Oil settles up ahead of U.S. driving season, EU embargo decision | Reuters
Oil prices rose on Friday, closing out the week with gains ahead of the U.S. Memorial Day holiday weekend, the start of peak U.S. demand season, and as European nations negotiate over whether to impose an outright ban on Russian crude oil.
Brent crude rose $2.03, or 1.7%, to settle at $119.43. U.S. West Texas Intermediate (WTI) crude rose 98 cents, or 0.9%, to settle at $115.07 a barrel. For the week, Brent rose 6% while WTI gained 1.5%.
Prices drew support from strong worldwide demand for fuel, with both gasoline and heating oil futures outpacing crude this year.
"Demand is strong with products leading the way, especially gasoline which dragged crude oil up with it,” said John Kilduff, a partner at Again Capital LLC.
Friday, 27 May 2022
ADC Acquisition: First SPAC in the Middle East Surges in #AbuDhabi Trading Debut - Bloomberg
ADC Acquisition: First SPAC in the Middle East Surges in Abu Dhabi Trading Debut - Bloomberg
The first special purpose acquisition company to list in the Middle East soared in its Abu Dhabi trading debut as the region’s blank-check market gains traction.
ADC Acquisition Corp., backed by Abu Dhabi’s wealth fund ADQ and Chimera Investments, rose as much as 30% before trimming gains to trade at 11.48 dirhams as of 10:24 a.m. local time. The SPAC sold 36.7 million shares at 10 dirhams apiece.
Abu Dhabi is the first exchange in the Middle East to set up a legal framework for blank-check firms, with Dubai looking to follow suit. Saudi Arabia’s bourse said last year it’s still considering whether to open its doors to SPACs.
While abysmal returns, tightening regulatory oversight and investor fatigue have led SPAC issuance to crater in the US this year, the trend is taking off in the Gulf. Initial public offerings in general have boomed in the Middle East, as high oil prices buoy regional stocks and international investors pile in.
Bloomberg News reported last week Investcorp is considering listing a SPAC in the United Arad Emirates that could raise as much as $250 million.
The first special purpose acquisition company to list in the Middle East soared in its Abu Dhabi trading debut as the region’s blank-check market gains traction.
ADC Acquisition Corp., backed by Abu Dhabi’s wealth fund ADQ and Chimera Investments, rose as much as 30% before trimming gains to trade at 11.48 dirhams as of 10:24 a.m. local time. The SPAC sold 36.7 million shares at 10 dirhams apiece.
Abu Dhabi is the first exchange in the Middle East to set up a legal framework for blank-check firms, with Dubai looking to follow suit. Saudi Arabia’s bourse said last year it’s still considering whether to open its doors to SPACs.
While abysmal returns, tightening regulatory oversight and investor fatigue have led SPAC issuance to crater in the US this year, the trend is taking off in the Gulf. Initial public offerings in general have boomed in the Middle East, as high oil prices buoy regional stocks and international investors pile in.
Bloomberg News reported last week Investcorp is considering listing a SPAC in the United Arad Emirates that could raise as much as $250 million.
Oil on track for weekly rise on global supply concerns | Reuters
Oil on track for weekly rise on global supply concerns | Reuters
Oil prices edged higher on Friday and were on track for weekly gains, supported by the prospect of a tight market due to rising gasoline consumption in the United States in summer, and also the possibility of an EU ban on Russian oil.
Brent crude was up 64 cents, or 0.6%, at $118.04 at 1338 GMT, and was on track for a gain of about 5% this week.
U.S. West Texas Intermediate (WTI) crude rose 11 cents, or 0.1%, to $114.20 a barrel. WTI is set for a weekly gain of 0.6%.
"Oil prices have risen to the highest level since end of March, benefiting from renewed declines in U.S. oil inventories," said UBS analyst Giovanni Staunovo.
Oil prices edged higher on Friday and were on track for weekly gains, supported by the prospect of a tight market due to rising gasoline consumption in the United States in summer, and also the possibility of an EU ban on Russian oil.
Brent crude was up 64 cents, or 0.6%, at $118.04 at 1338 GMT, and was on track for a gain of about 5% this week.
U.S. West Texas Intermediate (WTI) crude rose 11 cents, or 0.1%, to $114.20 a barrel. WTI is set for a weekly gain of 0.6%.
"Oil prices have risen to the highest level since end of March, benefiting from renewed declines in U.S. oil inventories," said UBS analyst Giovanni Staunovo.
#AbuDhabi bourse rebounds ahead of Borouge IPO, #Dubai flat | Reuters
Abu Dhabi bourse rebounds ahead of Borouge IPO, Dubai flat | Reuters
Stocks in Abu Dhabi rebounded on Friday, ahead of its biggest ever initial public offering (IPO) of petrochemicals firm Borouge, although the Dubai index ended flat.
The Abu Dhabi National Oil Company (ADNOC) is selling 10% of its petrochemicals joint venture with Austria's Borealis, known as Borouge.
Borouge said on Monday it has set the offer price for its IPO, which shows it could raise about $2 billion in the deal, and secured seven cornerstone investors. read more
According to Daniel Takieddine, CEO MENA BDSwiss, investors are increasingly looking toward Borouge's IPO as a catalyst and the listing could attract liquidity as well as help the main index near its previous peak.
In Abu Dhabi, the index (.FTFADGI) advanced 1.6%, with First Abu Dhabi Bank (FAB) (FAB.AD) jumping 6%, its biggest intraday gain in nearly three months.
FAB, the United Arab Emirates' biggest lender, along with other banks is set to share up to $30 million in fees for working on the Borouge IPO, according to a media report.
Elsewhere, Al Seer Marine Supplies And Equipment (ASM.AD) rose nearly 2% as the firm acquired two LPG Tankers worth 246 million dirhams ($66.98 million).
On the other hand, the Abu Dhabi index posted weekly loss of 2.5%, its fourth weekly loss in five.
Dubai's main market index (.DFMGI), however, closed flat.
Logistics firm Aramex leapt 4.8% after the company increased its foreign ownership limit to 100% from 49% earlier.
Stocks in Abu Dhabi rebounded on Friday, ahead of its biggest ever initial public offering (IPO) of petrochemicals firm Borouge, although the Dubai index ended flat.
The Abu Dhabi National Oil Company (ADNOC) is selling 10% of its petrochemicals joint venture with Austria's Borealis, known as Borouge.
Borouge said on Monday it has set the offer price for its IPO, which shows it could raise about $2 billion in the deal, and secured seven cornerstone investors. read more
According to Daniel Takieddine, CEO MENA BDSwiss, investors are increasingly looking toward Borouge's IPO as a catalyst and the listing could attract liquidity as well as help the main index near its previous peak.
In Abu Dhabi, the index (.FTFADGI) advanced 1.6%, with First Abu Dhabi Bank (FAB) (FAB.AD) jumping 6%, its biggest intraday gain in nearly three months.
FAB, the United Arab Emirates' biggest lender, along with other banks is set to share up to $30 million in fees for working on the Borouge IPO, according to a media report.
Elsewhere, Al Seer Marine Supplies And Equipment (ASM.AD) rose nearly 2% as the firm acquired two LPG Tankers worth 246 million dirhams ($66.98 million).
On the other hand, the Abu Dhabi index posted weekly loss of 2.5%, its fourth weekly loss in five.
Dubai's main market index (.DFMGI), however, closed flat.
Logistics firm Aramex leapt 4.8% after the company increased its foreign ownership limit to 100% from 49% earlier.
#SaudiArabia steps into the Davos limelight | Financial Times
Saudi Arabia steps into the Davos limelight | Financial Times
The gloomy global elite strolling the Promenade in Davos this week could cheer themselves up by stopping off for free ice cream courtesy of Saudi Arabia’s Crown Prince Mohammed bin Salman.
The gloomy global elite strolling the Promenade in Davos this week could cheer themselves up by stopping off for free ice cream courtesy of Saudi Arabia’s Crown Prince Mohammed bin Salman.
Or they could drop into the Saudi café for coffee, pumpkin jereesh and a rose mamoul crumble. Then visit Prince Mohammed’s Misk Foundation “Youth majlis” pavilion.
With Russian oligarchs banned, the Saudis stepped into the limelight.
Despite a dire human rights record, the Gulf country wants the world to focus on its economic story: the world’s top oil exporter is one of the few bright spots in an otherwise shaky global economy wracked by Russia’s invasion of Ukraine, and surging inflation.
#Russia Faces Biggest Debt Test Yet as US Payment Ban Clouds Path - Bloomberg
Russia Faces Biggest Debt Test Yet as US Payment Ban Clouds Path - Bloomberg
Russia’s ability to sidestep its first foreign default in a century is turning more fraught as another payment comes due on the warring nation’s debt.
Investors are supposed to receive about $100 million of interest on Russian foreign debt in their accounts by Friday, payments President Vladimir Putin’s government says it has already made. That’s unlikely to satisfy concerned bondholders who are keen to see the cash after the US Treasury closed a loophole that previously allowed American banks and individuals to accept such payments.
It’s the latest twist in a debt saga that has dragged on for months as the war in Ukraine and sanctions complicate the flow of cash from Russia to creditors. If Russia’s obligations aren’t fulfilled, a 30-day grace period ensues.
“We are in uncharted waters,” said Ehsan Khoman, head of emerging market research at MUFG Bank Ltd. in Dubai. “All eyes are now on May 27.”
Russia’s ability to sidestep its first foreign default in a century is turning more fraught as another payment comes due on the warring nation’s debt.
Investors are supposed to receive about $100 million of interest on Russian foreign debt in their accounts by Friday, payments President Vladimir Putin’s government says it has already made. That’s unlikely to satisfy concerned bondholders who are keen to see the cash after the US Treasury closed a loophole that previously allowed American banks and individuals to accept such payments.
It’s the latest twist in a debt saga that has dragged on for months as the war in Ukraine and sanctions complicate the flow of cash from Russia to creditors. If Russia’s obligations aren’t fulfilled, a 30-day grace period ensues.
“We are in uncharted waters,” said Ehsan Khoman, head of emerging market research at MUFG Bank Ltd. in Dubai. “All eyes are now on May 27.”
#AbuDhabi's first SPAC lists after raising about $100 mln | Reuters
Abu Dhabi's first SPAC lists after raising about $100 mln | Reuters
Abu Dhabi's first special-purpose acquisition company listed on Friday, raising $100 million in the share sale, its co-owners said.
ADC, owned by state investor ADQ and Chimera Investment, will identify scalable businesses with strong management teams and acquire one or more businesses, the statement said.
Shares of ADC were trading at 10.50 dirhams, up from an offer price of 10 dirhams.
The UAE Securities and Commodities Authority in January approved a regulatory framework for blank-check firms, more commonly known as SPACs.
They 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's first special-purpose acquisition company listed on Friday, raising $100 million in the share sale, its co-owners said.
ADC, owned by state investor ADQ and Chimera Investment, will identify scalable businesses with strong management teams and acquire one or more businesses, the statement said.
Shares of ADC were trading at 10.50 dirhams, up from an offer price of 10 dirhams.
The UAE Securities and Commodities Authority in January approved a regulatory framework for blank-check firms, more commonly known as SPACs.
They 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.
Oil on track for weekly rise amid global supply concerns | Reuters
Oil on track for weekly rise amid global supply concerns | Reuters
Oil prices rose on Friday and were on track for weekly gains, supported by a prospect of a tight market due to rising gasoline consumption in the United States in summer, and also the possibility of an EU ban on Russian oil.
Brent crude was up 58 cents, or 0.5%, at $117.98 at 0844 GMT, and was on track for a gain of about 5% this week.
U.S. West Texas Intermediate (WTI) crude rose 27 cents, or 0.2%, at $114.36 a barrel. WTI is set for a weekly gain of about 1%.
"Oil prices have risen to the highest level since end of March, benefiting from renewed declines in U.S. oil inventories," said UBS analyst Giovanni Staunovo.
Oil prices rose on Friday and were on track for weekly gains, supported by a prospect of a tight market due to rising gasoline consumption in the United States in summer, and also the possibility of an EU ban on Russian oil.
Brent crude was up 58 cents, or 0.5%, at $117.98 at 0844 GMT, and was on track for a gain of about 5% this week.
U.S. West Texas Intermediate (WTI) crude rose 27 cents, or 0.2%, at $114.36 a barrel. WTI is set for a weekly gain of about 1%.
"Oil prices have risen to the highest level since end of March, benefiting from renewed declines in U.S. oil inventories," said UBS analyst Giovanni Staunovo.