SVB (SIVB) and Royal Group: UAE's Sheikh Tahnoon bin Zayed Al Nahyan - Bloomberg
Royal Group, an investment firm controlled by a top Abu Dhabi royal, is considering a possible takeover of the UK arm of Silicon Valley Bank following its collapse last week, according to people familiar with the matter.
The conglomerate, chaired by United Arab Emirates National Security Adviser Sheikh Tahnoon bin Zayed Al Nahyan, is discussing a potential buy-out through one of its subsidiaries, said the people, who asked not to be identified because the discussions are private.
No final decision has been made and a bid may not be tabled. Representatives for Royal Group didn’t immediately respond to requests for comments outside of normal working hours.
The turmoil at Silicon Valley Bank UK is spilling over into the nation’s technology sector, stoking concern among startups and venture-capital firms worried about losing access to funds sitting at the lender. While the lender is small compared to the UK’s largest banks, it plays an outsized role in the world of startups, describing itself on its website as “the go-to banking partner for founders, entrepreneurs and investors.”
Sunday 12 March 2023
Most Middle Eastern stock markets in red as bank worries spread | Reuters
Most Middle Eastern stock markets in red as bank worries spread | Reuters
Most stock markets in the Middle East ended lower on Sunday, with the Egyptian bourse leading the declines, in response to Friday's fall in global shares over fears of contagion following the collapse of Silicon Valley Bank (SVB) (SIVB.O).
The startup-focused lender became the largest bank to fail since the 2008 financial crisis on Friday, roiling global markets and leaving billions of dollars belonging to companies and investors stranded.
In Qatar, the index (.QSI) slid 1.6%, as almost all the stocks were in negative territory including Qatar Islamic Bank (QISB.QA), which tumbled 3.9%.
According to Daniel Takieddine, CEO MENA at BDSwiss, the Qatari market could also be exposed to the tensions that emerged in the U.S. this week and could put pressure on the local banking sector's stock prices.
Saudi Arabia's benchmark index (.TASI) dropped 0.8%, weighed down by a 1.7% fall in Al Rajhi Bank (1120.SE) and a 0.8% decrease in Retal Urban Development CO (4322.SE).
Oil behemoth Saudi Aramco (2223.SE) ended flat, despite reporting a steep rise in 2022 profits.
Aramco posted a record annual net profit of $161.1 billion for 2022, up 46% from the previous year on higher energy prices, increased volumes sold and improved margins for refined products.
Separately, Saudi Arabia's Crown Prince Mohammed bin Salman formally announced on Sunday the creation of a new national airline, Riyadh Air, with industry veteran Tony Douglas as its chief executive, as the kingdom moves to compete with regional transport and travel hubs.
Outside the Gulf, Egypt's blue-chip index (.EGX30) tumbled 3.1%, with 28 of thirty one stocks on the index trading red, including top lender Commercial International Bank (COMI.CA), which was down 1.8%.
Most stock markets in the Middle East ended lower on Sunday, with the Egyptian bourse leading the declines, in response to Friday's fall in global shares over fears of contagion following the collapse of Silicon Valley Bank (SVB) (SIVB.O).
The startup-focused lender became the largest bank to fail since the 2008 financial crisis on Friday, roiling global markets and leaving billions of dollars belonging to companies and investors stranded.
In Qatar, the index (.QSI) slid 1.6%, as almost all the stocks were in negative territory including Qatar Islamic Bank (QISB.QA), which tumbled 3.9%.
According to Daniel Takieddine, CEO MENA at BDSwiss, the Qatari market could also be exposed to the tensions that emerged in the U.S. this week and could put pressure on the local banking sector's stock prices.
Saudi Arabia's benchmark index (.TASI) dropped 0.8%, weighed down by a 1.7% fall in Al Rajhi Bank (1120.SE) and a 0.8% decrease in Retal Urban Development CO (4322.SE).
Oil behemoth Saudi Aramco (2223.SE) ended flat, despite reporting a steep rise in 2022 profits.
Aramco posted a record annual net profit of $161.1 billion for 2022, up 46% from the previous year on higher energy prices, increased volumes sold and improved margins for refined products.
Separately, Saudi Arabia's Crown Prince Mohammed bin Salman formally announced on Sunday the creation of a new national airline, Riyadh Air, with industry veteran Tony Douglas as its chief executive, as the kingdom moves to compete with regional transport and travel hubs.
Outside the Gulf, Egypt's blue-chip index (.EGX30) tumbled 3.1%, with 28 of thirty one stocks on the index trading red, including top lender Commercial International Bank (COMI.CA), which was down 1.8%.
#SaudiArabia launches new national airline | Reuters
Saudi Arabia launches new national airline | Reuters
Saudi Arabia's Crown Prince Mohammed bin Salman formally announced on Sunday the creation of a new national airline, Riyadh Air, with industry veteran Tony Douglas as its chief executive, as the kingdom moves to compete with regional transport and travel hubs.
Riyadh Air will will serve more than 100 destinations around the world by 2030, making use of the kingdom's location between Asia, Africa and Europe, state news agency SPA said.
The new airline is expected to add $20 billion to Saudi Arabia's non-oil GDP growth and create more than 200,000 jobs both directly and indirectly, it said.
The announcement may lead to a tougher battle for passengers, going head-to-head with regional giants Emirates, Qatar Airways and Turkish Airlines as the travel industry recovers from the pandemic.
Riyadh Air is wholly owned by Saudi Arabia's sovereign wealth fund, the Public Investment Fund (PIF), which has more than $600 billion in assets and is the main driver of the kingdom's efforts to diversify its economy and wean itself off oil.
Saudi Arabia's Crown Prince Mohammed bin Salman formally announced on Sunday the creation of a new national airline, Riyadh Air, with industry veteran Tony Douglas as its chief executive, as the kingdom moves to compete with regional transport and travel hubs.
Riyadh Air will will serve more than 100 destinations around the world by 2030, making use of the kingdom's location between Asia, Africa and Europe, state news agency SPA said.
The new airline is expected to add $20 billion to Saudi Arabia's non-oil GDP growth and create more than 200,000 jobs both directly and indirectly, it said.
The announcement may lead to a tougher battle for passengers, going head-to-head with regional giants Emirates, Qatar Airways and Turkish Airlines as the travel industry recovers from the pandemic.
Riyadh Air is wholly owned by Saudi Arabia's sovereign wealth fund, the Public Investment Fund (PIF), which has more than $600 billion in assets and is the main driver of the kingdom's efforts to diversify its economy and wean itself off oil.
Mideast Spymaster Sheikh Tahnoon's AI Stocks Rely on Related-Party Sales - Bloomberg
Mideast Spymaster Sheikh Tahnoon's AI Stocks Rely on Related-Party Sales - Bloomberg
Two high-flying AI companies backed by an influential Middle Eastern royal have been opening up to the public markets for the first time. Behind the scenes, their rise has been predominantly powered by business with connected parties.
Data analytics firm Presight AI Holding Plc said this month it’s seeking 1.82 billion dirhams ($496 million) in an Abu Dhabi IPO. It’s hoping to repeat the success of sister company Bayanat AI Plc, a geospatial intelligence provider that has more than tripled since it listed in October last year and is now worth $1.9 billion.
They’re both part of the sprawling business empire of Sheikh Tahnoon bin Zayed Al Nahyan, who’s known as the spy chief of the United Arab Emirates. He chairs their parent company G42, which is rapidly expanding as it builds up a portfolio of firms involved in everything from cloud computing to vaccines and driverless cars.
Presight booked $347.9 million of revenue from related-party transactions in 2022 or about 82.3% of total sales, according to its IPO prospectus, which notes the Abu Dhabi government is considered a related party. The year before, 99.8% of its revenue came from related parties.
The company doesn’t specify precisely which clients those sales came from. Other sections of the prospectus note Presight provided pandemic management tools for the UAE amid the spread of Covid-19 and supplied video analytics for Expo 2020 in Dubai. The listing documents warn Presight is “highly dependent” on its domestic operations, though it has plans to boost its international business.
Two high-flying AI companies backed by an influential Middle Eastern royal have been opening up to the public markets for the first time. Behind the scenes, their rise has been predominantly powered by business with connected parties.
Data analytics firm Presight AI Holding Plc said this month it’s seeking 1.82 billion dirhams ($496 million) in an Abu Dhabi IPO. It’s hoping to repeat the success of sister company Bayanat AI Plc, a geospatial intelligence provider that has more than tripled since it listed in October last year and is now worth $1.9 billion.
They’re both part of the sprawling business empire of Sheikh Tahnoon bin Zayed Al Nahyan, who’s known as the spy chief of the United Arab Emirates. He chairs their parent company G42, which is rapidly expanding as it builds up a portfolio of firms involved in everything from cloud computing to vaccines and driverless cars.
Presight booked $347.9 million of revenue from related-party transactions in 2022 or about 82.3% of total sales, according to its IPO prospectus, which notes the Abu Dhabi government is considered a related party. The year before, 99.8% of its revenue came from related parties.
The company doesn’t specify precisely which clients those sales came from. Other sections of the prospectus note Presight provided pandemic management tools for the UAE amid the spread of Covid-19 and supplied video analytics for Expo 2020 in Dubai. The listing documents warn Presight is “highly dependent” on its domestic operations, though it has plans to boost its international business.
#Saudi Aramco Posts Blowout Annual Profit and Raises Dividend - Bloomberg
Saudi Aramco Posts Blowout Annual Profit and Raises Dividend - Bloomberg
Saudi Aramco unexpectedly increased its dividend and said it would boost spending as it looks to deploy an avalanche of cash generated by last year’s surge in oil and gas prices.
The world’s biggest energy company made net income of $161 billion, the most since it listed and up 46% from 2021. Its performance was bolstered by Russia’s invasion of Ukraine roiling oil markets.
Aramco raised its dividend — a crucial source of funding for the Saudi Arabian government — to $19.5 billion for the final quarter, up 4% from the previous three-month period.
US and European peers such as Chevron Corp. and Shell Plc also reported blowout earnings and are returning billions of dollars to shareholders through larger dividends and buybacks. Aramco, until now, has instead focused on using its extra cash to increase output.
Saudi Aramco unexpectedly increased its dividend and said it would boost spending as it looks to deploy an avalanche of cash generated by last year’s surge in oil and gas prices.
The world’s biggest energy company made net income of $161 billion, the most since it listed and up 46% from 2021. Its performance was bolstered by Russia’s invasion of Ukraine roiling oil markets.
Aramco raised its dividend — a crucial source of funding for the Saudi Arabian government — to $19.5 billion for the final quarter, up 4% from the previous three-month period.
US and European peers such as Chevron Corp. and Shell Plc also reported blowout earnings and are returning billions of dollars to shareholders through larger dividends and buybacks. Aramco, until now, has instead focused on using its extra cash to increase output.
#Saudi Aramco reports record profit of $161.1bln in 2022
Saudi Aramco reports record profit of $161.1bln in 2022
Saudi Arabian oil giant Aramco on Sunday reported a record annual net profit of $161.1 billion for 2022, up 46% from the previous year on higher energy prices, increased volumes sold and improved margins for refined products.
The profits, which are around triple that of Exxon's $56 billion, follow similar reports in February from international peers such as BP, Shell, and Chevron which have mostly posted record profits for last year.
Oil prices swung wildly in 2022, climbing on geopolitical worries amid the war in Ukraine, then sliding on weaker demand from top importer China and worries of a global economic contraction.
"Given that we anticipate oil and gas will remain essential for the foreseeable future, the risks of underinvestment in our industry are real — including contributing to higher energy prices," Aramco's chief executive Amin Nasser said in the results statement.
To address those challenges, the company is investing in new lower-carbon technologies with potential to achieve additional emission reductions, Nasser said.
Saudi Arabian oil giant Aramco on Sunday reported a record annual net profit of $161.1 billion for 2022, up 46% from the previous year on higher energy prices, increased volumes sold and improved margins for refined products.
The profits, which are around triple that of Exxon's $56 billion, follow similar reports in February from international peers such as BP, Shell, and Chevron which have mostly posted record profits for last year.
Oil prices swung wildly in 2022, climbing on geopolitical worries amid the war in Ukraine, then sliding on weaker demand from top importer China and worries of a global economic contraction.
"Given that we anticipate oil and gas will remain essential for the foreseeable future, the risks of underinvestment in our industry are real — including contributing to higher energy prices," Aramco's chief executive Amin Nasser said in the results statement.
To address those challenges, the company is investing in new lower-carbon technologies with potential to achieve additional emission reductions, Nasser said.
Bankrupt FTX Estate to Sell Sequoia Stake to #AbuDhabi Firm for $45 Million - Bloomberg
Bankrupt FTX Estate to Sell Sequoia Stake to Abu Dhabi Firm for $45 Million - Bloomberg
Liquidators for defunct crypto exchange FTX asked a judge to approve the sale of its interest in a fund of venture capital firm Sequoia Capital to an Abu Dhabi state-backed investment firm, in a deal valued at $45 million.
FTX agreed to sell the interest in the Sequoia Capital Fund, which previously belonged to its sister trading outfit Alameda Research’s venture arm, to Al Nawwar Investments RSC Limited on Wednesday, its estate said in a filing to Delaware’s bankruptcy court late that same day. Al Nawwar is a subsidiary of an investment fund wholly owned by the Abu Dhabi government, and is an existing investor in the Sequoia fund.
Alameda had acquired the stake in March 2022 for an aggregate capital commitment of $100 million, the filing said. To date, around $50 million of that commitment had been called up by Sequoia for investment in various portfolio companies.
Advisers for FTX have been scrambling to raise money from the failed crypto exchange’s wreckage in order to repay creditors, with around $5 billion in cash and cryptoassets located as of January. Liquidators said that it had decided it was in “the best interest” of the estate to sell its Sequoia stake now because of its size, expected management fees and because its value could diminish if Sequoia chose to make more capital calls in the future.
Al Nawwar had made a bid for the stake in February alongside three other parties. Subject to approval, the deal is expected to close by the end of this month, the filing said.
Liquidators for defunct crypto exchange FTX asked a judge to approve the sale of its interest in a fund of venture capital firm Sequoia Capital to an Abu Dhabi state-backed investment firm, in a deal valued at $45 million.
FTX agreed to sell the interest in the Sequoia Capital Fund, which previously belonged to its sister trading outfit Alameda Research’s venture arm, to Al Nawwar Investments RSC Limited on Wednesday, its estate said in a filing to Delaware’s bankruptcy court late that same day. Al Nawwar is a subsidiary of an investment fund wholly owned by the Abu Dhabi government, and is an existing investor in the Sequoia fund.
Alameda had acquired the stake in March 2022 for an aggregate capital commitment of $100 million, the filing said. To date, around $50 million of that commitment had been called up by Sequoia for investment in various portfolio companies.
Advisers for FTX have been scrambling to raise money from the failed crypto exchange’s wreckage in order to repay creditors, with around $5 billion in cash and cryptoassets located as of January. Liquidators said that it had decided it was in “the best interest” of the estate to sell its Sequoia stake now because of its size, expected management fees and because its value could diminish if Sequoia chose to make more capital calls in the future.
Al Nawwar had made a bid for the stake in February alongside three other parties. Subject to approval, the deal is expected to close by the end of this month, the filing said.
#Saudi sovereign wealth fund near $35 billion deal for Boeing jets, WSJ says | Reuters
Saudi sovereign wealth fund near $35 billion deal for Boeing jets, WSJ says | Reuters
Saudi Arabia's Public Investment Fund (PIF) is close to a deal to order Boeing commercial jets for the fleet of a new national airline, the Wall Street Journal reported on Saturday, citing people familiar with the matter.
The aircraft order is valued at $35 billion, the report said, adding that the deal could be announced as soon as Sunday during an official launch of the national airline.
The deal includes wide-body jets which are often used for long international flights, the report added.
In October, Saudi Arabia was in advanced negotiations to order almost 40 A350 jets from Airbus (AIR.PA), with Boeing Co (BA.N) also lobbying for a slice of the kingdom's transportation expansion, industry sources had told Reuters.
The head of state-owned Saudi Arabian Airlines (Saudia) had then told Reuters that it was in talks with Boeing and Airbus on orders both for itself and a planned new carrier, RIA.
Saudi Arabia's Public Investment Fund (PIF) is close to a deal to order Boeing commercial jets for the fleet of a new national airline, the Wall Street Journal reported on Saturday, citing people familiar with the matter.
The aircraft order is valued at $35 billion, the report said, adding that the deal could be announced as soon as Sunday during an official launch of the national airline.
The deal includes wide-body jets which are often used for long international flights, the report added.
In October, Saudi Arabia was in advanced negotiations to order almost 40 A350 jets from Airbus (AIR.PA), with Boeing Co (BA.N) also lobbying for a slice of the kingdom's transportation expansion, industry sources had told Reuters.
The head of state-owned Saudi Arabian Airlines (Saudia) had then told Reuters that it was in talks with Boeing and Airbus on orders both for itself and a planned new carrier, RIA.