Oil jumps 5% as Caspian pipeline disruption adds to supply fears | Reuters
Oil prices jumped 5% to over $121 a barrel on Wednesday as disruptions to Russian and Kazakh crude exports via the Caspian Pipeline Consortium (CPC) pipeline added to worries over tight global supplies.
The situation adds to market worries about the ripple effect of heavy sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine.
The CPC pipeline is a significant supply line for global markets, carrying around 1.2 million barrels per day of Kazakhstan's main crude grade, or 1.2% of global demand.
Brent crude futures settled up $6.12, or 5.3%, to $121.60, while U.S. West Texas Intermediate (WTI) crude futures rose $5.66, or 5.2%, to $114.93 a barrel.
Oil benchmarks have been steadily rallying since Russia invaded Ukraine a month ago in what it calls a "special operation" and United States and its allies slapped heavy sanctions on that nation, disrupting worldwide oil trade.
Wednesday, 23 March 2022
Oil jumps 5% as Caspian pipeline disruption adds to supply fears | Reuters
Oil jumps 5% as Caspian pipeline disruption adds to supply fears | Reuters
Oil prices jumped 5% to over $121 a barrel on Wednesday as disruptions to Russian and Kazakh crude exports via the Caspian Pipeline Consortium (CPC) pipeline added to worries over tight global supplies.
Brent crude futures were up $4.83, or 4.2%, at $120.30 a barrel as of 1:55 p.m. EDT (1755 GMT). U.S. West Texas Intermediate (WTI) crude futures rose $4.39, or 4%, to $113.70 a barrel.
Crude oil exports from Kazakhstan's CPC terminal on Russia's Black Sea coast stopped fully on Wednesday after damage caused by a major storm and continued bad weather, a port ship agent and the head of CPC said. read more
Russian Deputy Prime Minister Alexander Novak later said that oil supplies by the CPC may be completely stopped for up to two months.
The CPC pipeline carries around 1.2 million barrels per day of Kazakhstan's main crude grade, which accounts for 1.2% of global demand.
Oil prices jumped 5% to over $121 a barrel on Wednesday as disruptions to Russian and Kazakh crude exports via the Caspian Pipeline Consortium (CPC) pipeline added to worries over tight global supplies.
Brent crude futures were up $4.83, or 4.2%, at $120.30 a barrel as of 1:55 p.m. EDT (1755 GMT). U.S. West Texas Intermediate (WTI) crude futures rose $4.39, or 4%, to $113.70 a barrel.
Crude oil exports from Kazakhstan's CPC terminal on Russia's Black Sea coast stopped fully on Wednesday after damage caused by a major storm and continued bad weather, a port ship agent and the head of CPC said. read more
Russian Deputy Prime Minister Alexander Novak later said that oil supplies by the CPC may be completely stopped for up to two months.
The CPC pipeline carries around 1.2 million barrels per day of Kazakhstan's main crude grade, which accounts for 1.2% of global demand.
Putin hits back at sanctions with oil payment changes | Reuters
Putin hits back at sanctions with oil payment changes | Reuters
Russian forces bombed areas of the Ukrainian capital Kyiv on Wednesday as Western leaders began gathering in Brussels to plan more measures to pressure Russian President Vladimir Putin to halt his month-old campaign.
Putin, responding to a welter of Western sanctions that have hit Russia's economy hard and frozen its assets, said Moscow planned to switch its gas sales to "unfriendly" countries to roubles - a move that alarmed international markets.
And in a sign of cracks in Moscow's ranks, a veteran aide to Putin, Anatoly Chubais, resigned over the Ukraine war and has left Russia with no intention to return, two sources said. He was the first senior official to break with the Kremlin since Putin launched his invasion on Feb. 24.
Although the invasion force has stalled in some areas and Ukrainian resistance has thwarted its hopes for a swift victory, Russian artillery and war planes maintained their bombardments on several cities while civilians sheltered underground.
Russian forces bombed areas of the Ukrainian capital Kyiv on Wednesday as Western leaders began gathering in Brussels to plan more measures to pressure Russian President Vladimir Putin to halt his month-old campaign.
Putin, responding to a welter of Western sanctions that have hit Russia's economy hard and frozen its assets, said Moscow planned to switch its gas sales to "unfriendly" countries to roubles - a move that alarmed international markets.
And in a sign of cracks in Moscow's ranks, a veteran aide to Putin, Anatoly Chubais, resigned over the Ukraine war and has left Russia with no intention to return, two sources said. He was the first senior official to break with the Kremlin since Putin launched his invasion on Feb. 24.
Although the invasion force has stalled in some areas and Ukrainian resistance has thwarted its hopes for a swift victory, Russian artillery and war planes maintained their bombardments on several cities while civilians sheltered underground.
#Dubai Property Market Rebound Seen Weathering Risks, S&P Says - Bloomberg
Dubai Property Market Rebound Seen Weathering Risks, S&P Says - Bloomberg
Dubai’s property market is set to consolidate gains this year from a rebound that started in 2021, according to S&P Global Ratings, echoing property consultant Knight Frank.
“The market is set for a moderate increase in property prices, rents, and increased sales volumes this year,” analyst Tatjana Lescova wrote in a report. “Geopolitical events and their economic fallout are a risk, but we expect Dubai will attract interest as a safe haven.”
Dubai’s property market came alive last year after it became a haven for the wealthy escaping lockdowns and for others drawn by the ease of getting vaccinated. It also provided an additional lure after a downturn shaved more than a third off values.
Dubai’s luxury home market should keep growing after a “spectacular turnaround” in 2021, Knight Frank said earlier this month. Prime prices in Dubai accelerated 44% last year, sending the Middle East business hub to the top of Knight Frank’s Prime International Residential Index 100.
S&P also said:
Dubai’s property market is set to consolidate gains this year from a rebound that started in 2021, according to S&P Global Ratings, echoing property consultant Knight Frank.
“The market is set for a moderate increase in property prices, rents, and increased sales volumes this year,” analyst Tatjana Lescova wrote in a report. “Geopolitical events and their economic fallout are a risk, but we expect Dubai will attract interest as a safe haven.”
Dubai’s property market came alive last year after it became a haven for the wealthy escaping lockdowns and for others drawn by the ease of getting vaccinated. It also provided an additional lure after a downturn shaved more than a third off values.
Dubai’s luxury home market should keep growing after a “spectacular turnaround” in 2021, Knight Frank said earlier this month. Prime prices in Dubai accelerated 44% last year, sending the Middle East business hub to the top of Knight Frank’s Prime International Residential Index 100.
S&P also said:
- Dubai residential and commercial property developers are expected to post improved revenue and earnings over 2022
- “Pressure on profitability will ease and companies’ adjusted debt-to-Ebitda metrics will improve as Ebitda increases”
- Support should come from Dubai’s economy, which is forecast to expand by 2.5% in 2022
- Over the longer term, the market should also benefit from an increasing population and government initiatives including new visa rules, more liberal social laws, the shift to a Monday-Friday working week, and relaxation of company ownership rules
Mideast Stock Inflows Seen at $82 Billion by Morgan Stanley Analysts - Bloomberg
Mideast Stock Inflows Seen at $82 Billion by Morgan Stanley Analysts - Bloomberg
Morgan Stanley analysts expect $82 billion of foreign money to flow into Middle Eastern equities as the region continues to sharply outperform international share markets this year.
Flows are set to pick up as global emerging-market funds increase their exposure to the region and as its weighting increases in MSCI Inc.’s gauge of developing-nation stocks, a team of analysts and strategists including Marina Zavolock wrote in a note.
Shares listed in the Persian Gulf have surged this year, tracking commodity prices and rising rates to top most major gauges in the world. Morgan Stanley turned overweight on Qatar as they see the country benefiting from a tight gas market and the 2022 World Cup, which it hosts later this year. The analysts are also overweight on Saudi Arabia, the United Arab Emirates and Kuwait.
There are “fundamental, structural, and technical reasons we expect Middle East equities to continue to outperform,” including higher energy prices and ongoing reforms, they wrote. It’s now their most preferred pick within the eastern Europe, Middle East and Africa region.
Morgan Stanley analysts expect $82 billion of foreign money to flow into Middle Eastern equities as the region continues to sharply outperform international share markets this year.
Flows are set to pick up as global emerging-market funds increase their exposure to the region and as its weighting increases in MSCI Inc.’s gauge of developing-nation stocks, a team of analysts and strategists including Marina Zavolock wrote in a note.
Shares listed in the Persian Gulf have surged this year, tracking commodity prices and rising rates to top most major gauges in the world. Morgan Stanley turned overweight on Qatar as they see the country benefiting from a tight gas market and the 2022 World Cup, which it hosts later this year. The analysts are also overweight on Saudi Arabia, the United Arab Emirates and Kuwait.
There are “fundamental, structural, and technical reasons we expect Middle East equities to continue to outperform,” including higher energy prices and ongoing reforms, they wrote. It’s now their most preferred pick within the eastern Europe, Middle East and Africa region.
Middle East IPO Boom Pulls Ahead of Struggling Europe Market - Bloomberg
Middle East IPO Boom Pulls Ahead of Struggling Europe Market - Bloomberg
Initial public offerings in the Middle East are outpacing Europe for only the second time since the global financial crisis, as regional investors put oil-fueled cash piles to work.
IPOs from Riyadh to Abu Dhabi have raised $4.8 billion this year, compared to Europe’s tally of $3.9 billion, data compiled by Bloomberg show. It’s a rare occurrence for the Middle East to post a bigger quarter: The only other time this has happened since 2009 was in late 2019, when Saudi Aramco pulled off the world’s largest-ever listing.
Saudi Arabia’s Riyad Bank has taken the top spot this quarter in Bloomberg’s IPO league table for Europe, the Middle East and Africa, which is usually dominated by U.S. and European institutions. Half of the biggest listings to price in EMEA this year have come from the Gulf, the data show.
This year’s market turmoil driven by worries over inflation, hawkish central bank policies and Russia’s invasion of Ukraine has scuppered IPOs across the globe. But soaring energy prices has benefited the oil-rich Persian Gulf, ensuring investor demand for share sales in the Middle East remains high.
Initial public offerings in the Middle East are outpacing Europe for only the second time since the global financial crisis, as regional investors put oil-fueled cash piles to work.
IPOs from Riyadh to Abu Dhabi have raised $4.8 billion this year, compared to Europe’s tally of $3.9 billion, data compiled by Bloomberg show. It’s a rare occurrence for the Middle East to post a bigger quarter: The only other time this has happened since 2009 was in late 2019, when Saudi Aramco pulled off the world’s largest-ever listing.
Saudi Arabia’s Riyad Bank has taken the top spot this quarter in Bloomberg’s IPO league table for Europe, the Middle East and Africa, which is usually dominated by U.S. and European institutions. Half of the biggest listings to price in EMEA this year have come from the Gulf, the data show.
This year’s market turmoil driven by worries over inflation, hawkish central bank policies and Russia’s invasion of Ukraine has scuppered IPOs across the globe. But soaring energy prices has benefited the oil-rich Persian Gulf, ensuring investor demand for share sales in the Middle East remains high.
Giant #UAE-Egypt Deal to Include Stakes in Fertilizer Companies - Bloomberg
Giant UAE-Egypt Deal to Include Stakes in Fertilizer Companies - Bloomberg
ADQ, an Abu Dhabi wealth fund, is buying stakes in Egyptian fertilizer and cargo companies as part of a roughly $2 billion investment in the country, according to a person familiar with the deal.
The fund is acquiring Egypt state-held stakes in Abou Kir Fertilizers & Chemical Industries, Misr Fertilizers Production Co. and Alexandria Container & Cargo Handling Co., according to the person, who asked not to be identified as the agreement is confidential.
The UAE has been a key backer of Egyptian President Abdel-Fattah El-Sisi, offering much needed financial support in the form of investments and deposits. The most populous Arab nation is facing soaring commodity prices and a likely fall in tourism from key market Russia as a result of the war in Ukraine.
ADQ wasn’t available to comment, while Alexandria Container & Cargo Handling declined to comment. Officials at Abou Kir and Misr Fertilizers, also known as MOPCO, said any stake sales would be a matter for the existing shareholders.
ADQ is also buying stakes in Fawry for Banking & Payment Technology Services and Commercial International Bank Egypt SAE, the North African nation’s largest listed lender. About half of the value of the deal derives from the sale of an around 18% stake in CIB, people familiar with the agreement said earlier this week.
ADQ, an Abu Dhabi wealth fund, is buying stakes in Egyptian fertilizer and cargo companies as part of a roughly $2 billion investment in the country, according to a person familiar with the deal.
The fund is acquiring Egypt state-held stakes in Abou Kir Fertilizers & Chemical Industries, Misr Fertilizers Production Co. and Alexandria Container & Cargo Handling Co., according to the person, who asked not to be identified as the agreement is confidential.
The UAE has been a key backer of Egyptian President Abdel-Fattah El-Sisi, offering much needed financial support in the form of investments and deposits. The most populous Arab nation is facing soaring commodity prices and a likely fall in tourism from key market Russia as a result of the war in Ukraine.
ADQ wasn’t available to comment, while Alexandria Container & Cargo Handling declined to comment. Officials at Abou Kir and Misr Fertilizers, also known as MOPCO, said any stake sales would be a matter for the existing shareholders.
ADQ is also buying stakes in Fawry for Banking & Payment Technology Services and Commercial International Bank Egypt SAE, the North African nation’s largest listed lender. About half of the value of the deal derives from the sale of an around 18% stake in CIB, people familiar with the agreement said earlier this week.
Iran's foreign minister says nuclear deal "closer than ever" | Reuters
Iran's foreign minister says nuclear deal "closer than ever" | Reuters
Iranian Foreign Minister Hossein Amirabdollahian said on Wednesday that the Islamic Republic and world powers are closer than ever to reviving the 2015 nuclear deal.
During a press conference in Damascus alongside Syrian Foreign Minister Faisal Mekdad he also said Tehran welcomes new talks between Syria and certain Arab countries.
Iranian Foreign Minister Hossein Amirabdollahian said on Wednesday that the Islamic Republic and world powers are closer than ever to reviving the 2015 nuclear deal.
During a press conference in Damascus alongside Syrian Foreign Minister Faisal Mekdad he also said Tehran welcomes new talks between Syria and certain Arab countries.
Oil jumps in volatile trade amid CPC pipeline disruption | Reuters
Oil jumps in volatile trade amid CPC pipeline disruption | Reuters
Oil prices rose in volatile trading on Wednesday, supported by disruption to Russian and Kazakh crude exports via the CPC pipeline.
Brent crude futures were up $5.16, or 4.5%, at $120.64 a barrel at 1335 GMT. Prices had earlier fallen to a low of $114.45.
U.S. West Texas Intermediate (WTI) crude futures rose $4.83, or 4.4%, to $114.10 a barrel. The contract had earlier slipped to a low of $108.38.
The market remains on edge over the prospect of further sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine, which Moscow calls a "special operation."
Oil prices rose in volatile trading on Wednesday, supported by disruption to Russian and Kazakh crude exports via the CPC pipeline.
Brent crude futures were up $5.16, or 4.5%, at $120.64 a barrel at 1335 GMT. Prices had earlier fallen to a low of $114.45.
U.S. West Texas Intermediate (WTI) crude futures rose $4.83, or 4.4%, to $114.10 a barrel. The contract had earlier slipped to a low of $108.38.
The market remains on edge over the prospect of further sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine, which Moscow calls a "special operation."
Gulf stocks end higher, Aramco down after trading ex-dividend | Reuters
Gulf stocks end higher, Aramco down after trading ex-dividend | Reuters
Middle East stock markets ended higher on Wednesday, mirroring global mood as investors diverted their attention toward stocks amid a selloff in bond markets.
Oil prices rose as Russian and Kazakh crude exports via the CPC pipeline were disrupted due to damage from storms.
U.S. President Joe Biden is set to announce more Russian sanctions when he meets with European leaders on Thursday in Brussels, while European Union member countries remain split on whether to ban imports of Russian crude and oil products.
Saudi Arabia's benchmark index (.TASI) gained 0.5%.
State-run Saudi Aramco (2222.SE) ended down 1.2% while Alkhorayef Water and Power Technologies (2081.SE) dropped 1.3% after both stocks began trading ex-dividend.
Abu Dhabi's index (.FTFADGI) reversed early losses to end nearly 1% higher.
International Holding Co (IHC.AD), the most valuable listed firm in Abu Dhabi, ended 0.7% lower after the company said it recommended to not distribute a dividend for 2021.
Dubai's main share index (.DFMGI) rose 0.4%, boosted by index heavyweights Emaar Properties (EMAR.DU) and Emirates Integrated Telecommunications Company (DU.DU).
Shares of Shuaa Capital (SHUA.DU) ended up 2.7%, after the company said it would launch a $250 million regional venture debt fund.
The Qatari index (.QSI) reversed course to close nearly 1% up, gaining for a third consecutive session.
Outside the Gulf, Egypt's blue-chip index (.EGX30) rose 0.7%, ending higher for a seventh straight session.
"The Egyptian stock market recorded price corrections after this week's sharp increases," said Farah Mourad, Senior Market Analyst of XTB MENA.
Middle East stock markets ended higher on Wednesday, mirroring global mood as investors diverted their attention toward stocks amid a selloff in bond markets.
Oil prices rose as Russian and Kazakh crude exports via the CPC pipeline were disrupted due to damage from storms.
U.S. President Joe Biden is set to announce more Russian sanctions when he meets with European leaders on Thursday in Brussels, while European Union member countries remain split on whether to ban imports of Russian crude and oil products.
Saudi Arabia's benchmark index (.TASI) gained 0.5%.
State-run Saudi Aramco (2222.SE) ended down 1.2% while Alkhorayef Water and Power Technologies (2081.SE) dropped 1.3% after both stocks began trading ex-dividend.
Abu Dhabi's index (.FTFADGI) reversed early losses to end nearly 1% higher.
International Holding Co (IHC.AD), the most valuable listed firm in Abu Dhabi, ended 0.7% lower after the company said it recommended to not distribute a dividend for 2021.
Dubai's main share index (.DFMGI) rose 0.4%, boosted by index heavyweights Emaar Properties (EMAR.DU) and Emirates Integrated Telecommunications Company (DU.DU).
Shares of Shuaa Capital (SHUA.DU) ended up 2.7%, after the company said it would launch a $250 million regional venture debt fund.
The Qatari index (.QSI) reversed course to close nearly 1% up, gaining for a third consecutive session.
Outside the Gulf, Egypt's blue-chip index (.EGX30) rose 0.7%, ending higher for a seventh straight session.
"The Egyptian stock market recorded price corrections after this week's sharp increases," said Farah Mourad, Senior Market Analyst of XTB MENA.
Shuaa Capital launches $250m venture debt fund
Shuaa Capital launches $250m venture debt fund
Dubai-based investment bank Shuaa Capital has launched a $250 million fund, the GCC's largest venture debt fund, which will support the growth of regional technology companies that are seeking alternative sources of capital.
“We aim to support the growth of businesses, create jobs, lead further developments in innovation and technology, support economic diversification and guide founders towards realising their vision," said Natasha Hannoun, head of debt at Shuaa Capital.
"Our investors have the opportunity to diversify into a new asset class in technology, with a shorter investment horizon, frequent distributions and attractive financial returns”
Shuaa, which has assets worth nearly $14 billion under management, said the fund seeks to capitalise on the need for funding from sources that can help businesses evolve throughout their growth cycle.
Dubai-based investment bank Shuaa Capital has launched a $250 million fund, the GCC's largest venture debt fund, which will support the growth of regional technology companies that are seeking alternative sources of capital.
“We aim to support the growth of businesses, create jobs, lead further developments in innovation and technology, support economic diversification and guide founders towards realising their vision," said Natasha Hannoun, head of debt at Shuaa Capital.
"Our investors have the opportunity to diversify into a new asset class in technology, with a shorter investment horizon, frequent distributions and attractive financial returns”
Shuaa, which has assets worth nearly $14 billion under management, said the fund seeks to capitalise on the need for funding from sources that can help businesses evolve throughout their growth cycle.
Oil rises in volatile trade amid CPC pipeline disruption | Reuters
Oil rises in volatile trade amid CPC pipeline disruption | Reuters
Oil prices rose in volatile trading on Wednesday, supported by disruption of Russian and Kazakh crude exports via the CPC pipeline.
Brent crude futures were up $3.13, or 2.7%, at $118.61 a barrel at 1100 GMT. Prices had earlier fallen to a low of $114.45.
U.S. West Texas Intermediate (WTI) crude futures rose $2.69, or 2.5%, to $111.96 a barrel. The contract had earlier slipped to a low of $108.38.
The market remains on edge over the prospect of further sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine, actions that Moscow calls a "special operation".
Oil prices rose in volatile trading on Wednesday, supported by disruption of Russian and Kazakh crude exports via the CPC pipeline.
Brent crude futures were up $3.13, or 2.7%, at $118.61 a barrel at 1100 GMT. Prices had earlier fallen to a low of $114.45.
U.S. West Texas Intermediate (WTI) crude futures rose $2.69, or 2.5%, to $111.96 a barrel. The contract had earlier slipped to a low of $108.38.
The market remains on edge over the prospect of further sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine, actions that Moscow calls a "special operation".
Saudi Aramco and Acwa Power Look to Join #Saudi Carbon Trading Exchange - Bloomberg
Saudi Aramco and Acwa Power Look to Join Saudi Carbon Trading Exchange - Bloomberg
Aramco, the world’s biggest oil producer, and four other Saudi Arabian companies could become the inaugural members of the first carbon market in the Middle East under agreements announced on Tuesday.
The kingdom’s sovereign wealth fund, which is launching the exchange, signed non-binding memorandums of understanding with Aramco, utility ACWA Power, Saudi Arabian Airlines Corp., miner Maaden, and ENOWA, an energy and water firm, it said in a statement.
The five firms could potentially become the first partners for the Middle East and North Africa regional Voluntary Carbon Market, which the wealth fund launched last year in cooperation with the Saudi stock exchange.
Saudi Arabia is trying to reshape its image after years of pushing back against global efforts to tackle climate change. It launched the Saudi Green Initiative last year, which included commitments to reach net-zero planet-warming emissions by 2060 and plant 10 billion trees across the country. It’s also looking to become a major producer of hydrogen, considered an important part of the transition away from fossil fuels.
Aramco, the world’s biggest oil producer, and four other Saudi Arabian companies could become the inaugural members of the first carbon market in the Middle East under agreements announced on Tuesday.
The kingdom’s sovereign wealth fund, which is launching the exchange, signed non-binding memorandums of understanding with Aramco, utility ACWA Power, Saudi Arabian Airlines Corp., miner Maaden, and ENOWA, an energy and water firm, it said in a statement.
The five firms could potentially become the first partners for the Middle East and North Africa regional Voluntary Carbon Market, which the wealth fund launched last year in cooperation with the Saudi stock exchange.
Saudi Arabia is trying to reshape its image after years of pushing back against global efforts to tackle climate change. It launched the Saudi Green Initiative last year, which included commitments to reach net-zero planet-warming emissions by 2060 and plant 10 billion trees across the country. It’s also looking to become a major producer of hydrogen, considered an important part of the transition away from fossil fuels.
#Dubai firm Cypher Capital says launches $100 mln digital asset fund | Reuters
Dubai firm Cypher Capital says launches $100 mln digital asset fund | Reuters
Dubai-based venture capital firm Cypher Capital on Wednesday announced it was launching a $100 million seed fund aimed at investing in digital assets including crypto currencies.
The fund will be financed by the company's founder, Bijan Alizadeh, and will also invest in decentralised finance platforms, blockchain applications and cryptocurrency gaming.
"It's going to be 100% digital assets," he told Reuters.
Cypher, which has $10 million in assets under management, plans to deploy on average $2 million to $5 million each month and focus on investing in the Middle East and North Africa and South Asia regions, but would invest elsewhere too.
Dubai-based venture capital firm Cypher Capital on Wednesday announced it was launching a $100 million seed fund aimed at investing in digital assets including crypto currencies.
The fund will be financed by the company's founder, Bijan Alizadeh, and will also invest in decentralised finance platforms, blockchain applications and cryptocurrency gaming.
"It's going to be 100% digital assets," he told Reuters.
Cypher, which has $10 million in assets under management, plans to deploy on average $2 million to $5 million each month and focus on investing in the Middle East and North Africa and South Asia regions, but would invest elsewhere too.
Middle East KFC Operator Americana Group Starts Early Talks Over Listing - Bloomberg
Middle East KFC Operator Americana Group Starts Early Talks Over Listing - Bloomberg
The operator of KFC and Pizza Hut restaurants across the Middle East and North Africa is in preliminary discussions for a potential listing, according to people with knowledge of the matter.
Americana Group, owned by Saudi Arabia’s Public Investment Fund and an investment vehicle led by Dubai-based businessman Mohamed Alabbar, has held early stage talks with advisers over a listing in the United Arab Emirates or Saudi Arabia, the people said.
Discussions are ongoing, but no advisers have been hired and there is no certainty the IPO will materialize, they said, asking not to be identified as the information is not public.
The firm could also opt for a rare dual listing in the UAE and Saudi Arabia, the people said. Saudi Arabia’s bourse has been seeking to encourage firms to dual list for years and while none have yet done so, Bahrain’s biggest telecommunications firm is considering it.
An initial public offering of Americana could raise about $1 billion, one of the people said, but details on latest valuation weren’t immediately available. The firm was valued at about $3.5 billion when it was taken private in 2017.
The operator of KFC and Pizza Hut restaurants across the Middle East and North Africa is in preliminary discussions for a potential listing, according to people with knowledge of the matter.
Americana Group, owned by Saudi Arabia’s Public Investment Fund and an investment vehicle led by Dubai-based businessman Mohamed Alabbar, has held early stage talks with advisers over a listing in the United Arab Emirates or Saudi Arabia, the people said.
Discussions are ongoing, but no advisers have been hired and there is no certainty the IPO will materialize, they said, asking not to be identified as the information is not public.
The firm could also opt for a rare dual listing in the UAE and Saudi Arabia, the people said. Saudi Arabia’s bourse has been seeking to encourage firms to dual list for years and while none have yet done so, Bahrain’s biggest telecommunications firm is considering it.
An initial public offering of Americana could raise about $1 billion, one of the people said, but details on latest valuation weren’t immediately available. The firm was valued at about $3.5 billion when it was taken private in 2017.
Markets mixed, Aramco down after trading ex-dividend | Reuters
Markets mixed, Aramco down after trading ex-dividend | Reuters
Major Gulf bourses were mixed on Wednesday as tensions in Ukraine kept oil prices firm, while stocks across Asia rose after investors redirected fund flows from bonds into equities.
Oil prices rose as a reported drop in U.S. crude inventories increased concerns about tight global supplies amid the hit to Russian exports from economic sanctions.
Meanwhile, Asian equities hit three-week highs as investors fled a meltdown in bond markets and sought refuge in cash, carry trades and beaten-down sectors such as technology.
Saudi Arabia's benchmark index was flat, with state-run Saudi Aramco (2222.SE) down 1.6% as it was trading ex-dividend.
The oil giant is now valued at 8.62 trillion riyals ($2.30 trillion), after recent gains following higher oil prices and strong results. Aramco's market value still trails that of Apple Inc (AAPL.O), worth $2.76 trillion as of Tuesday's close.
Alkhorayef Water And Power Technologies (2081.SE) dropped 1.2% after it also began trading ex-dividend.
Abu Dhabi's index (.FTFADGI) edged 0.3% lower.
International Holding Co (IHC.AD), the most valuable listed firm in Abu Dhabi, dropped 1.4% after the company said it recommended to not distribute a dividend for 2021.
Dubai's main share index (.DFMGI) rose 0.2%, boosted by index heavyweight Emirates Integrated Telecommunications Company (DU.DU), which gained 2% after ending the previous session lower.
The Qatari index (.QSI) fell 0.5%, weighed by financial and industrial stocks.
Major Gulf bourses were mixed on Wednesday as tensions in Ukraine kept oil prices firm, while stocks across Asia rose after investors redirected fund flows from bonds into equities.
Oil prices rose as a reported drop in U.S. crude inventories increased concerns about tight global supplies amid the hit to Russian exports from economic sanctions.
Meanwhile, Asian equities hit three-week highs as investors fled a meltdown in bond markets and sought refuge in cash, carry trades and beaten-down sectors such as technology.
Saudi Arabia's benchmark index was flat, with state-run Saudi Aramco (2222.SE) down 1.6% as it was trading ex-dividend.
The oil giant is now valued at 8.62 trillion riyals ($2.30 trillion), after recent gains following higher oil prices and strong results. Aramco's market value still trails that of Apple Inc (AAPL.O), worth $2.76 trillion as of Tuesday's close.
Alkhorayef Water And Power Technologies (2081.SE) dropped 1.2% after it also began trading ex-dividend.
Abu Dhabi's index (.FTFADGI) edged 0.3% lower.
International Holding Co (IHC.AD), the most valuable listed firm in Abu Dhabi, dropped 1.4% after the company said it recommended to not distribute a dividend for 2021.
Dubai's main share index (.DFMGI) rose 0.2%, boosted by index heavyweight Emirates Integrated Telecommunications Company (DU.DU), which gained 2% after ending the previous session lower.
The Qatari index (.QSI) fell 0.5%, weighed by financial and industrial stocks.
Oil rises in volatile trade on supply concerns from Russia sanctions | Reuters
Oil rises in volatile trade on supply concerns from Russia sanctions | Reuters
Oil prices rose on Wednesday amid volatile trading on increasing concerns of global supply tightness from sanctions imposed on Russia, the world's second-largest oil exporter, and on signs that exports from Kazakhstan may be disrupted.
Brent crude futures were up 95 cents, or 0.82%, to $116.43 a barrel at 0816 GMT. Prices earlier rose to as high as $117.70 and at one point fell to a low of $114.45. The contract fell 14 cents in the previous session.
U.S. West Texas Intermediate (WTI) crude futures rose 73 cents, or 0.67%, to $110 a barrel. The contract surged to a high of $111.35 and slipped to a low of $108.38. Prices fell 36 cents on Tuesday.
The market remains on edge over the prospect of further sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine, actions that Moscow calls a "special operation".
U.S. President Joe Biden is set to announce more Russian sanctions when he meets with European leaders on Thursday in Brussels, including an emergency meeting of NATO.
Oil prices rose on Wednesday amid volatile trading on increasing concerns of global supply tightness from sanctions imposed on Russia, the world's second-largest oil exporter, and on signs that exports from Kazakhstan may be disrupted.
Brent crude futures were up 95 cents, or 0.82%, to $116.43 a barrel at 0816 GMT. Prices earlier rose to as high as $117.70 and at one point fell to a low of $114.45. The contract fell 14 cents in the previous session.
U.S. West Texas Intermediate (WTI) crude futures rose 73 cents, or 0.67%, to $110 a barrel. The contract surged to a high of $111.35 and slipped to a low of $108.38. Prices fell 36 cents on Tuesday.
The market remains on edge over the prospect of further sanctions on Russia, the world's second-largest crude exporter, after its invasion of Ukraine, actions that Moscow calls a "special operation".
U.S. President Joe Biden is set to announce more Russian sanctions when he meets with European leaders on Thursday in Brussels, including an emergency meeting of NATO.
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