Most Gulf markets ease on falling oil; #Saudi gains | Reuters

Most Gulf markets ease on falling oil; Saudi gains | Reuters

Most stock markets in the Gulf ended lower on Tuesday on falling oil prices as China's economic reforms underwhelmed investors, although the Saudi index bucked the trend.

Crude prices - a catalyst for the Gulf's financial markets - slipped for a second day as concern over China's plan for growth and uncertainty over the pace of U.S. interest rate cuts offset the prospect of a tighter market due to continued OPEC+ supply restraint.

China, the world's biggest crude importer, set an economic growth target of around 5% for 2024, similar to last year's goal and in line with analysts' expectations, but the lack of big-ticket stimulus plans to prop up its struggling economy disappointed investors.

Dubai's main share index (.DFMGI), opens new tab dropped 1.9%, dragged down by a 3% slide in blue-chip developer Emaar Properties (EMAR.DU), opens new tab and a 4.2% decline in toll operator Salik Company (SALIK.DU), opens new tab.

The Dubai bourse experienced another decline as investors continued to secure their gains, said Hani Abuagla, Senior Market Analyst at XTB MENA.

"Despite geopolitical tensions, the latest PMI data suggested a healthy economic outlook, which could support a rebound and an extension of the current uptrend of the stock market."

Non-oil business activity in the United Arab Emirates accelerated in February after a slowdown the previous month, helped by a rise in output and business confidence, a survey showed on Tuesday.

In Abu Dhabi, the index (.FTFADGI), opens new tab fell 0.5%.

The Qatari benchmark (.QSI), opens new tab lost 0.8%, with petrochemical maker Industries Qatar (IQCD.QA), opens new tab losing 2.1%.

Saudi Arabia's benchmark index (.TASI), opens new tab, however, gained 0.3%, helped by a 1.4% rise in oil giant Saudi Aramco (2222.SE), opens new tab.
Singapore's Temasek Holdings has shortlisted Aramco among a handful of companies to purchase most of the assets of liquefied natural gas trading firm Pavilion Energy, Reuters reported on Tuesday, citing sources.

On the other hand, Avalon Pharma (4016.SE), opens new tab retreated more than 5%, extending losses from the previous session. The Saudi pharmaceutical manufacturer's share price has more than doubled since its listing on Feb. 27.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab rose 0.4%, trading at its highest, with El Sewedy Electric (SWDY.CA), opens new tab jumping 20%.

Citi Sends Top Bankers to Middle East to Deepen Ties With Richest Families - Bloomberg

Citi Sends Top Bankers to Middle East to Deepen Ties With Richest Families - Bloomberg

Citigroup Inc. has been dispatching its top investment bankers to spend more time with family offices across the Middle East as the funds look to deploy their riches in areas like real estate and private equity.

In most cases, these families generate their wealth from large companies they own, giving Citigroup another reason for trying to capture more of their business, said Manolo Falcó, a vice chairman in the firm’s banking division.

“It’s obviously a great opportunity for us,” Falcó said in an interview from Abu Dhabi. “They have talented people leading these family offices and they want to do their own investments, want to participate in IPOs. They want exposure to private deals, they want to be in early stage growth companies.”

Thousands of millionaires have poured into the United Arab Emirates in recent years, turning cities like Dubai and Abu Dhabi into hubs for family offices. More than a third of these firms have assets under management of $1 billion or more, according to a 2023 report by the consultancies KPMG and Agreus.

More broadly, Falcó expects the boom in dealmaking and initial public offerings across the Persian Gulf to continue this year as governments and wealth funds look for ways to diversify their economies beyond oil.

#Saudi Seeks $80 Billion in Investments in Push for More Tourists - Bloomberg

Saudi Seeks $80 Billion in Investments in Push for More Tourists - Bloomberg

Saudi Arabia is seeking to attract as much as $80 billion in private investment into the tourism industry as the kingdom looks to share the financial burden of plans to become one of the world’s most visited destinations.

“I want the private sector to represent the majority of investment,” Tourism Minister Ahmed Al Khateeb said in an interview in Riyadh on Sunday, adding that the goal is to raise $60 billion to $80 billion by 2030. “This is a very ambitious target.”

The government plans to spend some $800 billion on tourism over the next decade as it prepares Saudi Arabia for a post-oil future that includes becoming a major hub for everything from metals mining to sporting events. The goal is to have 150 million tourists a year by 2030, with about 70 million coming from abroad.

While the state and its sovereign wealth fund have been the cash lifeline for tourism development thus far, getting foreign direct investment — particularly from the private sector — will be critical to the Vision 2030 time line as mega projects ramp up and spending needs balloon, said James Reeve, chief economist at Jadwa Investment Co.

Parkin IPO: #Dubai’s $429 Million IPO Sells Out Within Minutes - Bloomberg

Parkin IPO: Dubai’s $429 Million IPO Sells Out Within Minutes - Bloomberg

The Dubai government’s latest initial public offering sold out as soon as books opened, with investors rushing to snap up shares in the city’s public-parking business.

Books for the listing of Parkin Co. PJSC, which could raise as much as 1.57 billion dirhams ($429 million), were covered across the price range within minutes of opening for subscriptions on Tuesday, according to terms of the deal obtained by Bloomberg show.

The price range for Parkin was set at 2 dirhams to 2.10 dirhams per share, valuing the firm at as much as $1.7 billion, according to a statement. The Dubai Investment Fund is selling 749.7 million shares, or a 25% stake.

The subscription period closes on March 12 for retail investors and a day later for fund managers. The final price will be announced on March 14, and the stock is expected to start trading on March 21.

The sale of a stake in Parkin will be the sixth privatization by the Dubai government as part of a plan, unveiled at the end of 2021, to list 10 state-owned companies to boost trading volumes and match similar drives in Abu Dhabi and Riyadh.

ADNOC says AI added $500 mln of extra value in 2023 | Reuters

ADNOC says AI added $500 mln of extra value in 2023 | Reuters

Abu Dhabi National Oil Company (ADNOC) generated $500 million of additional value in 2023 by using artificial intelligence, the company said on Tuesday.

"The value was generated from the integration of over 30 industry-leading AI tools across ADNOC's full value chain, from field operations to smarter and quicker corporate decision making," ADNOC said in a statement.

The use of AI also prevented up to 1 million tons of carbon dioxide emissions between 2022 and 2023, the state oil giant said.

"As we grow our diversified portfolio to ensure secure, reliable and responsible supply of energy, we are further integrating AI to future-proof our business and drive greater and more sustainable value from our assets and resources," group chief executive Sultan Al Jaber said in the statement.

AI tools used by ADNOC include ones developed by AIQ, a joint venture with Abu Dhabi artificial intelligence company G42.

Exclusive: Singapore's Temasek shortlists #Saudi Aramco, Shell in sale of Pavilion Energy assets, sources say | Reuters

Exclusive: Singapore's Temasek shortlists Saudi Aramco, Shell in sale of Pavilion Energy assets, sources say | Reuters

Singapore's Temasek Holdings has shortlisted energy giants Shell and Saudi Aramco among a handful of companies to purchase most of the assets of liquefied natural gas (LNG) trading firm Pavilion Energy, sources with knowledge of the matter said.

The sale process comes a decade after the state investment firm set up Pavilion Energy to focus on LNG-related investments, and takes place as spot Asian LNG prices have fallen more than 40% since mid-August, potentially weighing on the deal's valuation.

Temasek is evaluating bids for the sale of Pavilion Energy's assets, excluding its gas pipeline business, one of the sources said, adding that a final bidding round was likely in coming weeks, before a winner is announced if the price is right.

It was not immediately clear how many bids Temasek had received, or their financial terms.

Bloomberg first reported on the sale process in August.

Pavilion Energy directed enquiries to Temasek, which declined to comment. Shell declined to comment and Saudi Aramco did not respond to a request for comment.

Major Gulf markets ease on falling oil | Reuters

Major Gulf markets ease on falling oil | Reuters

Major stock markets in the Gulf were subdued in early trade on Tuesday, on falling oil prices as the world's biggest crude importer China's economic reforms underwhelmed investors.

Oil prices - a catalyst for the Gulf's financial markets - fell for a second day as pledges by China to transform its economy amid stuttering growth since the COVID-19 pandemic failed to impress investors concerned about slower consumption.

The Organization of the Petroleum Exporting Countries and its allies (OPEC+) on Sunday extended their voluntary oil output cuts of 2.2 million barrels per day (bpd) into the second quarter to support prices amid global growth concerns and rising output outside the group.

Saudi Arabia's benchmark index (.TASI), opens new tab was down 0.1%, hit by a 1.2% fall in the country's biggest lender Saudi National Bank (1180.SE), opens new tab.

However, oil giant Saudi Aramco (2222.SE), opens new tab added 0.6%.
Singapore's Temasek Holdings has shortlisted Aramco among a handful of companies to purchase most of the assets of liquefied natural gas trading firm Pavilion Energy, Reuters reported on Tuesday, citing sources with knowledge of the matter.

In Abu Dhabi, the index (.FTFADGI), opens new tab eased 0.1%.

Dubai's main share index (.DFMGI), opens new tab declined 1.1%, weighed down by a 1% fall in blue-chip developer Emaar Properties (EMAR.DU), opens new tab and a 2% slide in toll operator Salik CO (SALIK.DU), opens new tab.

Meanwhile, non-oil business activity in the United Arab Emirates accelerated in February after a slowdown the previous month, helped by a rise in output and business confidence, a survey showed on Tuesday.

Separately, the Qatari benchmark (.QSI), opens new tab lost 0.7%, as most of its constituents were in negative territory, including the Gulf's biggest lender Qatar National Bank (QNBK.QA), opens new tab, which was down 1.7%.