the framework to trade on technology platforms among professional clients and qualifying non-professional clients.
Notably, the PCM framework is available to serve larger private start-up companies seeking to significantly scale up and expand their operations but do not yet wish to tap the public equity capital markets through an IPO.
According to Emmanuel Givanakis, CEO of FSRA, “The private capital markets framework… will help support and bolster the growth of enterprises, while providing greater investor choices, and ultimately contributing to the growth and diversification of the economy of Abu Dhabi, the UAE, and the broader region. It complements our existing regulatory regime for private financing platform operators that enables early stage start-ups to seek funding from angel and venture capital investors. Collectively, our regulatory framework caters to the funding needs of a wide range of companies at different stages of their growth cycle.”
Watch Haque: #UAE Corp. Tax is Natural Step in Fiscal Reform - Bloomberg video
Watch Haque: #UAE Corp. Tax is Natural Step in Fiscal Reform - Bloomberg video
A new tax on corporate profits will help the United Arab Emirates diversify away from oil, and support the smaller sheikhdoms that make up the Gulf nation according to S&P Global Ratings. Khatija Haque, Chief Economist and Head of Research at Emirates NBD, discusses the 9% business tax and gives an overview of inflation in the UAE. She speaks with Yousef Gamal El-Din and Manus Cranny on "Bloomberg Daybreak: Middle East." (Source: Bloomberg)
#Dubai Islamic Bank sells $750 million in senior sukuk | Reuters
Dubai Islamic Bank sells $750 million in senior sukuk | Reuters
Dubai Islamic Bank (DISB.DU), the United Arab Emirates' largest Islamic lender, sold $750 million in five-year senior unsecured sukuk on Tuesday after the debt sale drew more than $1.6 billion in orders, a bank document showed.
The bonds launched at 95 basis points (bps) over U.S. Treasuries, tightened from initial guidance of around 120 bps over, the document from one of the banks on the deal showed.
Bank ABC (ABCB.BH), Dubai Islamic Bank, Emirates NBD Capital (ENBD.DU), First Abu Dhabi Bank (FAB.AD), KFH Capital (KFH.KW), HSBC (HSBA.L), Sharjah Islamic Bank (SIB.AD), Standard Chartered (STAN.L) and The Islamic Corporation for the Development of the Private Sector are arranging the deal.
Dubai Islamic Bank (DISB.DU), the United Arab Emirates' largest Islamic lender, sold $750 million in five-year senior unsecured sukuk on Tuesday after the debt sale drew more than $1.6 billion in orders, a bank document showed.
The bonds launched at 95 basis points (bps) over U.S. Treasuries, tightened from initial guidance of around 120 bps over, the document from one of the banks on the deal showed.
Bank ABC (ABCB.BH), Dubai Islamic Bank, Emirates NBD Capital (ENBD.DU), First Abu Dhabi Bank (FAB.AD), KFH Capital (KFH.KW), HSBC (HSBA.L), Sharjah Islamic Bank (SIB.AD), Standard Chartered (STAN.L) and The Islamic Corporation for the Development of the Private Sector are arranging the deal.
Oil slides 2% from 7-year high on more U.S.- #Iran talks | Reuters
Oil slides 2% from 7-year high on more U.S.-Iran talks | Reuters
Oil slid about 2% on Tuesday as investors worried the resumption of indirect talks between the United States and Iran could revive an international nuclear agreement and allow more oil exports from the OPEC producer.
A deal could return more than 1 million barrels per day (bpd) of Iranian oil to the market, boosting global supply by about 1%. The nuclear talks resumed in Vienna on Tuesday. read more
Brent futures fell $1.78, or 1.9%, to $90.91 a barrel by 1:20 p.m. EST (1820 GMT), while U.S. West Texas Intermediate (WTI) crude fell $1.71, or 1.9%, to $89.61.
On Monday, Brent rose to $94 a barrel, its highest since October 2014. WTI hit $93.17 on Friday, its highest since September 2014.
"The U.S. government is attempting to tame oil prices by urgently negotiating a new nuclear agreement with Iran," said Louise Dickson, senior oil markets analyst at Rystad Energy.
Oil slid about 2% on Tuesday as investors worried the resumption of indirect talks between the United States and Iran could revive an international nuclear agreement and allow more oil exports from the OPEC producer.
A deal could return more than 1 million barrels per day (bpd) of Iranian oil to the market, boosting global supply by about 1%. The nuclear talks resumed in Vienna on Tuesday. read more
Brent futures fell $1.78, or 1.9%, to $90.91 a barrel by 1:20 p.m. EST (1820 GMT), while U.S. West Texas Intermediate (WTI) crude fell $1.71, or 1.9%, to $89.61.
On Monday, Brent rose to $94 a barrel, its highest since October 2014. WTI hit $93.17 on Friday, its highest since September 2014.
"The U.S. government is attempting to tame oil prices by urgently negotiating a new nuclear agreement with Iran," said Louise Dickson, senior oil markets analyst at Rystad Energy.
Airbus revokes more plane orders in #Qatar dispute | Reuters
Airbus revokes more plane orders in Qatar dispute | Reuters
A $600 million contractual and safety dispute between Airbus (AIR.PA) and Qatar Airways deepened on Tuesday when the European planemaker revoked orders for two A350-1000 jets, days after ripping up an order from the Gulf carrier for 50 A321neos.
Qatar Airways has sued Airbus for more than $600 million and is refusing to take delivery of further A350s until its regulator receives a formal analysis of erosion to the painted surface and underlying lightning protection on 21 of the jets.
Airbus, which has two completed A350s ready for delivery to Qatar Airways, has said it has provided the necessary information on the problem of surface degradation and that the damage does not amount to a safety issue.
The planemaker said in a UK court filing last month that it was declaring Qatar Airways in default on two A350 jets that were completed and ready to be delivered.
A $600 million contractual and safety dispute between Airbus (AIR.PA) and Qatar Airways deepened on Tuesday when the European planemaker revoked orders for two A350-1000 jets, days after ripping up an order from the Gulf carrier for 50 A321neos.
Qatar Airways has sued Airbus for more than $600 million and is refusing to take delivery of further A350s until its regulator receives a formal analysis of erosion to the painted surface and underlying lightning protection on 21 of the jets.
Airbus, which has two completed A350s ready for delivery to Qatar Airways, has said it has provided the necessary information on the problem of surface degradation and that the damage does not amount to a safety issue.
The planemaker said in a UK court filing last month that it was declaring Qatar Airways in default on two A350 jets that were completed and ready to be delivered.
Oil slips from seven-year high ahead of more U.S.-Iran talks | Reuters
Oil slips from seven-year high ahead of more U.S.-Iran talks | Reuters
Brent crude was down $1.76, or 1.9%, at $90.93 a barrel by 1315 GMT after hitting a seven-year high of $94 on Monday. U.S. West Texas Intermediate crude fell $1.67, or 1.8%, to $89.65.
Both benchmarks have found support this year from rising global demand, Russia-Ukraine tensions, supply disruptions in producers such as Libya and a slow easing of 2020's record output cuts by OPEC and its allies.
Prices were also dented on Tuesday by comments from French President Emmanuel Macron, who said his meeting with Russian counterpart Vladimir Putin had helped to prevent a worsening of the Ukraine crisis.
Oil also came under pressure from the prospect of an increase in U.S. crude inventories. Analysts estimate that inventories rose by 700,000 barrels in the week to Feb. 4.
Brent crude was down $1.76, or 1.9%, at $90.93 a barrel by 1315 GMT after hitting a seven-year high of $94 on Monday. U.S. West Texas Intermediate crude fell $1.67, or 1.8%, to $89.65.
Both benchmarks have found support this year from rising global demand, Russia-Ukraine tensions, supply disruptions in producers such as Libya and a slow easing of 2020's record output cuts by OPEC and its allies.
Prices were also dented on Tuesday by comments from French President Emmanuel Macron, who said his meeting with Russian counterpart Vladimir Putin had helped to prevent a worsening of the Ukraine crisis.
Oil also came under pressure from the prospect of an increase in U.S. crude inventories. Analysts estimate that inventories rose by 700,000 barrels in the week to Feb. 4.
Major Gulf bourses end mixed in trade; #Dubai index ends up 0.8% | Reuters
Major Gulf bourses end mixed in trade; Dubai index ends up 0.8% | Reuters
Stock markets in the Middle East ended mixed on Tuesday, with a retreat in oil prices weighing on energy-heavy indexes, but the easing of geopolitical tensions helping other markets, with while Dubai's main index marking its best day in 10 sessions.
Brent crude was off Monday's seven-year high at $94, trading at $90.67 by 1110 GMT, ahead of the resumption of indirect talks between the United States and Iran, which may revive a nuclear agreement that could eventually allow more oil exports from the OPEC producer.
Dubai's main share index (.DFMGI) ended 0.77% higher, in its biggest daily percentage gain since Jan 28.
In Abu Dhabi, the index (.FTFADGI) closed up 0.5% in its third straight session of gains, with the country's largest lender First Abu Dhabi Bank (FAB.AD) climbing 0.6%.
Abu Dhabi's AD Ports Group (ADPORTS.AD) opened at 3.5 dirhams a share in its debut on the Abu Dhabi Securities Exchange on Tuesday. Shares closed up 3.4%. read more
Shares of IHC , which bought a 7.4% stake in Abu Dhabi Ports for 1.2 million dirhams, rose 1.5%.
Saudi Arabia's benchmark index (.TASI) fell 0.2%, with financial and materials weighing on sentiment.
Shares of retailer Fawaz Abdulaziz Alhokair (4240.SE) ended 0.5% higher, having gained as much as 3.5%, after the company posted a quarterly profit on Monday.
Outside the Gulf, Egypt's blue-chip index (.EGX30) dropped 0.2% in its second straight session of losses.
Fawry for Banking Technology and Electronic Payment SAE and Madinet Nasr for Housing and Development SAE (MNHD.CA) were the top percentage losers on the index.
Stock markets in the Middle East ended mixed on Tuesday, with a retreat in oil prices weighing on energy-heavy indexes, but the easing of geopolitical tensions helping other markets, with while Dubai's main index marking its best day in 10 sessions.
Brent crude was off Monday's seven-year high at $94, trading at $90.67 by 1110 GMT, ahead of the resumption of indirect talks between the United States and Iran, which may revive a nuclear agreement that could eventually allow more oil exports from the OPEC producer.
Dubai's main share index (.DFMGI) ended 0.77% higher, in its biggest daily percentage gain since Jan 28.
In Abu Dhabi, the index (.FTFADGI) closed up 0.5% in its third straight session of gains, with the country's largest lender First Abu Dhabi Bank (FAB.AD) climbing 0.6%.
Abu Dhabi's AD Ports Group (ADPORTS.AD) opened at 3.5 dirhams a share in its debut on the Abu Dhabi Securities Exchange on Tuesday. Shares closed up 3.4%. read more
Shares of IHC , which bought a 7.4% stake in Abu Dhabi Ports for 1.2 million dirhams, rose 1.5%.
Saudi Arabia's benchmark index (.TASI) fell 0.2%, with financial and materials weighing on sentiment.
Shares of retailer Fawaz Abdulaziz Alhokair (4240.SE) ended 0.5% higher, having gained as much as 3.5%, after the company posted a quarterly profit on Monday.
Outside the Gulf, Egypt's blue-chip index (.EGX30) dropped 0.2% in its second straight session of losses.
Fawry for Banking Technology and Electronic Payment SAE and Madinet Nasr for Housing and Development SAE (MNHD.CA) were the top percentage losers on the index.
#AbuDhabi Ports Group's FY 2021 profit more than doubles to $230mln | ZAWYA MENA Edition
Abu Dhabi Ports Group's FY 2021 profit more than doubles to $230mln | ZAWYA MENA Edition
Net profit of Abu Dhabi Ports Group more than doubled to 845 million dirhams ($230 million) in 2021, compared to 397 million dirhams in 2020.
The company’s revenue grew 14 percent year-on-year (y-o-y) to 3.9 billion dirhams compared with 3.4 billion dirhams in 2020, driven by volume growth, business diversification and new partnerships.
EBITDA came in at 1.6 billion dirhams during 2021, up from 1.5 dirhams billion in 2020, the company, which operates ports, logistics and industrial zones, said in a statement.
General cargo volumes rose to highest recorded annual levels achieved by AD Ports Group of 45 million metric tonnes in 2021, up from 30 million metric tonnes in 2020, while industrial zones leased 3 million sqm of land during the period.
Net profit of Abu Dhabi Ports Group more than doubled to 845 million dirhams ($230 million) in 2021, compared to 397 million dirhams in 2020.
The company’s revenue grew 14 percent year-on-year (y-o-y) to 3.9 billion dirhams compared with 3.4 billion dirhams in 2020, driven by volume growth, business diversification and new partnerships.
EBITDA came in at 1.6 billion dirhams during 2021, up from 1.5 dirhams billion in 2020, the company, which operates ports, logistics and industrial zones, said in a statement.
General cargo volumes rose to highest recorded annual levels achieved by AD Ports Group of 45 million metric tonnes in 2021, up from 30 million metric tonnes in 2020, while industrial zones leased 3 million sqm of land during the period.
Oil slips from seven-year high ahead of more U.S.-Iran talks | Reuters
Oil slips from seven-year high ahead of more U.S.-Iran talks | Reuters
Brent crude was down $2.02, or 2.2%, at $90.67 a barrel by 1110 GMT after hitting a seven-year high of $94 on Monday. U.S. West Texas Intermediate crude fell $1.60, or 1.8%, to $89.72.
Both benchmarks have found support this year from rising global demand, Russia-Ukraine tensions, supply disruptions in producers such as Libya and a slow easing of 2020's record output cuts by OPEC and its allies.
Prices were also dented on Tuesday by comments from French President Emmanuel Macron, who said his meeting with Russian counterpart Vladimir Putin had helped to prevent a worsening of the Ukraine crisis.
Oil also came under pressure from the prospect of an increase in U.S. crude inventories. Analysts estimate that inventories rose by 700,000 barrels in the week to Feb. 4.
Brent crude was down $2.02, or 2.2%, at $90.67 a barrel by 1110 GMT after hitting a seven-year high of $94 on Monday. U.S. West Texas Intermediate crude fell $1.60, or 1.8%, to $89.72.
Both benchmarks have found support this year from rising global demand, Russia-Ukraine tensions, supply disruptions in producers such as Libya and a slow easing of 2020's record output cuts by OPEC and its allies.
Prices were also dented on Tuesday by comments from French President Emmanuel Macron, who said his meeting with Russian counterpart Vladimir Putin had helped to prevent a worsening of the Ukraine crisis.
Oil also came under pressure from the prospect of an increase in U.S. crude inventories. Analysts estimate that inventories rose by 700,000 barrels in the week to Feb. 4.
#UAE's MIPCO to issue over $1 billion bonds for refinancing, desalination project -Al Arabiya | Reuters
UAE's MIPCO to issue over $1 billion bonds for refinancing, desalination project -Al Arabiya | Reuters
Mirfa International Power and Water Company (MIPCO), majority owned by Abu Dhabi's TAQA, is planning a bond sale of more than $1 billion to refinance debt and begin a new phase of a desalination project, Al Arabiya reported on Tuesday citing sources.
MIPCO may use a financing framework similar to that adopted by Abu Dhabi solar energy firm Sweihan PV Power Company, which raised $700.8 million through a sale of amortising green bonds last month, Al Arabiya said.
The bonds will refinance a $1.2 billion seven-year loan taken in 2014 to fund the MIPCO project, with the proceeds also financing the second phase of the project, the Saudi-owned news channel said.
MIPCO did not immediately respond to an emailed request for comment.
Mirfa International Power and Water Company (MIPCO), majority owned by Abu Dhabi's TAQA, is planning a bond sale of more than $1 billion to refinance debt and begin a new phase of a desalination project, Al Arabiya reported on Tuesday citing sources.
MIPCO may use a financing framework similar to that adopted by Abu Dhabi solar energy firm Sweihan PV Power Company, which raised $700.8 million through a sale of amortising green bonds last month, Al Arabiya said.
The bonds will refinance a $1.2 billion seven-year loan taken in 2014 to fund the MIPCO project, with the proceeds also financing the second phase of the project, the Saudi-owned news channel said.
MIPCO did not immediately respond to an emailed request for comment.
Middle Eastern Oil Sees Strong Start as Crude Benchmarks Diverge - Bloomberg
Middle Eastern Oil Sees Strong Start as Crude Benchmarks Diverge - Bloomberg
Crudes from the Middle East are off to a strong start this month as a major divergence in global benchmarks favors grades priced off Dubai oil, highlighting strong global demand at a time of surging prices.
Oman crude for loading in April was pegged at about $4 a barrel over Dubai prices, according to Bloomberg estimates. That’s up from late last month, when premiums averaged about $2.70. Interest in Dubai-linked cargoes has risen given their discount to benchmarks such as Brent and West Texas Intermediate, which most European and American grades are priced off, traders said.
Oil futures have soared to the highest level in seven years in the opening weeks of 2022, building on last year’s rally, as energy consumption recovers from the impact of the pandemic. In mid-December Brent, the most important global oil benchmark, was about $2.50 barrel more expensive than Dubai crude swaps; now that’s expanded to more than $4.50. The widening differential offers Middle Eastern crudes an edge in increasingly buoyant market.
Crudes from the Middle East are off to a strong start this month as a major divergence in global benchmarks favors grades priced off Dubai oil, highlighting strong global demand at a time of surging prices.
Oman crude for loading in April was pegged at about $4 a barrel over Dubai prices, according to Bloomberg estimates. That’s up from late last month, when premiums averaged about $2.70. Interest in Dubai-linked cargoes has risen given their discount to benchmarks such as Brent and West Texas Intermediate, which most European and American grades are priced off, traders said.
Oil futures have soared to the highest level in seven years in the opening weeks of 2022, building on last year’s rally, as energy consumption recovers from the impact of the pandemic. In mid-December Brent, the most important global oil benchmark, was about $2.50 barrel more expensive than Dubai crude swaps; now that’s expanded to more than $4.50. The widening differential offers Middle Eastern crudes an edge in increasingly buoyant market.
Oil Producer Adnoc Mulls Green Bond as Gulf Firms Seek ESG Funds - Bloomberg
Oil Producer Adnoc Mulls Green Bond as Gulf Firms Seek ESG Funds - Bloomberg
Abu Dhabi’s state oil producer is considering a sale of green bonds for the first time, according to people with knowledge of the matter, as companies and governments in the Persian Gulf increasingly look to tap investors in sustainable assets.
Abu Dhabi National Oil Co. is speaking to banks about a possible green issuance, the people said. The company, which pumps almost all the crude in the United Arab Emirates, may opt instead for sustainability-linked bonds, which provide more flexibility than green bonds because they’re not tied to specific projects, said the people.
The company declined to comment. Adnoc’s discussions are separate from its plans to raise about $3 billion to $5 billion from conventional bonds this year, the people said.
Abu Dhabi’s state oil producer is considering a sale of green bonds for the first time, according to people with knowledge of the matter, as companies and governments in the Persian Gulf increasingly look to tap investors in sustainable assets.
Abu Dhabi National Oil Co. is speaking to banks about a possible green issuance, the people said. The company, which pumps almost all the crude in the United Arab Emirates, may opt instead for sustainability-linked bonds, which provide more flexibility than green bonds because they’re not tied to specific projects, said the people.
The company declined to comment. Adnoc’s discussions are separate from its plans to raise about $3 billion to $5 billion from conventional bonds this year, the people said.
#Dubai's SHUAA Capital files with SEC for potential SPAC listing in NY | Reuters
Dubai's SHUAA Capital files with SEC for potential SPAC listing in NY | Reuters
Dubai-listed investment bank SHUAA Capital said on Tuesday it has filed a registration statement with the U.S. Securities and Exchange Commission for the launch of a $100 million to $200 million blank-check company that will be listed on the Nasdaq.
"SHUAA is now going through the final regulatory approvals following which a decision will be made to IPO the SPAC (special purpose acquisition company)," it said in a bourse statement.
A burgeoning dealmaking instrument, SPACs raise money to acquire a private firm with the purpose of taking it public, allowing the target to list more quickly on share markets than via traditional initial public offerings.
Abu Dhabi-headquartered Anghami, the Middle East's rival to Spotify (SPOT.N), last week listed on the Nasdaq, after merging with blank-check firm Vistas Media Acquisition Company.
Dubai-listed investment bank SHUAA Capital said on Tuesday it has filed a registration statement with the U.S. Securities and Exchange Commission for the launch of a $100 million to $200 million blank-check company that will be listed on the Nasdaq.
"SHUAA is now going through the final regulatory approvals following which a decision will be made to IPO the SPAC (special purpose acquisition company)," it said in a bourse statement.
A burgeoning dealmaking instrument, SPACs raise money to acquire a private firm with the purpose of taking it public, allowing the target to list more quickly on share markets than via traditional initial public offerings.
Abu Dhabi-headquartered Anghami, the Middle East's rival to Spotify (SPOT.N), last week listed on the Nasdaq, after merging with blank-check firm Vistas Media Acquisition Company.
Abu Dhabi Ports Surges on Debut After $1.1 Billion Share Sale - Bloomberg
Abu Dhabi Ports Surges on Debut After $1.1 Billion Share Sale - Bloomberg
Abu Dhabi Ports rose as much as 17% on its trading debut after a 4 billion dirham ($1.1 billion) share sale, underscoring the strong demand for new listings in the Middle East even as deals from the U.S. to Europe struggle.
The port operator climbed to 3.75 dirhams on Tuesday, up from the offer price of 3.20, before paring gains to 3.61 by 1:10 p.m. in Abu Dhabi. The company, controlled by Abu Dhabi sovereign wealth fund ADQ, sold 1.25 billion shares.
The Middle East enjoyed a boom in initial public offerings last year, as rising oil prices and an easing of coronavirus restrictions fueled investor hunger for equities. Bankers are expecting that to continue in 2022, even as spiking volatility causes companies in other markets to postpone deals.
Abu Dhabi, the wealthiest of the United Arab Emirates’ seven sheikhdoms, saw its IPO market rebound to life in 2021 after a four-year lull. It has offered sweeteners that include flexibility on the minimum stake size required for share sales and promises to reduce or forgo listing fees.
In December, the emirate launched a 5 billion dirham-IPO fund to invest in private-sector companies looking to list on the bourse.
Abu Dhabi Ports rose as much as 17% on its trading debut after a 4 billion dirham ($1.1 billion) share sale, underscoring the strong demand for new listings in the Middle East even as deals from the U.S. to Europe struggle.
The port operator climbed to 3.75 dirhams on Tuesday, up from the offer price of 3.20, before paring gains to 3.61 by 1:10 p.m. in Abu Dhabi. The company, controlled by Abu Dhabi sovereign wealth fund ADQ, sold 1.25 billion shares.
The Middle East enjoyed a boom in initial public offerings last year, as rising oil prices and an easing of coronavirus restrictions fueled investor hunger for equities. Bankers are expecting that to continue in 2022, even as spiking volatility causes companies in other markets to postpone deals.
Abu Dhabi, the wealthiest of the United Arab Emirates’ seven sheikhdoms, saw its IPO market rebound to life in 2021 after a four-year lull. It has offered sweeteners that include flexibility on the minimum stake size required for share sales and promises to reduce or forgo listing fees.
In December, the emirate launched a 5 billion dirham-IPO fund to invest in private-sector companies looking to list on the bourse.
Most major Gulf bourses rise in early trade | Reuters
Most major Gulf bourses rise in early trade | Reuters
Stock markets in the Middle East rose in early trade on Tuesday, with Dubai's main index up 0.3%, as oil prices hovered around seven-year highs.
Brent crude was trading lower at $92.55 a barrel by 0347 GMT, after hitting a seven-year high of $94 on Monday, ahead of the resumption of indirect talks between the United States and Iran which may revive a nuclear deal that could lead to the removal of sanctions on Iranian oil sales, increasing global supplies.
Across the globe, Asian shares reversed early gains as markets wait for U.S inflation data that could influence how fast the Federal Reserve raises interest rates.
Saudi Arabia's benchmark index (.TASI) was trading flat, with financial and energy stocks gaining ground.
Shares of retailer Fawaz Abdulaziz Alhokair (4240.SE) rose 3.5% after the company posted a quarterly profit on Monday.
Dubai's main share index (.DFMGI) was trading 0.3% higher, driven by index heavyweight Emaar Properties (EMAR.DU).
In Abu Dhabi, the index (.FTFADGI) rose 0.2% in its third straight session of gains, with the country's largest lender First Abu Dhabi Bank (FAB.AD) climbing 0.4%.
Abu Dhabi's AD Ports Group (ADPORTS.AD) opened at 3.5 dirhams a share in its debut on the Abu Dhabi Securities Exchange on Tuesday. Shares were last up 5.7%. read more
Shares of IHC, which bought a 7.4% stake in Abu Dhabi Ports for 1.2 million dirhams, were up 0.5%.
Stock markets in the Middle East rose in early trade on Tuesday, with Dubai's main index up 0.3%, as oil prices hovered around seven-year highs.
Brent crude was trading lower at $92.55 a barrel by 0347 GMT, after hitting a seven-year high of $94 on Monday, ahead of the resumption of indirect talks between the United States and Iran which may revive a nuclear deal that could lead to the removal of sanctions on Iranian oil sales, increasing global supplies.
Across the globe, Asian shares reversed early gains as markets wait for U.S inflation data that could influence how fast the Federal Reserve raises interest rates.
Saudi Arabia's benchmark index (.TASI) was trading flat, with financial and energy stocks gaining ground.
Shares of retailer Fawaz Abdulaziz Alhokair (4240.SE) rose 3.5% after the company posted a quarterly profit on Monday.
Dubai's main share index (.DFMGI) was trading 0.3% higher, driven by index heavyweight Emaar Properties (EMAR.DU).
In Abu Dhabi, the index (.FTFADGI) rose 0.2% in its third straight session of gains, with the country's largest lender First Abu Dhabi Bank (FAB.AD) climbing 0.4%.
Abu Dhabi's AD Ports Group (ADPORTS.AD) opened at 3.5 dirhams a share in its debut on the Abu Dhabi Securities Exchange on Tuesday. Shares were last up 5.7%. read more
Shares of IHC, which bought a 7.4% stake in Abu Dhabi Ports for 1.2 million dirhams, were up 0.5%.
Oil slips from 7-year high ahead of more U.S.-Iran talks | Reuters
Oil slips from 7-year high ahead of more U.S.-Iran talks | Reuters
Oil slipped to around $92 a barrel on Tuesday ahead of the resumption of indirect talks between the United States and Iran, which may revive a nuclear agreement that could eventually allow more oil exports from the OPEC producer.
A deal could allow over 1 million barrels per day of Iranian oil, equal to over 1% of global supply, back onto the market. The talks over the nuclear deal will resume on Tuesday in Vienna. read more
"If sanctions against Iran are lifted, global crude oil supply may receive much-needed support," said Naeem Aslam, chief market analyst at Avatrade.
Brent crude was down 73 cents, or 0.8%, at $91.96 a barrel by 0916 GMT, after hitting a seven-year high of $94 on Monday. U.S. West Texas Intermediate crude fell 52 cents, or 0.6%, at $90.80.
Oil slipped to around $92 a barrel on Tuesday ahead of the resumption of indirect talks between the United States and Iran, which may revive a nuclear agreement that could eventually allow more oil exports from the OPEC producer.
A deal could allow over 1 million barrels per day of Iranian oil, equal to over 1% of global supply, back onto the market. The talks over the nuclear deal will resume on Tuesday in Vienna. read more
"If sanctions against Iran are lifted, global crude oil supply may receive much-needed support," said Naeem Aslam, chief market analyst at Avatrade.
Brent crude was down 73 cents, or 0.8%, at $91.96 a barrel by 0916 GMT, after hitting a seven-year high of $94 on Monday. U.S. West Texas Intermediate crude fell 52 cents, or 0.6%, at $90.80.
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