Saudi Arabia's PIF-Backed Oil Driller Ades Gets Nod for $1 Billion Riyadh IPO - Bloomberg
Stock offerings in Saudi Arabia look set to pick up pace after slowing in the first half of the year, with two new deals for an oil driller backed by the kingdom’s sovereign wealth fund and an air cargo business being given regulatory approval.
Ades Holding, the oil and gas driller backed by the Public Investment Fund, and SAL Saudi Logistics, were both granted approval to sell 30% stakes to the public, the kingdom’s Capital Market Authority said Wednesday. The Ades deal could raise about $1 billion, making it one of the largest Saudi offerings of the year.
Typically one of the biggest and busiest listings markets in the Persian Gulf, Saudi Arabia has recently been more subdued after its stock market slumped last year. However, a 10% rally in the Tadawul All Share Index since the start of the year coupled with a number of debuts this week have shown that investor appetite for offerings is still strong.
Several other large share sales are also in the works though without a clear timeline yet, including a potential secondary offering of Saudi Aramco and a listing of its trading business.
Wednesday 21 June 2023
Most Gulf bourses end higher ahead of Powell's testimony | Reuters
Most Gulf bourses end higher ahead of Powell's testimony | Reuters
Most stock markets in the Gulf gained on Wednesday as investors shrugged off fears of hawkish signals from U.S. Federal Reserve Chair Jerome Powell's congressional testimony.
Powell is scheduled to deliver congressional testimonies on monetary policy on Wednesday and Thursday. Markets expect around a 78% chance of a hike to 5.25-5.5% next month, with that likely being the end of the entire tightening cycle.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
Saudi Arabia's benchmark index (.TASI) inched up 0.3%, with Dr Sulaiman Al-Habib Medical Services (4013.SE) rising 1.3% and Company for Cooperative Insurance (8010.SE) climbing 3.9%.
Elsewhere, Morabaha Marina Financing Co (4082.SE), which rose as much as 20.5%, closed 2.3% higher in debut trade.
In Abu Dhabi, the index (.FTFADGI) advanced for a fourth consecutive session, up 0.3%, buoyed by a 2.1% rise in First Abu Dhabi Bank (FAB.AD), the largest lender in UAE.
Among the winners, Abu Dhabi Ship Building (ADSB.AD) gained 1.2% and Abu Dhabi National Energy (TAQA.AD) (TAQA) added 0.9%.
TAQA, the UAE's biggest power producer, said on Wednesday it plans to buy SWS Holding for 1.7 billion dirhams ($462.91 million).
Dubai's benchmark index (.DFMGI) snapped two-session losses, ending 0.2% higher. The index was helped by a 1.2% gain in Emaar Properties (EMAR.DU) and a 2.1% advance in low-cost flyer Air Arabia (AIRA.DU).
Dubai's largest lender Emirates NBD (ENBD.DU) added 0.7%.
In Qatar, the benchmark index (.QSI) lost for a second straight session, ending 0.2% lower. A 0.6% decline in Qatar National Bank (QNBK.QA), the region's largest lender, and a 1% drop in Qatar Islamic Bank (QISB.QA) weighed on the index.
The Qatari bourse remained under pressure and could test this month's lows, said George Pavel, general manager at Capex.com.
"The natural gas market's developments are also leaving the Qatari market without strong support."
Outside the Gulf, Egypt's blue-chip index (.EGX30) dropped for a third consecutive session, closing 1.2% lower, with all the sectors in the red.
Commercial International Bank (COMI.CA) and Abu Qir Fertilizers and Chemical Industries (ABUK.CA) slipped 0.7% and 2.8%, respectively. Eastern Co (EAST.CA) dropped 1.8%.
Separately, the Central Bank of Egypt is expected to leave its overnight interest rates unchanged on Thursday, a Reuters poll showed on Monday.
Most stock markets in the Gulf gained on Wednesday as investors shrugged off fears of hawkish signals from U.S. Federal Reserve Chair Jerome Powell's congressional testimony.
Powell is scheduled to deliver congressional testimonies on monetary policy on Wednesday and Thursday. Markets expect around a 78% chance of a hike to 5.25-5.5% next month, with that likely being the end of the entire tightening cycle.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
Saudi Arabia's benchmark index (.TASI) inched up 0.3%, with Dr Sulaiman Al-Habib Medical Services (4013.SE) rising 1.3% and Company for Cooperative Insurance (8010.SE) climbing 3.9%.
Elsewhere, Morabaha Marina Financing Co (4082.SE), which rose as much as 20.5%, closed 2.3% higher in debut trade.
In Abu Dhabi, the index (.FTFADGI) advanced for a fourth consecutive session, up 0.3%, buoyed by a 2.1% rise in First Abu Dhabi Bank (FAB.AD), the largest lender in UAE.
Among the winners, Abu Dhabi Ship Building (ADSB.AD) gained 1.2% and Abu Dhabi National Energy (TAQA.AD) (TAQA) added 0.9%.
TAQA, the UAE's biggest power producer, said on Wednesday it plans to buy SWS Holding for 1.7 billion dirhams ($462.91 million).
Dubai's benchmark index (.DFMGI) snapped two-session losses, ending 0.2% higher. The index was helped by a 1.2% gain in Emaar Properties (EMAR.DU) and a 2.1% advance in low-cost flyer Air Arabia (AIRA.DU).
Dubai's largest lender Emirates NBD (ENBD.DU) added 0.7%.
In Qatar, the benchmark index (.QSI) lost for a second straight session, ending 0.2% lower. A 0.6% decline in Qatar National Bank (QNBK.QA), the region's largest lender, and a 1% drop in Qatar Islamic Bank (QISB.QA) weighed on the index.
The Qatari bourse remained under pressure and could test this month's lows, said George Pavel, general manager at Capex.com.
"The natural gas market's developments are also leaving the Qatari market without strong support."
Outside the Gulf, Egypt's blue-chip index (.EGX30) dropped for a third consecutive session, closing 1.2% lower, with all the sectors in the red.
Commercial International Bank (COMI.CA) and Abu Qir Fertilizers and Chemical Industries (ABUK.CA) slipped 0.7% and 2.8%, respectively. Eastern Co (EAST.CA) dropped 1.8%.
Separately, the Central Bank of Egypt is expected to leave its overnight interest rates unchanged on Thursday, a Reuters poll showed on Monday.
Mideast Buyers in $20 Billion Deal Rush for Plastics, Metals - Bloomberg
Mideast Buyers in $20 Billion Deal Rush for Plastics, Metals - Bloomberg
Middle Eastern state firms are becoming increasingly ambitious as they scour the globe for acquisitions, targeting everything from a top European plastics producer to major mining operations.
In just the last 24 hours, news of nearly $20 billion in potential deals has emerged. Abu Dhabi energy giant Adnoc made a preliminary approach for German chemical producer Covestro AG, Bloomberg News reported Tuesday, triggering a record jump in the stock. It’s considering an offer that could value the business at almost €11 billion ($12 billion) and rank as its biggest-ever overseas takeover.
Saudi Arabia’s sovereign fund is in advanced talks to buy a roughly $2.5 billion stake in Vale SA’s base metal unit, people with knowledge of the matter said. It’s part of a plan by the country to snap up minority stakes in a range of iron ore, copper, nickel and lithium assets globally.
Chinese electric vehicle brand Nio Inc. said Tuesday it’s sealed a $739 million investment from an arm of the Abu Dhabi government. Meanwhile, Abu Dhabi wealth fund ADQ made an aborted attempt in recent months to buy Lazard Ltd., according to people with knowledge of the matter.
Top Persian Gulf countries are keen to take advantage of the recent period of higher crude prices to acquire assets internationally and further diversify their economies. The spending spree has ranged from industrial and financial assets to natural resources and renewables to sports and entertainment.
Middle Eastern state firms are becoming increasingly ambitious as they scour the globe for acquisitions, targeting everything from a top European plastics producer to major mining operations.
In just the last 24 hours, news of nearly $20 billion in potential deals has emerged. Abu Dhabi energy giant Adnoc made a preliminary approach for German chemical producer Covestro AG, Bloomberg News reported Tuesday, triggering a record jump in the stock. It’s considering an offer that could value the business at almost €11 billion ($12 billion) and rank as its biggest-ever overseas takeover.
Saudi Arabia’s sovereign fund is in advanced talks to buy a roughly $2.5 billion stake in Vale SA’s base metal unit, people with knowledge of the matter said. It’s part of a plan by the country to snap up minority stakes in a range of iron ore, copper, nickel and lithium assets globally.
Chinese electric vehicle brand Nio Inc. said Tuesday it’s sealed a $739 million investment from an arm of the Abu Dhabi government. Meanwhile, Abu Dhabi wealth fund ADQ made an aborted attempt in recent months to buy Lazard Ltd., according to people with knowledge of the matter.
Top Persian Gulf countries are keen to take advantage of the recent period of higher crude prices to acquire assets internationally and further diversify their economies. The spending spree has ranged from industrial and financial assets to natural resources and renewables to sports and entertainment.
Brevan Howard Co-Founder Natsis Moves to #AbuDhabi in #UAE, Middle East Push - Bloomberg
Brevan Howard Co-Founder Natsis Moves to Abu Dhabi in UAE, Middle East Push - Bloomberg
Brevan Howard Asset Management co-founder Trifon Natsis has relocated to Abu Dhabi as part of the company’s plans to expand in the United Arab Emirates, which is fast becoming a major hub for hedge funds.
The Jersey, Channel Islands-based investment firm, best known for macro trading and a recent push into digital assets, has also moved portfolio manager Mitesh Gupta to its new outpost in the UAE capital, according to people with knowledge of the matter.
The firm is sounding out other employees from trading, risk, sales and marketing about moving to the region where it eventually plans to have about 100 people, the people said, asking not to be identified because the details are private.
A spokesman for Brevan Howard declined to comment.
The move follows efforts by Abu Dhabi, whose sovereign wealth funds oversee some $1.5 trillion, to draw in more international foreign money and financial firms. Ray Dalio is setting up a branch of his family office in Abu Dhabi Global Market, the emirate’s international financial free zone, which has wooed a cadre of big hedge funds, venture capital firms and crypto companies this past year. In May, Abu Dhabi said it plans to expand ADGM tenfold to make it one of the world’s largest financial districts.
The UAE is already home to a number of alternative investors. Izzy Englander’s Millennium Management has more than two dozen people working for him in Dubai, while Michael Gelband’s ExodusPoint, one of the largest multi-strategy hedge funds, is expanding in the city. Michael Platt’s private investment firm BlueCrest Capital Management is also building a presence.
Brevan Howard Asset Management co-founder Trifon Natsis has relocated to Abu Dhabi as part of the company’s plans to expand in the United Arab Emirates, which is fast becoming a major hub for hedge funds.
The Jersey, Channel Islands-based investment firm, best known for macro trading and a recent push into digital assets, has also moved portfolio manager Mitesh Gupta to its new outpost in the UAE capital, according to people with knowledge of the matter.
The firm is sounding out other employees from trading, risk, sales and marketing about moving to the region where it eventually plans to have about 100 people, the people said, asking not to be identified because the details are private.
A spokesman for Brevan Howard declined to comment.
The move follows efforts by Abu Dhabi, whose sovereign wealth funds oversee some $1.5 trillion, to draw in more international foreign money and financial firms. Ray Dalio is setting up a branch of his family office in Abu Dhabi Global Market, the emirate’s international financial free zone, which has wooed a cadre of big hedge funds, venture capital firms and crypto companies this past year. In May, Abu Dhabi said it plans to expand ADGM tenfold to make it one of the world’s largest financial districts.
The UAE is already home to a number of alternative investors. Izzy Englander’s Millennium Management has more than two dozen people working for him in Dubai, while Michael Gelband’s ExodusPoint, one of the largest multi-strategy hedge funds, is expanding in the city. Michael Platt’s private investment firm BlueCrest Capital Management is also building a presence.
#AbuDhabi (FAB, ADQ) Scours for Global Banking Deal Armed With $1 Trillion - Bloomberg
Abu Dhabi (FAB, ADQ) Scours for Global Banking Deal Armed With $1 Trillion - Bloomberg
Over the past year, the oil-rich emirate of Abu Dhabi has explored a string of ambitious acquisitions in the international banking sector in an attempt to become a global financial powerhouse. None have panned out so far.
The Abu Dhabi wealth fund ADQ held preliminary talks to acquire boutique investment bank Lazard Ltd. at the start of the year, according to people familiar with the matter. The discussions quickly fell apart over differences about the future independence of the 175-year old Wall Street firm, the people said, asking not to be identified because the discussions are private.
Around the same time, First Abu Dhabi Bank PJSC was said to weigh an offer of as much as $35 billion for Britain’s Standard Chartered Plc. It had tried to buy Egypt’s biggest investment bank in 2022. Neither of those deals materialized.
Royal Group, chaired by United Arab Emirates National Security Adviser Sheikh Tahnoon bin Zayed Al Nahyan, considered a possible takeover of the UK arm of Silicon Valley Bank following its collapse, people familiar with the matter said in March. The unit was ultimately purchased by HSBC Holdings Plc for £1 ($1.3).
Abu Dhabi has succeeded in pulling off some niche deals in the financial industry, but there’s no sense that it is likely to stop looking for a big deal. The emirate manages about $1.5 trillion of sovereign wealth and is also home to funds such as the Abu Dhabi Investment Authority and Mubadala Investment Co. The expansion is being driven by the ambition of the ruling Al Nahyan family — and in particular Sheikh Tahnoon — to win more global heft for the emirate, as well as the need to find new avenues for its banking sector to grow.
Over the past year, the oil-rich emirate of Abu Dhabi has explored a string of ambitious acquisitions in the international banking sector in an attempt to become a global financial powerhouse. None have panned out so far.
The Abu Dhabi wealth fund ADQ held preliminary talks to acquire boutique investment bank Lazard Ltd. at the start of the year, according to people familiar with the matter. The discussions quickly fell apart over differences about the future independence of the 175-year old Wall Street firm, the people said, asking not to be identified because the discussions are private.
Around the same time, First Abu Dhabi Bank PJSC was said to weigh an offer of as much as $35 billion for Britain’s Standard Chartered Plc. It had tried to buy Egypt’s biggest investment bank in 2022. Neither of those deals materialized.
Royal Group, chaired by United Arab Emirates National Security Adviser Sheikh Tahnoon bin Zayed Al Nahyan, considered a possible takeover of the UK arm of Silicon Valley Bank following its collapse, people familiar with the matter said in March. The unit was ultimately purchased by HSBC Holdings Plc for £1 ($1.3).
Abu Dhabi has succeeded in pulling off some niche deals in the financial industry, but there’s no sense that it is likely to stop looking for a big deal. The emirate manages about $1.5 trillion of sovereign wealth and is also home to funds such as the Abu Dhabi Investment Authority and Mubadala Investment Co. The expansion is being driven by the ambition of the ruling Al Nahyan family — and in particular Sheikh Tahnoon — to win more global heft for the emirate, as well as the need to find new avenues for its banking sector to grow.
Interview: #Qatar Stock Exchange acting CEO talks IPO pipeline, crucial role in developing economy
Interview: Qatar Stock Exchange acting CEO talks IPO pipeline, crucial role in developing economy
With 50 listed companies and a market capitalisation expressed as part of the GDP at 65%, the Qatar Stock Exchange (QSE) has experienced significant growth in the last three years in terms of IPOs, reflecting the market’s increasing appeal to issuers and investors.
On Tuesday, the QSE launched a high-performing trading platform that aligns with the advanced financial market technologies utilised by the London Stock Exchange Group (LSEG). In an exclusive interview with Zawya, acting CEO Abdulaziz Nasser al-Emadi talks about QSE's road ahead, its IPO pipeline and the crucial role the stock exchange plays in developing Qatar’s economy.
How does the QSE’s current growth compare to that recorded over the last three years?
In total, the QSE has seen five new listings within the last three years, showcasing a positive trend in its expansion.
Between 2021 and 2023, the QSE welcomed new listings with a total market cap of about QAR 21 billion ($5.75 billion), including QLM Life & Medical Insurance, Beema, Dukhan Bank, Mekdam, and Al Faleh Group. These additions broadened the range of sectors represented on the exchange and contributed to its diversification.
With 50 listed companies and a market capitalisation expressed as part of the GDP at 65%, the Qatar Stock Exchange (QSE) has experienced significant growth in the last three years in terms of IPOs, reflecting the market’s increasing appeal to issuers and investors.
On Tuesday, the QSE launched a high-performing trading platform that aligns with the advanced financial market technologies utilised by the London Stock Exchange Group (LSEG). In an exclusive interview with Zawya, acting CEO Abdulaziz Nasser al-Emadi talks about QSE's road ahead, its IPO pipeline and the crucial role the stock exchange plays in developing Qatar’s economy.
How does the QSE’s current growth compare to that recorded over the last three years?
In total, the QSE has seen five new listings within the last three years, showcasing a positive trend in its expansion.
Between 2021 and 2023, the QSE welcomed new listings with a total market cap of about QAR 21 billion ($5.75 billion), including QLM Life & Medical Insurance, Beema, Dukhan Bank, Mekdam, and Al Faleh Group. These additions broadened the range of sectors represented on the exchange and contributed to its diversification.
Most Gulf bourses fall, focus on Powell's testimony | Reuters
Most Gulf bourses fall, focus on Powell's testimony | Reuters
Most stock markets in the Gulf fell in early trade on Wednesday as investors remained cautious ahead of U.S. Federal Reserve Chair Jerome Powell's congressional testimony.
Powell is scheduled to deliver congressional testimonies on monetary policy on Wednesday and Thursday. Markets expect around a 78% chance of a hike to 5.25-5.5% next month, with that likely to be the end of the monetary policy tightening cycle.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
In Qatar, the benchmark share index (.QSI) fell 0.4%, with most sectors trading in the red. Shares of Doha Bank (DOBK.QA) and Qatar International Islamic Bank (QIIB.QA) slid 2.9% and 1.1% respectively.
The region's largest lender Qatar National Bank (QNBK.QA) lost 0.8%.
Dubai's benchmark stock index (.DFMGI) eased 0.3%, weighed down by losses in finance, industry and utilities sectors, with Emaar Properties shares (EMAR.DU) falling 0.5% and Dubai Electricity and Water Authority (DEWAA.DU) down 0.8%.
Saudi Arabia's benchmark stock index (.TASI) slipped 0.1%, dragged down by losses in finance and health care sectors with Riyad Bank (1010.SE) falling 1.1% and Banque Saudi Fransi (1050.SE) 1.4% lower.
Shares in the world's largest Islamic bank by assets, Al Rajhi Bank (1120.SE) lost 0.5%.
Still, shares of Morabaha Marina Financing Co shot up as much as 20% to 17.6 riyals in its market debut from an offer price of 14.6 riyals per share.
In Abu Dhabi, the benchmark stock index (.FTFADGI) was up 0.1%, helped by a 2.1% rise in Q Holding (QHOLDING.AD) and 1.6% gain in ADNOC Gas (ADNOCGAS.AD).
Separately, Abu Dhabi National Oil Company (ADNOC), the parent company of ADNOC Gas, has approached German plastics and chemicals maker Covestro with a takeover proposal valuing the company at more than 10 billion euros ($10.9 billion), Reuters reported on June 20.
Most stock markets in the Gulf fell in early trade on Wednesday as investors remained cautious ahead of U.S. Federal Reserve Chair Jerome Powell's congressional testimony.
Powell is scheduled to deliver congressional testimonies on monetary policy on Wednesday and Thursday. Markets expect around a 78% chance of a hike to 5.25-5.5% next month, with that likely to be the end of the monetary policy tightening cycle.
Most Gulf currencies are pegged to the dollar and any monetary policy change in the United States is usually mimicked by Saudi Arabia, the United Arab Emirates and Qatar.
In Qatar, the benchmark share index (.QSI) fell 0.4%, with most sectors trading in the red. Shares of Doha Bank (DOBK.QA) and Qatar International Islamic Bank (QIIB.QA) slid 2.9% and 1.1% respectively.
The region's largest lender Qatar National Bank (QNBK.QA) lost 0.8%.
Dubai's benchmark stock index (.DFMGI) eased 0.3%, weighed down by losses in finance, industry and utilities sectors, with Emaar Properties shares (EMAR.DU) falling 0.5% and Dubai Electricity and Water Authority (DEWAA.DU) down 0.8%.
Saudi Arabia's benchmark stock index (.TASI) slipped 0.1%, dragged down by losses in finance and health care sectors with Riyad Bank (1010.SE) falling 1.1% and Banque Saudi Fransi (1050.SE) 1.4% lower.
Shares in the world's largest Islamic bank by assets, Al Rajhi Bank (1120.SE) lost 0.5%.
Still, shares of Morabaha Marina Financing Co shot up as much as 20% to 17.6 riyals in its market debut from an offer price of 14.6 riyals per share.
In Abu Dhabi, the benchmark stock index (.FTFADGI) was up 0.1%, helped by a 2.1% rise in Q Holding (QHOLDING.AD) and 1.6% gain in ADNOC Gas (ADNOCGAS.AD).
Separately, Abu Dhabi National Oil Company (ADNOC), the parent company of ADNOC Gas, has approached German plastics and chemicals maker Covestro with a takeover proposal valuing the company at more than 10 billion euros ($10.9 billion), Reuters reported on June 20.