Saudi Maaden gets top Moody’s, Fitch credit ratings
Saudi Arabian Mining Company (Ma’aden) said it has been assigned a Long-Term Issuer Rating of Baa1 with a "Stable" outlook by Moody's and a Long-Term Issuer Default Rating of BBB+ with a "Stable" outlook by Fitch.
The investment grade ratings reflect Ma’aden’s diversified multi-commodity business model, with global leadership in phosphate production, the Middle East’s largest integrated aluminum value chain, and a scalable Base Metals and New Minerals business.
These ratings confirm Ma’aden’s sustainable, leading low-cost base and robust financial profile, as local and international investment opportunities are assessed, said the company in a statement.
They also follow recent credit rating upgrades for Saudi Arabia, in line with the positive momentum generated by significant reforms as stipulated in the Saudi Vision 2030, it added.
On the key achievement, Ma’aden CEO Robert Wilt said: "These investment grade ratings come as we undertake a major transformation program to strengthen the business and meet our long-term growth targets."
"This further underlines Ma’aden’s strong financial position, boosting investor confidence and cementing our access to global capital markets. More importantly, the ratings underscore our unwavering commitment to deliver on the Saudi Vision 2030 to establish mining as the third pillar of the economy," he added.-TradeArabia News Service
Thursday, 10 August 2023
Top #UAE Grocer Lulu to Raise $2.7 Billion Ahead of Possible IPO - Bloomberg
Top UAE Grocer Lulu to Raise $2.7 Billion Ahead of Possible IPO - Bloomberg
Lulu Group International, which operates one of the Middle East’s largest hypermarket chains, is raising 10 billion dirhams ($2.72 billion) to refinance debt ahead of a potential initial public offering, people familiar with the matter said.
The conglomerate is borrowing the funds from Abu Dhabi Commercial Bank PJSC, Dubai Islamic Bank PJSC, Emirates NBD Bank PJSC and Mashreq Bank PSC, the people said, asking not to be identified discussing confidential information. The loans have an average maturity of 10 years, they said.
Abu Dhabi-based Lulu is realigning its capital structure before a possible listing in 2024 after delaying those plans this year, the people said. It is working with Moelis & Co. on the plans, the people said.
A representative for Lulu said the funds will allow the company “to pay off existing debts, further extend our footprint with 80 new hypermarkets across the GCC, Egypt and beyond, enhance supply chain networks and e-commerce capabilities.”
Lulu Group International, which operates one of the Middle East’s largest hypermarket chains, is raising 10 billion dirhams ($2.72 billion) to refinance debt ahead of a potential initial public offering, people familiar with the matter said.
The conglomerate is borrowing the funds from Abu Dhabi Commercial Bank PJSC, Dubai Islamic Bank PJSC, Emirates NBD Bank PJSC and Mashreq Bank PSC, the people said, asking not to be identified discussing confidential information. The loans have an average maturity of 10 years, they said.
Abu Dhabi-based Lulu is realigning its capital structure before a possible listing in 2024 after delaying those plans this year, the people said. It is working with Moelis & Co. on the plans, the people said.
A representative for Lulu said the funds will allow the company “to pay off existing debts, further extend our footprint with 80 new hypermarkets across the GCC, Egypt and beyond, enhance supply chain networks and e-commerce capabilities.”
OPEC flags healthy oil market fundamentals in second half | Reuters
OPEC flags healthy oil market fundamentals in second half | Reuters
Prospects for the global oil market look healthy for the second half of the year, OPEC said on Thursday as the producer group stuck to its forecast for robust oil demand in 2024 and nudged up its expectations for global economic growth.
The upbeat view from the Organization of the Petroleum Exporting Countries (OPEC) comes as global oil prices have reached their highest since January. Tight supply has given impetus to the rally and OPEC's monthly report also showed Saudi Arabia delivered on a voluntary output cut in July.
OPEC said it expects world oil demand to rise by 2.25 million barrels per day (bpd) in 2024, compared with growth of 2.44 million bpd in 2023. Both forecasts were unchanged from last month.
"Prospects for healthy oil fundamentals in the second half of the year, along with the pre-emptive, proactive and precautious approach of OPEC and non-OPEC producing countries to assess market conditions and take necessary measures at any time and as needed, will ensure stability of the global oil market," OPEC said in its report.
Prospects for the global oil market look healthy for the second half of the year, OPEC said on Thursday as the producer group stuck to its forecast for robust oil demand in 2024 and nudged up its expectations for global economic growth.
The upbeat view from the Organization of the Petroleum Exporting Countries (OPEC) comes as global oil prices have reached their highest since January. Tight supply has given impetus to the rally and OPEC's monthly report also showed Saudi Arabia delivered on a voluntary output cut in July.
OPEC said it expects world oil demand to rise by 2.25 million barrels per day (bpd) in 2024, compared with growth of 2.44 million bpd in 2023. Both forecasts were unchanged from last month.
"Prospects for healthy oil fundamentals in the second half of the year, along with the pre-emptive, proactive and precautious approach of OPEC and non-OPEC producing countries to assess market conditions and take necessary measures at any time and as needed, will ensure stability of the global oil market," OPEC said in its report.
Most Gulf markets in red on oil, weak Chinese data; #Saudi gains | Reuters
Most Gulf markets in red on oil, weak Chinese data; Saudi gains | Reuters
Most stock markets in the Gulf were subdued on Thursday as investors reacted to volatile oil prices and Chinese economic data, although the Saudi index bucked the trend to trade higher.
Dubai's main share index (.DFMGI) dropped 0.5%, weighed down by a 2.1% fall in blue-chip developer Emaar Properties (EMAR.DU) after reporting a fall in second-quarter profit.
Emaar Properties has posted a roughly 15% drop in net profit for the quarter ended June 30.
The Dubai stock market remained exposed to price corrections after hitting a new high for this year, said Daniel Takieddine, CEO MENA at BDSwiss.
"Traders reacted to the mixed earnings results and were cautious before the release of U.S. inflation data.
Among other losers, logistics firm Aramex (ARMX.DU) tumbled 5.1% following a sharp decline in quarterly profit.
In Abu Dhabi, the index (.FTFADGI) finished 0.5% lower, weighed down by a 1.7% decline in the country's biggest lender First Abu Dhabi Bank (FAB.AD).
Saudi Arabia's benchmark index (.TASI) advanced 1.2%, extending gains from the previous session when it snapped a nine-session losing streak, buoyed by a 2.6% rise in oil giant Saudi Aramco (2222.SE).
The Saudi stock market rebounded to a certain extent after a long string of price corrections, said Takieddine.
"The market could see traders return to buying after the decline in search of opportunities."
Outside the Gulf, Egypt's blue-chip index (.EGX30) eased 0.3%, with Telecom Egypt (ETEL.CA) losing 2%.
Egypt's annual core inflation reached 40.7% in July, down from 41% in June, data from the central bank showed on Thursday.
Most stock markets in the Gulf were subdued on Thursday as investors reacted to volatile oil prices and Chinese economic data, although the Saudi index bucked the trend to trade higher.
Dubai's main share index (.DFMGI) dropped 0.5%, weighed down by a 2.1% fall in blue-chip developer Emaar Properties (EMAR.DU) after reporting a fall in second-quarter profit.
Emaar Properties has posted a roughly 15% drop in net profit for the quarter ended June 30.
The Dubai stock market remained exposed to price corrections after hitting a new high for this year, said Daniel Takieddine, CEO MENA at BDSwiss.
"Traders reacted to the mixed earnings results and were cautious before the release of U.S. inflation data.
Among other losers, logistics firm Aramex (ARMX.DU) tumbled 5.1% following a sharp decline in quarterly profit.
In Abu Dhabi, the index (.FTFADGI) finished 0.5% lower, weighed down by a 1.7% decline in the country's biggest lender First Abu Dhabi Bank (FAB.AD).
Saudi Arabia's benchmark index (.TASI) advanced 1.2%, extending gains from the previous session when it snapped a nine-session losing streak, buoyed by a 2.6% rise in oil giant Saudi Aramco (2222.SE).
The Saudi stock market rebounded to a certain extent after a long string of price corrections, said Takieddine.
"The market could see traders return to buying after the decline in search of opportunities."
Outside the Gulf, Egypt's blue-chip index (.EGX30) eased 0.3%, with Telecom Egypt (ETEL.CA) losing 2%.
Egypt's annual core inflation reached 40.7% in July, down from 41% in June, data from the central bank showed on Thursday.
Shuaa swings to first-half profit on revenue boost
Shuaa swings to first-half profit on revenue boost
Shuaa Capital, a Dubai-based investment banking and asset management company, swung to a profit in the first half as revenue climbed on the robust performance of its asset management and investment banking businesses.
Net profit attributable to shareholders in the six months to the end of June rose to Dh20 million ($5.45 million), from a loss of Dh164 million in the same period in 2022, the company said on Thursday in a filing to the Dubai Financial Market, where its shares are traded.
Net operating income at the end of June rose tenfold to Dh32.4 million, up from Dh2.9 million from a year earlier.
Revenue for the reporting period surged 68 per cent, year on year, on a normalised basis, to Dh99 million, driven by recurring income from all business segments, as well as “performance fees recognised in the asset management segment”, Shuaa said.
Shuaa Capital, a Dubai-based investment banking and asset management company, swung to a profit in the first half as revenue climbed on the robust performance of its asset management and investment banking businesses.
Net profit attributable to shareholders in the six months to the end of June rose to Dh20 million ($5.45 million), from a loss of Dh164 million in the same period in 2022, the company said on Thursday in a filing to the Dubai Financial Market, where its shares are traded.
Net operating income at the end of June rose tenfold to Dh32.4 million, up from Dh2.9 million from a year earlier.
Revenue for the reporting period surged 68 per cent, year on year, on a normalised basis, to Dh99 million, driven by recurring income from all business segments, as well as “performance fees recognised in the asset management segment”, Shuaa said.
#Dubai's Emaar second-quarter profit falls 15% | Reuters
Dubai's Emaar second-quarter profit falls 15% | Reuters
Emaar Properties (EMAR.DU), Dubai's largest listed real estate firm, has posted a roughly 15% drop in net profit in the second quarter.
Emaar said its first-half net profit rose 15% from a year earlier to 4.9 billion dirhams. Its first-quarter net profit was 3.2 billion dirhams.
Its second-quarter net profit of about 1.7 billion dirhams, according to Reuters calculations based on first-half results, was down from just over 2 billion dirhams in profit a year prior.
That missed analysts' average estimate of 1.9 billion dirhams in net profit for the second quarter, according to Refinitiv data.
Emaar did not immediately respond to an emailed request for its detailed quarterly results or comment on the decrease in profit.
The builder of the world's tallest building, the Burj Khalifa, had reported a 43% surge in first-quarter profit on higher sales.
Dubai's property market has boomed after a swift post-pandemic economic rebound, relaxed residency and social rules and an influx of migrants.
Emaar Properties (EMAR.DU), Dubai's largest listed real estate firm, has posted a roughly 15% drop in net profit in the second quarter.
Emaar said its first-half net profit rose 15% from a year earlier to 4.9 billion dirhams. Its first-quarter net profit was 3.2 billion dirhams.
Its second-quarter net profit of about 1.7 billion dirhams, according to Reuters calculations based on first-half results, was down from just over 2 billion dirhams in profit a year prior.
That missed analysts' average estimate of 1.9 billion dirhams in net profit for the second quarter, according to Refinitiv data.
Emaar did not immediately respond to an emailed request for its detailed quarterly results or comment on the decrease in profit.
The builder of the world's tallest building, the Burj Khalifa, had reported a 43% surge in first-quarter profit on higher sales.
Dubai's property market has boomed after a swift post-pandemic economic rebound, relaxed residency and social rules and an influx of migrants.
Casino Giant Wynn Expects to Get Gaming License in #UAE Soon - Bloomberg
Casino Giant Wynn Expects to Get Gaming License in UAE Soon - Bloomberg
Wynn Resorts Ltd. said it expects to soon obtain a gaming license in Ras Al Khaimah, a northern part of the United Arab Emirates near Dubai, raising hopes for what could be the Gulf region’s first casino resort.
Construction of the company’s $3.9 billion gaming resort is underway at the Al Marjan island of Ras Al Khaimah, Chief Executive Officer Craig Billings said on an earnings call Thursday. While there’s still no clarity about whether the UAE will legalize gambling for the entire country, Billings said the company isn’t worried.
“There should be no concern that there is a broader legalization process that needs to occur in order for gaming to occur in that property,” he said. “While there may be conversation in other emirates about legalization or legalization at the federal level, thereby covering all emirates, I expect that we will have our license for Ras Al Khaimah actually imminently.”
Calling the UAE “the most exciting new gaming market in decades,” Billings said the project — where Wynn holds 40% of equity ownership and will also receive income from management license fees — will drive a healthy return on investment for shareholders.
Wynn Resorts Ltd. said it expects to soon obtain a gaming license in Ras Al Khaimah, a northern part of the United Arab Emirates near Dubai, raising hopes for what could be the Gulf region’s first casino resort.
Construction of the company’s $3.9 billion gaming resort is underway at the Al Marjan island of Ras Al Khaimah, Chief Executive Officer Craig Billings said on an earnings call Thursday. While there’s still no clarity about whether the UAE will legalize gambling for the entire country, Billings said the company isn’t worried.
“There should be no concern that there is a broader legalization process that needs to occur in order for gaming to occur in that property,” he said. “While there may be conversation in other emirates about legalization or legalization at the federal level, thereby covering all emirates, I expect that we will have our license for Ras Al Khaimah actually imminently.”
Calling the UAE “the most exciting new gaming market in decades,” Billings said the project — where Wynn holds 40% of equity ownership and will also receive income from management license fees — will drive a healthy return on investment for shareholders.
Major Gulf markets mixed ahead of US inflation data | Reuters
Major Gulf markets mixed ahead of US inflation data | Reuters
Major stock markets in the Gulf were mixed in early trade on Thursday ahead of a U.S. inflation report that will likely influence the Federal Reserve's policy path.
The market is awaiting July Consumer Price Index (CPI) from the United States, due on Thursday, which should provide a steer on the Federal Reserve's future monetary policy.
Most Gulf Cooperation Council countries, including the UAE, Saudi Arabia and Qatar, have their currencies pegged to the U.S. dollar and generally follow the Fed's policy moves, exposing the region to a direct impact from any monetary policy move there.
Saudi Arabia's benchmark index (.TASI) gained 0.7%, on course to extend gains from the previous session, led by a 1.1% rise in oil giant Saudi Aramco (2222.SE).
Among other gainers, Raydan Food Co (6012.SE) advanced more than 5% to become the top gainer on the index, after it swung to quarterly profit.
In Qatar, the index (.QSI) added 0.2%, helped by a 1% gain in petrochemical maker Industries Qatar (IQCD.QA).
Oil - which fuels the Gulf economy - recouped early marginal losses on Thursday, climbing to multi-month peaks as the market weighed supply tightness concerns with fuel demand worries ahead of key U.S. inflation data.
Dubai's main share index (.DFMGI) fell 0.7%, weighed down by a 1.7% fall in blue-chip developer Emaar Properties (EMAR.DU) after posting a roughly 15% drop in net profit in the second quarter.
Elsewhere, logistics firm Aramex (ARMX.DU) retreated 2.7% as second-quarter profit dropped.
In Abu Dhabi, the index (.FTFADGI) eased 0.3%.
Major stock markets in the Gulf were mixed in early trade on Thursday ahead of a U.S. inflation report that will likely influence the Federal Reserve's policy path.
The market is awaiting July Consumer Price Index (CPI) from the United States, due on Thursday, which should provide a steer on the Federal Reserve's future monetary policy.
Most Gulf Cooperation Council countries, including the UAE, Saudi Arabia and Qatar, have their currencies pegged to the U.S. dollar and generally follow the Fed's policy moves, exposing the region to a direct impact from any monetary policy move there.
Saudi Arabia's benchmark index (.TASI) gained 0.7%, on course to extend gains from the previous session, led by a 1.1% rise in oil giant Saudi Aramco (2222.SE).
Among other gainers, Raydan Food Co (6012.SE) advanced more than 5% to become the top gainer on the index, after it swung to quarterly profit.
In Qatar, the index (.QSI) added 0.2%, helped by a 1% gain in petrochemical maker Industries Qatar (IQCD.QA).
Oil - which fuels the Gulf economy - recouped early marginal losses on Thursday, climbing to multi-month peaks as the market weighed supply tightness concerns with fuel demand worries ahead of key U.S. inflation data.
Dubai's main share index (.DFMGI) fell 0.7%, weighed down by a 1.7% fall in blue-chip developer Emaar Properties (EMAR.DU) after posting a roughly 15% drop in net profit in the second quarter.
Elsewhere, logistics firm Aramex (ARMX.DU) retreated 2.7% as second-quarter profit dropped.
In Abu Dhabi, the index (.FTFADGI) eased 0.3%.