#AbuDhabi Seeks Buyer for Miami Beach Edition Hotel at Record Price for Market - Bloomberg

Abu Dhabi Seeks Buyer for Miami Beach Edition Hotel at Record Price for Market - Bloomberg

Abu Dhabi Investment Authority is seeking to more than double its money on a Miami Beach hotel.

The sovereign wealth fund is exploring options including a sale of the Miami Beach Edition hotel, in which the property could fetch more than $580 million, which would mark a record on a price-per-room basis for the Miami market, according to people with knowledge of the matter. ADIA acquired the Edition for $230 million in 2015 from Marriott International Inc.

ADIA is working with an adviser to solicit interest from potential buyers, said one of the people, all of whom requested anonymity discussing the potential transaction. Garry Nickson, an ADIA spokesman, declined to comment.

ADIA’s Miami Beach hotel has 294 rooms and suites including oceanfront bungalows, and restaurants designed by Jean-Georges Vongerichten, according to its website.

South Florida hotels have been among the biggest winners of the pandemic-era boom in leisure travel, with lodging data provider STR reporting that Miami had the highest occupancy rates and room prices among the major US markets in the first half of the year.

Those numbers have helped attract investors, including Sunstone Hotel Investors Inc., which acquired the Andaz Miami Beach, and the billionaire Reuben brothers, who bought the boutique Chesterfield Hotel in Palm Beach, Florida.

Oil up 3% on robust U.S. fuel consumption, tight supply outlook | Reuters

Oil up 3% on robust U.S. fuel consumption, tight supply outlook | Reuters

Oil prices gained about 3% on Thursday as positive U.S. economic data and robust U.S. fuel consumption offset concerns that slowing economic growth in other countries could undercut demand.

Brent futures rose $2.94, or 3.1%, to settle at $96.59 a barrel, while U.S. West Texas Intermediate (WTI) crude rose $2.39, or 2.7%, to settle at $90.50.

Prices rose more than 1% during the previous session, although Brent at one point fell to its lowest since February, as signs of a slowdown mounted in some places.

"Oil prices rallied after another round of impressive U.S. economic data boosted optimism for an improving crude demand outlook," said Edward Moya, senior market analyst at data and analytics firm OANDA. Moya also noted that OPEC will not allow the recent pullback in oil prices to continue much further.

The number of Americans filing new claims for unemployment benefits fell last week and the prior period's data was revised sharply lower, suggesting labor market conditions remain tight despite slower momentum due to higher interest rates. read more

LNG Heavyweight #Qatar Sees Surplus Jump 12-Fold on Energy Profit - Bloomberg

LNG Heavyweight Qatar Sees Surplus Jump 12-Fold on Energy Profit - Bloomberg

Soaring energy revenues propelled a 12-fold jump in Qatar’s budget surplus to 47.3 billion riyals ($12.8 billion) in the first half of 2022, data showed, boosting the fortunes of one of the world’s richest nations.

Oil and gas revenue surged 58% to 150.7 billion riyals during the period, offsetting increased government spending on wages and salaries. The country’s surplus in the first six months of 2021 stood at 4 billion riyals.

Like other Gulf energy producers, Qatar has benefited from soaring oil and gas prices caused by the Covid-19 recovery and Russia’s war in Ukraine. The country is preparing to host this year’s soccer World Cup.

Its revenues are generated chiefly by long-term contracts to supply liquefied natural gas, agreements that are typically tied to the price of oil. Europe’s interest in diversifying its gas supply away from Russia stands to benefit Qatar in the long-term, as the Gulf country tries to tie up buyers for new LNG production later this decade.

The International Monetary Fund projects the country’s economy will grow 5.4% this year and generate a surplus equivalent to about $45 billion. Outside energy revenues, World Cup organizers have said they’re also anticipating a $17 billion boost from hosting the soccer tournament.

Most Gulf bourses end lower on oil, recession worries | Reuters

Most Gulf bourses end lower on oil, recession worries | Reuters

Most stock markets in the Gulf ended lower on Thursday, amid concerns about the oil price's recent slide to six-month lows and worries about a potential global recession.

Saudi Arabia's benchmark index (.TASI) gave up early gains to close 0.2% lower, hit by a 1.2% fall in Dr Sulaiman Al-Habib Medical Services (4013.SE) and a 0.6% slide in Banque Saudi Fransi (1050.SE).

However, the index's losses were limited by gains elsewhere.

The International Monetary Fund (IMF) on Wednesday maintained its economic growth forecast for Saudi Arabia even amid concerns the global economy may heading towards a recession. read more

Saudi Arabia's economy was still projected to grow by 7.6% this year, which the IMF said would likely be one of the fastest growth rates in the world, helped by strong oil demand and 4.2% expected growth in the kingdom's non-oil sector.

In Abu Dhabi, the index (.FTFADGI) slid 1.8%, falling for a fourth session in five, dragged down by a 2.7% slide in the United Arab Emirates' biggest lender First Abu Dhabi Bank (FAB.AD).

The Abu Dhabi bourse could see additional price corrections in the absence of strong catalysts, said Farah Mourad, senior market analyst at XTB MENA.

"The uncertainties in the oil market could also put some pressure on performances."

Dubai's main share index (.DFMGI) dropped 0.7%, weighed down by a 2.2% slide in blue-chip developer Emaar Properties (EMAR.DU) and a 1.5% decline in sharia-compliant lender Dubai Islamic Bank (DISB.DU).

The Qatari benchmark (.QSI), however, bucked the trend to close 0.2% higher.

The Qatari market was helped by elevated natural gas prices. However, it could see some price corrections if investors move to secure their gains, according to Mourad.

Outside the Gulf, Egypt's blue-chip index (.EGX30) finished 0.4% higher, with Abu Qir Fertilizers (ABUK.CA) advancing 4.4%.

#Qatar attracted more than $19bln in FDI in Q2 - report

Qatar attracted more than $19bln in FDI in Q2 - report

Qatar attracted investments worth $19.2 billion in Q2 2022, which amounted to 71% of all investment into the Middle East, the Peninsula Qatar reported citing figures from the Investment Promotion Agency Qatar (IPA Qatar).

The investments created 6,680 jobs across 11 projects, with the top sectors being software and IT, business services, financial services, and coal, oil and gas.

#Saudi bourse gains, other major Gulf markets ease | Reuters

Saudi bourse gains, other major Gulf markets ease | Reuters

The Saudi bourse's main index rose to its highest in over two months early on Thursday after the IMF held its 2022 economic growth forecast for the kingdom while other markets in the Gulf eased amid concerns about a potential global recession.

Saudi Arabia's benchmark index (.TASI) gained 0.3%, reaching its highest since June, with Al Rajhi Bank (1120.SE) rising 1% and Retal Urban Development Co (4322.SE) adding 0.7%.

The International Monetary Fund (IMF) on Wednesday maintained its economic growth forecast for Saudi Arabia even as concerns persist that the global economy may heading towards a recession. read more

Saudi Arabia's economy was still projected to grow by 7.6% this year, which the IMF said would likely be one of the fastest growth rates in the world, helped by strong oil demand and 4.2% expected growth in the kingdom's non-oil sector.

Dubai's main share index (.DFMGI) added 0.2%, helped by a 0.8% increase in blue-chip developer Emaar Properties (EMAR.DU) ahead of a board meeting on Thursday to discuss the sale of its e-commerce fashion business.

The operator of Dubai International Airport said on Wednesday the Middle East hub could see monthly passenger traffic return to pre-pandemic levels in the latter half of next year. read more

In Abu Dhabi, the main share index (.FTFADGI) was 0.3% down, hit by a 0.4% fall in conglomerate International Holding Co (IHC.AD).

Elsewhere Aldar Properties (ALDAR.AD) fell 0.6%, after Apollo Global Management Inc (APO.N), a manager of alternative assets, acquired a minority stake in a subsidiary of Aldar. read more

Apollo and Aldar said the deal was part of a previously announced $1.4 billion investment by Apollo in Aldar in February. read more

Crude prices, a key catalyst for the Gulf's financial markets, were little changed as investors grappled with falling stockpiles in the United States, rising output from Russia and worries about a potential global recession.

The Qatari benchmark index (.QSI) lost 0.3%, with Commercial Bank (COMB.QA) retreating 2.1%.

Oil rises on U.S. crude stocks data, tight supply outlook | Reuters

Oil rises on U.S. crude stocks data, tight supply outlook | Reuters

Oil prices rose on Thursday as robust U.S. fuel consumption data and expected falls in Russian supply later in the year offset concerns that a possible recession in developed economies could undercut demand.

Brent crude futures climbed $1.33, or 1.4%, to $94.98 a barrel by 1220 GMT. U.S. crude futures gained 99 cents, or 1.1%, to $89.10 a barrel.

Prices rose more than 1% during the previous session, although Brent at one point fell to its lowest level since February, as signs of a slowdown mounted in some places.

British consumer price inflation topped 10% in July, its highest since February 1982, intensifying a squeeze on households, while in China COVID-19 lockdowns and fuel export controls curbed demand. read more

SWF focus: #UAE’s revamped ADIA targets infrastructure, healthcare for long-term returns

SWF focus: UAE’s revamped ADIA targets infrastructure, healthcare for long-term returns

Long considered a cautious, inscrutable investor, the Abu Dhabi Investment Authority (ADIA) now seems intent on shedding that reputation.

This year, it has increased its exposure to Indian real estate and healthcare; it has also signed a multi-billion-dollar deal for a European transport firm and joined a consortium attempting to buy an Australian hospital operator.

ADIA has $708.8 billion in assets under management, according to the Sovereign Wealth Fund Institute. Much of its recent private investments have focused on emerging markets in Asia; it only invests abroad.

“ADIA believes in the long-term growth of India’s middle class; it’s investing on a 20-year timeframe or longer,” said Javier Capapé, Director of Sovereign Wealth Research at the Center for the Governance of Change, IE University.

In June, ADIA agreed to pay 22 billion rupees for a 20% stake in India’s IIFL Home Finance, which provides property and construction loans. In a statement announcing the deal, an ADIA official highlighted the prospects for India’s “under-served and fast-growing affordable housing finance market”.

#Dubai DP World’s posts record H1 profit; warns growth outlook to moderate

Dubai DP World’s posts record H1 profit; warns growth outlook to moderate

Dubai-based DP World on Thursday posted a record net profit for H1-2022 supported by higher revenue from acquisitions and growth in high margin cargo. The global port operator warned it expects growth rates to moderate for the rest of the year.

Net profit attributable to shareholders for the period jumped 51% year-on-year (y-o-y) to $721 million, the port operator said in statement.

Revenue came in at $7.93 billion, up over 60%, supported by acquisitions, strong performance of “feedering services and growth in high margin cargo”.

Container revenue per TEU rose over 9% driven by higher demand for storage.

DP World gave capital expenditure guidance for 2022 is up to $1.4 billion with investments planned into UAE, Jeddah (Saudi Arabia), LondonGateway (UK), Sokhna (Egypt), Senegal and Callao (Peru).

Capital expenditure for H1 was $741 million, versus $687 million in 2021, and was invested across the existing portfolio.

#Saudi Ambition Helps Islamic Bond Market Evade the Global Gloom - Bloomberg

Saudi Ambition Helps Islamic Bond Market Evade the Global Gloom - Bloomberg

While doom and gloom grip emerging debt markets amid fears of recession and defaults, Saudi Arabia’s sukuk deals are booming.

The kingdom’s domestic-market sales of sukuk -- debt issued under Shariah, or Islamic religious law -- has hit $14.4 billion, up 185% from last year, according to data compiled by Bloomberg. That accounts for more than half of global domestic sukuk sales, and the Saudi government alone sold more than 60% of it.

Crown Prince Mohammed bin Salman, the kingdom’s de facto ruler, launched his Vision 2030 plan six years ago to overhaul the Saudi economy and end its reliance on oil. Financing the project is helping cushion the sukuk market from a global downturn that saw eurobond sales drop by more than half this year. Also fueling sales is investor demand for local assets as global debt suffered losses, as well as the central bank’s injection of cash into banks to ease a liquidity crunch.

“There are a lot of projects going on in Saudi driven by their 2030 vision to diversify their economy away from oil. These all need funding,” said Doug Bitcon, the Dubai-based head of credit strategies at Rasmala Investment Bank. “Local investors are familiar with the local companies and they can often raise liquidity at fine spreads.”

Mubadala-Backed #UAE Firm G42 Sets Up $10 Billion Fund for Tech Deals - Bloomberg

Mubadala-Backed UAE Firm G42 Sets Up $10 Billion Fund for Tech Deals - Bloomberg

Abu Dhabi-based artificial intelligence firm G42, which counts Mubadala Investment Co. and Silver Lake as its backers, is setting up a $10 billion fund with a focus on technology investments in emerging markets.

The entity will be formed in partnership with the Abu Dhabi Growth Fund, which was set up by state-controlled ADQ last year. Both G42 and ADQ are part of a business empire overseen by United Arab Emirates national security adviser Sheikh Tahnoon Bin Zayed.

The new fund will be managed by a unit of G42 and target late-stage growth companies with disruptive technologies. It will operate as a private equity investor, with a significant share of funds earmarked for high-growth regions, in sectors ranging from communications, intelligent mobility and renewables to healthcare.

The move comes as Abu Dhabi -- a city that’s among the few globally to manage over $1 trillion in sovereign wealth capital -- ratchets up efforts to plow oil revenue into the technology sector and diversify its economy.

Brazil's Burger King owner snubs Mubadala bid | Reuters

Brazil's Burger King owner snubs Mubadala bid | Reuters

The owner of Burger King Brazil, Zamp SA (BKBR3.SA), said on Wednesday its board of directors opposes Abu Dhabi state investor Mubadala Capital LLC's takeover bid for the firm, voicing its objection weeks before shareholders decide on the deal.

Zamp, previously known as BK Brasil Operacao e Assessoria a Restaurantes SA, is the master franchisee of the Burger King brand in Brazil, operating around 850 stores.

In early August, Mubadala launched a tender offer to purchase 45.15% of Zamp at 7.55 reais per share, which would lift its stake in the company to 50.1%. read more

In a securities filing, Zamp said it hired investment bank BTG Pactual as its financial adviser on the deal, which has established that a fair price would be in the range of 9.96 to 13.47 reais per share.

Oil prices hold steady as recession worries offset lower U.S. stocks | Reuters

Oil prices hold steady as recession worries offset lower U.S. stocks | Reuters

Oil prices were little changed on Thursday as investors grappled with falling stockpiles in the United States, rising output from Russia and worries about a potential global recession.

Brent crude futures climbed 15 cents, or 0.2%, to $93.80 a barrel by 0347 GMT. U.S. crude futures gained 4 cents, or 0.1%, to $88.15 a barrel.

Prices rose more than 1% during the previous session, although Brent at one point fell to its lowest since February.

Futures have fallen over the past few months, as investors have pored over economic data that has spurred concerns about a potential recession that could hurt energy demand.

British consumer price inflation jumped to 10.1% in July, its highest since February 1982, intensifying a squeeze on households. read more

The oil market remains in a multi-year tightening cycle, RBC Capital's Mike Tran said, adding that investors are in search of near-term upside catalysts.