Saudi Arabia Lines Up Goldman, Citi for Aramco Share Sale - Bloomberg
Saudi Arabia is set to hire banks including Citigroup Inc., Goldman Sachs Group Inc. and HSBC Holdings Plc for a secondary share sale in Aramco, a deal that would raise about $20 billion and rank among the biggest offerings in recent years, people familiar with the matter said.
The world’s biggest oil exporter is also in talks with other banks as it pulls together a roster of advisers for the offer that may come in the next few weeks, the people said, asking not to be identified because the information is private.
The lineup of advisers may still change, the people said. There’s no final decision on the timing of the sale or the number of shares the government will sell, and the offering could yet be delayed, they said.
Aramco, Citigroup, Goldman and HSBC declined to comment.
Some of these Wall Street banks also worked on Aramco’s initial public offering in 2019, when they were paid minuscule fees by global standards. They’re now coming back to work on the follow-on offer, which may also help them get other business in the kingdom as Crown Prince Mohammed bin Salman pushes ahead with an ambitious plan to diversify the economy.
Thursday, 8 February 2024
#Saudi-Backed Chinese VC to Raise $1 Billion for Mideast Startups - Bloomberg
Saudi-Backed Chinese VC to Raise $1 Billion for Mideast Startups - Bloomberg
A Chinese venture capital firm backed by a unit of Saudi Arabia’s Public Investment Fund is planning to raise $1 billion to back technology startups in the Middle East.
MSA Capital is currently in talks with regional investors to finalize plans to launch the fund within the year, according to Managing Partner Ben Harburg.
“Our objective is to play at later stages and write bigger tickets in those pre-IPO rounds, then we can take them public,” Harburg said in an interview.
MSA, which manages $2.5 billion in assets and is backed by Saudi PIF unit Jada Fund of Funds, would become the largest VC firm focused on the Middle East if it successfully raises the targeted amount, according to venture capital data firm Magnitt. Saudi Technology Ventures would be the second.
The activity underscores Saudi Arabia’s recent rise to dominance in the venture capital space. Startups in the kingdom raised $1.4 billion in 2023, putting it ahead of its main competitor, the UAE, for the first time. That’s thanks in large part to government-backed funds boosting spending.
PIF’s Jada and Saudi Venture Capital Investment are involved in at least one of three MSA funds that have collectively raised $555 million, according to Harburg.
MSA was an early investor in Saudi-based Tabby, the buy-now-pay-later firm that’s counted among some of the Middle East’s first fintech unicorns. It has also put money into tech giants including Airbnb Inc. and Uber Technologies.
For its part, the PIF has been plowing money into tech firms and startups as it seeks to build a VC industry and encourage young entrepreneurs to set up their own businesses to diversify the economy and create jobs.
The $700 billion entity created a $1 billion fund of funds for investments including into venture capital and also puts money to work directly through its subsidiary, Sanabil.
A Chinese venture capital firm backed by a unit of Saudi Arabia’s Public Investment Fund is planning to raise $1 billion to back technology startups in the Middle East.
MSA Capital is currently in talks with regional investors to finalize plans to launch the fund within the year, according to Managing Partner Ben Harburg.
“Our objective is to play at later stages and write bigger tickets in those pre-IPO rounds, then we can take them public,” Harburg said in an interview.
MSA, which manages $2.5 billion in assets and is backed by Saudi PIF unit Jada Fund of Funds, would become the largest VC firm focused on the Middle East if it successfully raises the targeted amount, according to venture capital data firm Magnitt. Saudi Technology Ventures would be the second.
The activity underscores Saudi Arabia’s recent rise to dominance in the venture capital space. Startups in the kingdom raised $1.4 billion in 2023, putting it ahead of its main competitor, the UAE, for the first time. That’s thanks in large part to government-backed funds boosting spending.
PIF’s Jada and Saudi Venture Capital Investment are involved in at least one of three MSA funds that have collectively raised $555 million, according to Harburg.
MSA was an early investor in Saudi-based Tabby, the buy-now-pay-later firm that’s counted among some of the Middle East’s first fintech unicorns. It has also put money into tech giants including Airbnb Inc. and Uber Technologies.
For its part, the PIF has been plowing money into tech firms and startups as it seeks to build a VC industry and encourage young entrepreneurs to set up their own businesses to diversify the economy and create jobs.
The $700 billion entity created a $1 billion fund of funds for investments including into venture capital and also puts money to work directly through its subsidiary, Sanabil.
#AbuDhabi in Advanced Talks on $22 Billion Prime Egypt Land Deal - Bloomberg
Abu Dhabi in Advanced Talks on $22 Billion Prime Egypt Land Deal - Bloomberg
Abu Dhabi is in advanced talks to buy and develop premium land on Egypt’s northern coast, a potential multi-billion-dollar deal that would boost the North African nation’s troubled economy and help alleviate its foreign exchange crisis.
An Egyptian official on Wednesday said the country had selected a United Arab Emirates consortium to work with local partners to develop Ras El-Hekma, an area on the Mediterranean about 350 kilometers (217 miles) northwest of Cairo.
In an interview with broadcaster CNBC Arabia, Hossam Heiba, the chief executive officer of the state-run General Authority for Investment and Free Zones, said the initial estimate for the total project was $22 billion and an agreement is expected soon. He didn’t provide further details, nor name any companies or entities involved.
People familiar with the talks told Bloomberg of the emirate of Abu Dhabi’s involvement and that Egypt may retain ownership of around 20% of the vast 180 million square-meter territory. This stake would include a share for the Talaat Moustafa Group, a real estate developer, and some Egyptian state entities, they said, asking not to be identified as the discussions are ongoing. No final decision has been taken.
Abu Dhabi is in advanced talks to buy and develop premium land on Egypt’s northern coast, a potential multi-billion-dollar deal that would boost the North African nation’s troubled economy and help alleviate its foreign exchange crisis.
An Egyptian official on Wednesday said the country had selected a United Arab Emirates consortium to work with local partners to develop Ras El-Hekma, an area on the Mediterranean about 350 kilometers (217 miles) northwest of Cairo.
In an interview with broadcaster CNBC Arabia, Hossam Heiba, the chief executive officer of the state-run General Authority for Investment and Free Zones, said the initial estimate for the total project was $22 billion and an agreement is expected soon. He didn’t provide further details, nor name any companies or entities involved.
People familiar with the talks told Bloomberg of the emirate of Abu Dhabi’s involvement and that Egypt may retain ownership of around 20% of the vast 180 million square-meter territory. This stake would include a share for the Talaat Moustafa Group, a real estate developer, and some Egyptian state entities, they said, asking not to be identified as the discussions are ongoing. No final decision has been taken.
Mideast Stocks: Gulf markets end mixed on Gaza ceasefire rejection; #Saudi extends gains
Mideast Stocks: Gulf markets end mixed on Gaza ceasefire rejection; Saudi extends gains
Stock markets in the Gulf ended mixed on Thursday after Israel rejected ceasefire offer from Hamas, with the Saudi index rising for a sixth consecutive session on upbeat earnings.
Stock markets in the Gulf ended mixed on Thursday after Israel rejected ceasefire offer from Hamas, with the Saudi index rising for a sixth consecutive session on upbeat earnings.
Israeli Prime Minister Benjamin Netanyahu on Wednesday rejected Hamas' latest offer for a ceasefire and return of hostages held in the Gaza Strip, but U.S. Secretary of State Antony Blinken said there was still room for negotiation toward an agreement.
Diplomatic efforts continue, with a Hamas delegation arriving in Cairo on Thursday for ceasefire talks with mediators Egypt and Qatar. Jordan's King Abdullah, meanwhile, will meet U.S. President Joe Biden to lobby for an end to the war.
Saudi Arabia's benchmark index gained 0.3%, with Al Rajhi Bank rising 1.8%, while Saudi Awwal Bank advanced more than 3% after reporting a ahrp rise in annual net profit.
Diplomatic efforts continue, with a Hamas delegation arriving in Cairo on Thursday for ceasefire talks with mediators Egypt and Qatar. Jordan's King Abdullah, meanwhile, will meet U.S. President Joe Biden to lobby for an end to the war.
Saudi Arabia's benchmark index gained 0.3%, with Al Rajhi Bank rising 1.8%, while Saudi Awwal Bank advanced more than 3% after reporting a ahrp rise in annual net profit.
Among other gainers, Savola Group jumped more than 6%, a day after announcing plans to distribute its entire 34.52% stake in regional dairy firm Almarai to its eligible shareholders.
The deal will be preceded by a 6 billion riyal ($1.60 billion) rights issue that will help strengthen the company's position, including paying off debt and enabling distribution of shares of Almarai, the biggest dairy firm in the Middle East.
Dubai's main share index eased 0.1%, hit by a 2.7% fall in toll operator Salik Co, while Dubai Electricity and Water Authority retreated 1.6%.
Dubai's main share index eased 0.1%, hit by a 2.7% fall in toll operator Salik Co, while Dubai Electricity and Water Authority retreated 1.6%.
The utility firm reported a higher fourth-quarter net profit, however, saw a decrease sequentially in earnings.
In Abu Dhabi, the index edged 0.1% higher.
Oil prices - a catalyst for the Gulf's financial markets - steadied at just above $79 a barrel, having risen for a third straight day on Wednesday as Israel rejected a Hamas offer for a ceasefire in Gaza.
Oil prices - a catalyst for the Gulf's financial markets - steadied at just above $79 a barrel, having risen for a third straight day on Wednesday as Israel rejected a Hamas offer for a ceasefire in Gaza.
The Qatari benchmark lost 0.3%, hit by a 1.4% fall in petrochemical maker Industries Qatar.
Outside the Gulf, Egypt's blue-chip index advanced 1.8%, as most of its constituents were in positive territory including Commercial International Bank, which was up 3.7%.
Outside the Gulf, Egypt's blue-chip index advanced 1.8%, as most of its constituents were in positive territory including Commercial International Bank, which was up 3.7%.
Podcast: Candy Says Property Developers Should Be ‘Running’ to the Middle East - Bloomberg
Podcast: Candy Says Property Developers Should Be ‘Running’ to the Middle East - Bloomberg
“The most undervalued real estate market in the world today, without a doubt, is the Middle East,” says property tycoon Nick Candy. Joining host Francine Lacqua on this week’s episode of In the City, Candy says he would be “running” to the region if he were in his twenties and starting up in real estate again.
London, on the other hand, is much more restricted on supply because of planning rules, he says. Candy explains that his most iconic accomplishment, One Hyde Park, would be impossible today. “You’re not allowed to build a flat in the City of Westminster bigger than 2,500 square feet. Any big flat for 10,000 square feet, you can’t build it,” he says. “So, the reason why our property market stays high here in the UK is we have very limited supply.”
When it comes to the UK government’s leadership, Candy thinks it’s time for a change. Even though he identifies as a Tory, he says infighting in the Conservative Party has gone too far. “We still don’t know the Labour policies, but do I think Keir Starmer is a decent man with good values and good morals? 100%.”
London, on the other hand, is much more restricted on supply because of planning rules, he says. Candy explains that his most iconic accomplishment, One Hyde Park, would be impossible today. “You’re not allowed to build a flat in the City of Westminster bigger than 2,500 square feet. Any big flat for 10,000 square feet, you can’t build it,” he says. “So, the reason why our property market stays high here in the UK is we have very limited supply.”
When it comes to the UK government’s leadership, Candy thinks it’s time for a change. Even though he identifies as a Tory, he says infighting in the Conservative Party has gone too far. “We still don’t know the Labour policies, but do I think Keir Starmer is a decent man with good values and good morals? 100%.”
Blue Owl to Partner With ADQ-Backed Lunate on Middle-Market Bets - Bloomberg
Blue Owl to Partner With ADQ-Backed Lunate on Middle-Market Bets - Bloomberg
Blue Owl Capital Inc. said it will partner with Lunate, an investment manager backed by Abu Dhabi sovereign wealth fund ADQ, to buy minority stakes in mid-size asset managers.
Lunate will contribute about $500 million to the effort, for which Blue Owl is seeking to raise $2.5 billion, according a person familiar with the effort, who asked not to be identified discussing confidential information.
The group plans to back firms with less than $10 billion of fee-paying assets under management, Blue Owl and Lunate said Wednesday in an emailed statement that didn’t disclose financial details.
The joint venture will be “complementary to our existing strategy focused on larger managers,” Blue Owl Co-President Michael Rees said in the statement.
Lunate will bring experience to the group both as a limited partner in private investment firms, he said, as well as an existing investor in minority stakes. Abu Dhabi-based Lunate, with $105 billion of assets, previously worked with Blue Owl as a co-investor in CVC Capital Partners.
The venture will compete with institutions including Hunter Point Capital, Bonaccord Capital and RidgeLake Partners, which have largely focused on mid-size managers.
Bloomberg previously reported that Blue Owl planned to raise at least $2 billion for a new fund dedicated to buying stakes in mid-size asset managers.
Blue Owl Capital Inc. said it will partner with Lunate, an investment manager backed by Abu Dhabi sovereign wealth fund ADQ, to buy minority stakes in mid-size asset managers.
Lunate will contribute about $500 million to the effort, for which Blue Owl is seeking to raise $2.5 billion, according a person familiar with the effort, who asked not to be identified discussing confidential information.
The group plans to back firms with less than $10 billion of fee-paying assets under management, Blue Owl and Lunate said Wednesday in an emailed statement that didn’t disclose financial details.
The joint venture will be “complementary to our existing strategy focused on larger managers,” Blue Owl Co-President Michael Rees said in the statement.
Lunate will bring experience to the group both as a limited partner in private investment firms, he said, as well as an existing investor in minority stakes. Abu Dhabi-based Lunate, with $105 billion of assets, previously worked with Blue Owl as a co-investor in CVC Capital Partners.
The venture will compete with institutions including Hunter Point Capital, Bonaccord Capital and RidgeLake Partners, which have largely focused on mid-size managers.
Bloomberg previously reported that Blue Owl planned to raise at least $2 billion for a new fund dedicated to buying stakes in mid-size asset managers.
Mubadala-Backed ADCP Is Bringing Fund Managers to #AbuDhabi - Bloomberg
Mubadala-Backed ADCP Is Bringing Fund Managers to Abu Dhabi - Bloomberg
Unlike most of Abu Dhabi’s sovereign investors, which manage more than $1.5 trillion of assets, Abu Dhabi Catalyst Partners is aiming to generate much more than profit for its owners.
A key part of the mandate for ADCP — a joint venture between the $276 billion Mubadala Investment Co. and Alpha Wave Global — is to encourage firms to set up in Abu Dhabi Global Market, the emirate’s main business zone, in return for investment.
“The idea is how do you invest in businesses and managers and then also support the ADGM ecosystem by having them set up a real presence in Abu Dhabi,” Fatima Al Noaimi, co-head of Mubadala Capital Solutions, which includes ADCP, said in an interview. Such a commitment means that companies backed by ADCP need to “build a meaningful investment or operational presence” in the financial center, she said.
ADCP has invested in 29 companies since it was set up in 2019, and is helping to create about 400 new jobs in ADGM. Out of the $1.7 billion in capital it has received from its shareholders, it has spent around $1.3 billion, Al Noaimi said. This year, ADCP is aiming to complete four to eight new transactions and is in talks with several “big international names,” she said, declining to reveal any names.
ADCP said on Thursday it made a strategic investment in French private equity firm Ardian’s secondaries fund. As part of the deal, Ardian, which already has a presence in ADGM, has committed to expand within the hub. In recent years, the two parties have been investing in each other’s funds and Ardian was an anchor investor in Mubadala Capital.
Unlike most of Abu Dhabi’s sovereign investors, which manage more than $1.5 trillion of assets, Abu Dhabi Catalyst Partners is aiming to generate much more than profit for its owners.
A key part of the mandate for ADCP — a joint venture between the $276 billion Mubadala Investment Co. and Alpha Wave Global — is to encourage firms to set up in Abu Dhabi Global Market, the emirate’s main business zone, in return for investment.
“The idea is how do you invest in businesses and managers and then also support the ADGM ecosystem by having them set up a real presence in Abu Dhabi,” Fatima Al Noaimi, co-head of Mubadala Capital Solutions, which includes ADCP, said in an interview. Such a commitment means that companies backed by ADCP need to “build a meaningful investment or operational presence” in the financial center, she said.
ADCP has invested in 29 companies since it was set up in 2019, and is helping to create about 400 new jobs in ADGM. Out of the $1.7 billion in capital it has received from its shareholders, it has spent around $1.3 billion, Al Noaimi said. This year, ADCP is aiming to complete four to eight new transactions and is in talks with several “big international names,” she said, declining to reveal any names.
ADCP said on Thursday it made a strategic investment in French private equity firm Ardian’s secondaries fund. As part of the deal, Ardian, which already has a presence in ADGM, has committed to expand within the hub. In recent years, the two parties have been investing in each other’s funds and Ardian was an anchor investor in Mubadala Capital.
Exclusive: Apollo in talks for AlShaya Starbucks franchise, sources say | Reuters
Exclusive: Apollo in talks for AlShaya Starbucks franchise, sources say | Reuters
U.S private equity firm Apollo Global Management Inc (APO.N) is in talks to buy a minority stake in the Middle East, North Africa and central Asia Starbucks (SBUX.O) franchise operated by Kuwait's AlShaya Group, three sources close to the matter said.
Dubbed "Project Emerald", according to two of the people, the privately owned retailer is looking to sell a minority stake of about 30% in the business, Reuters reported previously.
Saudi Arabia's sovereign wealth fund, the Public Investment Fund (PIF), which has previously been shortlisted to buy the stake, is also still involved in the talks, one of the people and a third one said.
Saudi Arabia's sovereign wealth fund, the Public Investment Fund (PIF), which has previously been shortlisted to buy the stake, is also still involved in the talks, one of the people and a third one said.
The Starbucks unit runs around 2,000 outlets in 13 countries, across the Middle East and North Africa, Kazakhstan and Azerbaijan. It was valued at between $4 billion and $5 billion in 2022, Reuters reported previously, before it exited Russia.
QIIB net profit reaches $320mln with growth rate of 8.3% in 2023
QIIB net profit reaches $320mln with growth rate of 8.3% in 2023
Chairman of QIIB Board of Directors, Sheikh Abdullah bin Thani bin Abdullah Al Thani, announced the bank’s 2023 year-end financial results here yesterday.
These results indicate continued achievement of the Bank’s outstanding growth across various financial performance indicators.
The announcement of the results came after a meeting of the Board of Directors chaired by Sheikh Abdullah bin Thani bin Abdullah Al Thani that discussed the year-end financial statements for the fiscal year, which ended on December 31, 2023.
QIIB achieved a net profit of QR1.16bn, marking a 8.3% growth compared to 2022, with earnings per share reaching QR0.7.
QIIB’s Board of Directors has recommended to the General Assembly of Shareholders the distribution of a cash dividend of QR0.45 per share (equivalent to 45% of the share’s par value).
This recommendation follows the consent of Qatar Central Bank (QCB) approval of the bank’s 2023 financial statements.
Chairman of QIIB Board of Directors, Sheikh Abdullah bin Thani bin Abdullah Al Thani, announced the bank’s 2023 year-end financial results here yesterday.
These results indicate continued achievement of the Bank’s outstanding growth across various financial performance indicators.
The announcement of the results came after a meeting of the Board of Directors chaired by Sheikh Abdullah bin Thani bin Abdullah Al Thani that discussed the year-end financial statements for the fiscal year, which ended on December 31, 2023.
QIIB achieved a net profit of QR1.16bn, marking a 8.3% growth compared to 2022, with earnings per share reaching QR0.7.
QIIB’s Board of Directors has recommended to the General Assembly of Shareholders the distribution of a cash dividend of QR0.45 per share (equivalent to 45% of the share’s par value).
This recommendation follows the consent of Qatar Central Bank (QCB) approval of the bank’s 2023 financial statements.
Mideast Stocks: Major Gulf markets rise in early trade
Mideast Stocks: Major Gulf markets rise in early trade
Major stock markets in the Gulf were up in early trade on Thursday on higher oil prices while investors awaited the outcome of ceasefire overtures between Israel and Hamas, the Palestinian group that rules Gaza.
U.S. Secretary of State Antony Blinken said he saw room for negotiation after Israeli Prime Minister Benjamin Netanyahu on Wednesday rejected Hamas' latest offer.
Oil prices, a catalyst for the Gulf's financial markets, extended gains with Brent rising 0.4% to $79.54 a barrel by 0740 GMT.
Dubai's benchmark stock index advanced 0.6%, helped by gains in most sectors, with Gulf Navigation increasing 3% and Mashreqbank rising 2%.
The Qatari benchmark index was up 0.2%, supported by a gain of 1.1% in Qatar Islamic Bank and a 1.8% rise in Baladna.
Saudi Arabia's benchmark stock index edged up 0.2%, lifted by gains in almost all sectors . The world's largest Islamic lender, Al Rajhi Bank, added 0.5% and Saudi Awwal Bank surged 2.7%.
The lender reported a 45.1% jump in full-year net profit.
In Abu Dhabi, the benchmark stock index inched up 0.1%, with conglomerate International Holding Co adding 0.1% and ADNOC Logistics gaining 0.5%.
However, energy firm Dana Gas slipped 1.2% after reporting a 12% drop in full-year profit.
Major stock markets in the Gulf were up in early trade on Thursday on higher oil prices while investors awaited the outcome of ceasefire overtures between Israel and Hamas, the Palestinian group that rules Gaza.
U.S. Secretary of State Antony Blinken said he saw room for negotiation after Israeli Prime Minister Benjamin Netanyahu on Wednesday rejected Hamas' latest offer.
Oil prices, a catalyst for the Gulf's financial markets, extended gains with Brent rising 0.4% to $79.54 a barrel by 0740 GMT.
Dubai's benchmark stock index advanced 0.6%, helped by gains in most sectors, with Gulf Navigation increasing 3% and Mashreqbank rising 2%.
The Qatari benchmark index was up 0.2%, supported by a gain of 1.1% in Qatar Islamic Bank and a 1.8% rise in Baladna.
Saudi Arabia's benchmark stock index edged up 0.2%, lifted by gains in almost all sectors . The world's largest Islamic lender, Al Rajhi Bank, added 0.5% and Saudi Awwal Bank surged 2.7%.
The lender reported a 45.1% jump in full-year net profit.
In Abu Dhabi, the benchmark stock index inched up 0.1%, with conglomerate International Holding Co adding 0.1% and ADNOC Logistics gaining 0.5%.
However, energy firm Dana Gas slipped 1.2% after reporting a 12% drop in full-year profit.