Mubadala Loses Wefox Boardroom Battle as Sale Plan Rejected - Bloomberg
Wefox Holding AG is replacing Chief Executive Officer Mark Hartigan after the German insurance tech startup’s board rejected a proposal by its largest stakeholder, Mubadala Investment Co., that he backed to sell the company.
Hartigan, who took the position in March to restructure the cash-strapped company, will be replaced by the end of the year, according to people familiar with the plan, who asked not to be identified because the information is private.
The board also approved a convertible loan agreement prepared by investors Chrysalis Investments and Target Global for about €25 million ($27 million) and will seek to raise more money, the people said. Wefox is in talks to sell e-bike insurer Assona, which it expects will raise at least €50 million, they said.
Wefox, Mubadala, Chrysalis and Target declined to comment. Hartigan did not immediately respond to a request for comment.
The setback for Mubadala comes as the $300 billion Abu Dhabi wealth fund becomes more aggressive at unprofitable startups it invested in when low interest rates fueled a boom in venture capital. This week, Mubadala agreed to take a controlling stake in Turkish food delivery firm Getir and will replace its CEO as part of a deal to raise money for the company.
Wefox, which operates in eight countries and has more than 2 million customers, is running out of cash as funding requirements for the insurance business strain its finances. Mubadala had proposed selling the struggling company to UK insurance broker Ardonagh Group Ltd.
Mubadala hasn’t committed to the financing round and continues to evaluate its options, the people said.
Hartigan, who previously was an executive at Zurich Insurance Group AG and headed LV=, was brought on at Wefox last year as non-executive chairman. He replaced co-founder Julian Teicke as CEO in March as Wefox’s financial situation worsened.
The Berlin-based company lost more than €100 million last year and faces as much as €70 million in fresh capital needs through the end of 2024, according to a Mubadala presentation from this month that was seen by Bloomberg News.
Wefox’s founders and some of the company’s early backers opposed a sale to Ardonagh, which gave the startup an enterprise value of as much as €550 million, because it put them at risk of losing their entire investment, Bloomberg reported previously. Wefox was valued at $4.5 billion in a Mubadala-led funding round two years ago.
An extraordinary meeting of Wefox’s shareholders is scheduled for Friday.
Wednesday 26 June 2024
#Qatar Airways looking to buy up to 20% stake in Virgin Australia, AFR reports | Reuters
Qatar Airways looking to buy up to 20% stake in Virgin Australia, AFR reports | Reuters
Qatar Airways is in talks to buy up to a 20% stake in Bain Capital-owned Virgin Australia, the Australian Financial Review (AFR) reported on Wednesday, as carriers fight for more market share in the country against dominant airline Qantas (QAN.AX), opens new tab.
U.S. private equity firm Bain Capital had aimed for a A$1 billion ($665.5 million) listing of Virgin on the Australian Securities Exchange but the plan was delayed, Reuters reported last year.
Government-owned Qatar Airways could announce its plans regarding the stake buy as early as next week, the AFR reported.
Bain Capital and Qatar Airways declined to comment.
Qatar Airways is in talks to buy up to a 20% stake in Bain Capital-owned Virgin Australia, the Australian Financial Review (AFR) reported on Wednesday, as carriers fight for more market share in the country against dominant airline Qantas (QAN.AX), opens new tab.
U.S. private equity firm Bain Capital had aimed for a A$1 billion ($665.5 million) listing of Virgin on the Australian Securities Exchange but the plan was delayed, Reuters reported last year.
Government-owned Qatar Airways could announce its plans regarding the stake buy as early as next week, the AFR reported.
Bain Capital and Qatar Airways declined to comment.
Qatar Airways has shared a tumultuous relationship with Australia in the recent past after its attempt to increase its air presence in Australia was blocked by the Labor government.
Major Gulf bourses end mixed; Egypt extends gain | Reuters
Major Gulf bourses end mixed; Egypt extends gain | Reuters
Major stock markets in the Gulf were mixed on Wednesday amid higher oil prices, with Dubai shares rising after two days in the red, and the Saudi index retreating, while investors braced for a key U.S. inflation reading later this week.
Oil prices, the main driver of the Gulf's financial markets, edged up 0.4%, with Brent trading at $85.37 per barrel by 1300 GMT.
Dubai's benchmark stock index (.DFMGI), opens new tab bounced back after two straight sessions of losses, with most sectors in the green. The blue-chip developer Emaar Properties (EMAR.DU), opens new tab advanced 2.2% and tolls operator Salik Company (SALIK.DU), opens new tab gained 2.1%.
Meanwhile, the United Arab Emirates has sold bonds worth $1.5 billion at a yield of 60 basis points over U.S. Treasuries after demand exceeded $5.75 billion, an arranging bank document showed on Tuesday.
The Qatari benchmark index (.QSI), opens new tab advanced 0.6%, extending its gains to a 17th session, the longest rally in nearly 18 years.
Major stock markets in the Gulf were mixed on Wednesday amid higher oil prices, with Dubai shares rising after two days in the red, and the Saudi index retreating, while investors braced for a key U.S. inflation reading later this week.
Oil prices, the main driver of the Gulf's financial markets, edged up 0.4%, with Brent trading at $85.37 per barrel by 1300 GMT.
Dubai's benchmark stock index (.DFMGI), opens new tab bounced back after two straight sessions of losses, with most sectors in the green. The blue-chip developer Emaar Properties (EMAR.DU), opens new tab advanced 2.2% and tolls operator Salik Company (SALIK.DU), opens new tab gained 2.1%.
Meanwhile, the United Arab Emirates has sold bonds worth $1.5 billion at a yield of 60 basis points over U.S. Treasuries after demand exceeded $5.75 billion, an arranging bank document showed on Tuesday.
The Qatari benchmark index (.QSI), opens new tab advanced 0.6%, extending its gains to a 17th session, the longest rally in nearly 18 years.
Qatar National Bank (QNBK.QA), opens new tab gained 0.5% and Industries Qatar (IQCD.QA), opens new tab climbed 2%. However, Mesaieed Petrochemical (MPHC.QA), opens new tab and Qatar Fuel (QFLS.QA), opens new tab slipped 1.9% and 1% respectively.
Mesaieed and Qatar Fuel's major shareholder. energy giant QatarEnergy, on Tuesday reported a 32% drop in full-year net profit.
Mesaieed and Qatar Fuel's major shareholder. energy giant QatarEnergy, on Tuesday reported a 32% drop in full-year net profit.
Saudi Arabia's benchmark stock index (.TASI), opens new tab retreated after a previous session of gains, falling 0.6%. Al Rajhi Bank (1120.SE), opens new tab dropped 1.1% and ACWA Power (2082.SE), opens new tab declined 3.3%.
However, Rasan Information Technology (8313.SE), opens new tab, Miahona (2084.SE), opens new tab and Dr Soliman Abdel Kader Fakeeh Hospital (4017.SE), opens new tab, which were all listed in early- to mid-June, advanced 5.9%, 8.9% and 2.3% respectively.
The Abu Dhabi benchmark index (.FTFADGI), opens new tab was down 0.4%, pressured by a 0.4% drop in conglomerate International Holding Co (IHC.AD), opens new tab and a 1.5% decline in Alpha Dhabi (ALPHADHABI.AD), opens new tab. However, MENA's largest producer of nitrogen fertilizers, Fertiglobe (FERTIGLB.AD), opens new tab, advanced 1.2%.
The Abu Dhabi benchmark index (.FTFADGI), opens new tab was down 0.4%, pressured by a 0.4% drop in conglomerate International Holding Co (IHC.AD), opens new tab and a 1.5% decline in Alpha Dhabi (ALPHADHABI.AD), opens new tab. However, MENA's largest producer of nitrogen fertilizers, Fertiglobe (FERTIGLB.AD), opens new tab, advanced 1.2%.
Mitsui & Co (8031.T), opens new tab has begun building an ammonia plant in the UAE with partners including Fertiglobe, TA'ZIZ, and South Korea's GS Energy, it said on Tuesday.
Investors are awaiting the U.S. personal consumption expenditures (PCE) price index, due on Friday, which could provide further clues on the Federal Reserve's rate cut trajectory.
Investors are awaiting the U.S. personal consumption expenditures (PCE) price index, due on Friday, which could provide further clues on the Federal Reserve's rate cut trajectory.
Most Gulf currencies are pegged to the dollar and any change to U.S. monetary policy is usually followed by the central banks of Saudi Arabia, the UAE and Qatar.
Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab was up for a second consecutive session and rose 0.9%. Commercial International Bank (COMI.CA), opens new tab gained 1.6% and EFG Holding (HRHO.CA), opens new tab added 2%.
#AbuDhabi's Masdar in US 'for the long term'
Abu Dhabi's Masdar in US 'for the long term'
Abu Dhabi's Masdar is aiming to “grow beyond tenfold” in the US within the next three to seven years, the head of its Americas affiliate said on Tuesday.
Speaking during a panel session at the 2024 SelectUSA Investor Summit, Masdar Americas president and chief executive Philip Haddad said the clean energy company was looking to achieve this growth by investing in development and operating platforms.
Masdar in March agreed to acquire the US clean renewable energy power producer Terra-Gen – one of the largest independent renewable energy producers in the US – from Energy Capital Partners.
Masdar hopes to complete the deal by the end of this year.
“We're here for the long term … and it's a very exciting time in our industry to be in the US especially,” Mr Haddad said.
Masdar made its first investment in the US energy market in 2019. The Abu Dhabi-based company says the US will play an integral role as Masdar looks to build a global renewable energy portfolio of at least 100 gigawatt capacity by 2030.
“Our biggest source of growth will be in the US,” Mr Haddad added.
The company also acquired a 50 per cent stake in California's Big Beau project last year.
Masdar's US portfolio consists of four utility-scale wind projects in Texas and New Mexico, as well as five solar projects in California. The Big Beau project is one of two that features battery energy storage systems, the company says.
Mr Haddad highlighted several factors he said made the US a favourable environment for the company, including clean energy credits from President Joe Biden's Inflation Reduction Act, as well as the US energy transition and the country's talent pool.
Mr Haddad also noted “micro challenges” for the company in the US including permitting, grid enhancement and supply-chain issues.
The Masdar Americas chief executive was part of a large UAE contingent to descend upon the Investor Summit, an annual event looking to attract foreign direct investment into the US.
Dr Thani Al Zeyoudi, Minister of State for Foreign Trade, led a group of 35 Emirate businesses, the largest delegation the UAE has sent to the event.
In a statement, the UAE embassy in Washington said the visit underscores the Emirates' commitment to strengthening economic ties with the US, where it has already invested more than $1 trillion.
The delegation was also led by Martina Strong, US ambassador to the UAE.
Abu Dhabi's Masdar is aiming to “grow beyond tenfold” in the US within the next three to seven years, the head of its Americas affiliate said on Tuesday.
Speaking during a panel session at the 2024 SelectUSA Investor Summit, Masdar Americas president and chief executive Philip Haddad said the clean energy company was looking to achieve this growth by investing in development and operating platforms.
Masdar in March agreed to acquire the US clean renewable energy power producer Terra-Gen – one of the largest independent renewable energy producers in the US – from Energy Capital Partners.
Masdar hopes to complete the deal by the end of this year.
“We're here for the long term … and it's a very exciting time in our industry to be in the US especially,” Mr Haddad said.
Masdar made its first investment in the US energy market in 2019. The Abu Dhabi-based company says the US will play an integral role as Masdar looks to build a global renewable energy portfolio of at least 100 gigawatt capacity by 2030.
“Our biggest source of growth will be in the US,” Mr Haddad added.
The company also acquired a 50 per cent stake in California's Big Beau project last year.
Masdar's US portfolio consists of four utility-scale wind projects in Texas and New Mexico, as well as five solar projects in California. The Big Beau project is one of two that features battery energy storage systems, the company says.
Mr Haddad highlighted several factors he said made the US a favourable environment for the company, including clean energy credits from President Joe Biden's Inflation Reduction Act, as well as the US energy transition and the country's talent pool.
Mr Haddad also noted “micro challenges” for the company in the US including permitting, grid enhancement and supply-chain issues.
The Masdar Americas chief executive was part of a large UAE contingent to descend upon the Investor Summit, an annual event looking to attract foreign direct investment into the US.
Dr Thani Al Zeyoudi, Minister of State for Foreign Trade, led a group of 35 Emirate businesses, the largest delegation the UAE has sent to the event.
In a statement, the UAE embassy in Washington said the visit underscores the Emirates' commitment to strengthening economic ties with the US, where it has already invested more than $1 trillion.
The delegation was also led by Martina Strong, US ambassador to the UAE.
PIF unit #Saudi Global Ports, China’s SANY sign $1.87bln investment deal
PIF unit Saudi Global Ports, China’s SANY sign $1.87bln investment deal
The Saudi Global Ports Company (SGP), a unit of the sovereign-backed Public Investment Fund (PIF) of Saudi Arabia, and China’s SANY, a heavy equipment manufacturer, have signed a deal worth 7 billion riyals ($1.865 billion), which will cover investments in sustainable operations at the kingdom’s ports.
The deal will include SANY supplying 80 electric trucks to the King Abdulaziz Port in Dammam, the largest such contract signed by the company, according to a statement by Saudi’s General Ports Authority (Mawani).
Omar bin Talal Hariri, President of Maani, said the deal contributes to the development and modernisation of King Abdulaziz Port in Dammam to be a flexible and sustainable logistical centre.
This authority further stated the move is a part of the kingdom’s strategy to position itself as a major global logistics hub, connecting three continents, in line with its National Transport and Logistics Strategy.
The Saudi Global Ports Company (SGP), a unit of the sovereign-backed Public Investment Fund (PIF) of Saudi Arabia, and China’s SANY, a heavy equipment manufacturer, have signed a deal worth 7 billion riyals ($1.865 billion), which will cover investments in sustainable operations at the kingdom’s ports.
The deal will include SANY supplying 80 electric trucks to the King Abdulaziz Port in Dammam, the largest such contract signed by the company, according to a statement by Saudi’s General Ports Authority (Mawani).
Omar bin Talal Hariri, President of Maani, said the deal contributes to the development and modernisation of King Abdulaziz Port in Dammam to be a flexible and sustainable logistical centre.
This authority further stated the move is a part of the kingdom’s strategy to position itself as a major global logistics hub, connecting three continents, in line with its National Transport and Logistics Strategy.
Most Gulf shares gain in early trade as oil steadies | Reuters
Most Gulf shares gain in early trade as oil steadies | Reuters
Most stock markets in the Gulf rose in early trading on Wednesday, as oil prices steadied, while investors braced for a key U.S. inflation reading later this week.
Oil prices, the main driver of the Gulf's financial markets, rose 0.3% on the possibility of an inventory drawdown and geopolitical risks in the Middle East, with Brent trading at $85.2 per barrel by 0813 GMT.
Most stock markets in the Gulf rose in early trading on Wednesday, as oil prices steadied, while investors braced for a key U.S. inflation reading later this week.
Oil prices, the main driver of the Gulf's financial markets, rose 0.3% on the possibility of an inventory drawdown and geopolitical risks in the Middle East, with Brent trading at $85.2 per barrel by 0813 GMT.
The Qatari benchmark index (.QSI), opens new tab was up 0.1%, helped by gains in utilities, finance and real estate sectors, with Qatar Islamic Bank (QISB.QA), opens new tab rising 0.8% and Qatar Electricity and Water (QEWC.QA), opens new tab adding 1%.
The Abu Dhabi benchmark index (.FTFADGI), opens new tab edged up 0.1%, supported by a 1.5% gain in real estate investment company Eshraq Investment (ESHRAQ.AD), opens new tab and a 0.7% rise in First Abu Dhabi Bank(FAB.AD), opens new tab, the UAE's largest lender.
The Abu Dhabi benchmark index (.FTFADGI), opens new tab edged up 0.1%, supported by a 1.5% gain in real estate investment company Eshraq Investment (ESHRAQ.AD), opens new tab and a 0.7% rise in First Abu Dhabi Bank(FAB.AD), opens new tab, the UAE's largest lender.
Dubai's benchmark stock index (.DFMGI), opens new tab bounced back after two sessions of losses and rose 0.2% with most sectors in the green. Toll-road operator Salik Co (SALIK.DU), opens new tab gained 1.2% and National Central Cooling (TABR.DU), opens new tab advanced 2.7%.
Meanwhile, the UAE has sold bonds worth $1.5 billion at a yield of 60 basis points over U.S. Treasuries after demand exceeded $5.75 billion, an arranging bank document showed on Tuesday.
Meanwhile, the UAE has sold bonds worth $1.5 billion at a yield of 60 basis points over U.S. Treasuries after demand exceeded $5.75 billion, an arranging bank document showed on Tuesday.
Saudi Arabia's benchmark stock index (.TASI), opens new tab fell 0.2%, pressured by losses in IT, finance, utilities and materials sectors. ADES Holding (2382.SE), opens new tab slipped 2.4% and Riyad Bank (1010.SE), opens new tab dropped 1.4%.
Investors are awaiting the U.S. personal consumption expenditures (PCE) price index - the Federal Reserve's favoured gauge of inflation - due on Friday, which could provide further clues on the Fed's rate cut trajectory.
Most Gulf currencies are pegged to the dollar and any change to the U.S. monetary policy is usually followed by the central banks of Saudi Arabia, the UAE and Qatar.
Most Gulf currencies are pegged to the dollar and any change to the U.S. monetary policy is usually followed by the central banks of Saudi Arabia, the UAE and Qatar.