ADNOC Gas joins MSCI Emerging Market Index

ADNOC Gas joins MSCI Emerging Market Index

ADNOC Gas has been added to the MSCI Emerging Markets Index, becoming the third ADNOC stock to join the global benchmark that includes the most prominent publicly listed companies from 24 emerging market countries.

ADNOC Gas will be the largest addition to the Index by market capitalisation and joins ADNOC Distribution and ADNOC Drilling which were added to the benchmark in 2021 and 2024, respectively. The company’s inclusion follows its successful $2.84 billion (AED10.3 billion) marketed offering of 3.1 billion shares in February, which increased the number of shares available to the public by 80% and helped the stock successfully meet key eligibility criteria for entry into the Index.

This marks a significant milestone in the ADNOC Gas’s ongoing efforts to enhance its global investment profile, attract a broader and more diversified investor base and improve liquidity of its shares.

Through their inclusion in the MSCI Index, the three ADNOC Group companies collectively raise both ADNOC’s and the Abu Dhabi Securities Exchange’s (ADX) global investment profile, while enhancing liquidity in the UAE market and further cementing the UAE’s position as an attractive destination for foreign investment. As with ADNOC Distribution and ADNOC Drilling’s addition to the Index, ADNOC Gas experienced a surge in trading on the final day before its index inclusion, attracting $469 million (AED1.7 billion) in capital inflows.

The inclusion of ADNOC Gas in the Index also marks another milestone in ADNOC’s efforts to foster growth of the UAE’s capital market, which began in 2017 with the public listing of ADNOC Distribution on the ADX. Since then, ADNOC has brought another five of its subsidiaries to the public market, with a current combined market cap of around $140 billion (AED508 billion). ADNOC’s growing listed company portfolio is providing attractive opportunities for global investment into the UAE, further integrating the UAE’s capital markets into the global financial ecosystem.

#Dubai Real Estate Boom Sparks Investor Rush Despite Warnings - Bloomberg

Dubai Real Estate Boom Sparks Investor Rush Despite Warnings - Bloomberg

Dubai’s red-hot real estate sector continues to lure investors — this time through a rare public listing. Dubai Holding’s $584 million residential REIT jumped nearly 14% in its trading debut, underscoring investor appetite for exposure to the emirate’s property market.

With home prices up nearly 70% over the past four years, traditional entry points are increasingly out of reach. Dubai Holding — controlled by the emirate’s ruler — is among those looking to broaden access. In addition to Dubai Residential REIT, it plans to list a separate portfolio of malls and other commercial assets. These moves could breathe new life into the REIT market, which has a troubled history in the United Arab Emirates.

Others, including construction firms and online property portals, are also eying new share sales to capitalize on the property boom.

Meanwhile, fractional ownership models are gaining traction. Stake, a Dubai-based startup, allows individuals to invest with as little as $136. The Dubai Land Department recently launched a platform offering tokenized property shares starting at just under $550.

And demand for housing shows no signs of slowing, with the city welcoming 1,000 new residents a day in the first quarter, according to real estate consultancy Valustrat.

International players are taking note. Brookfield has partnered with Abu Dhabi’s Lunate on a $1 billion venture to invest in residential real estate. China’s state-owned Citic is helping finance a $6 billion project by Dubai’s MAG Group, while Goldman Sachs and Asia-focused Hillhouse Investment have committed millions.

To be sure, analysts have warned that lower oil prices, continued tariff uncertainty and a wave of new supply could temper gains. Fitch Ratings forecasts a “moderate correction” in late 2025 into 2026, as around 120,000 units — nearly four times the 2024 level — are slated for handover next year.

“Investors were naturally interested in the long-term outlook for real estate in the region, given how strong the market has been over the past few years,” said Pradyut Pratap, co-head of Middle East and North Africa investment banking at Morgan Stanley, which helped arrange the Dubai Residential REIT. The listing attracted blue-chip hedge funds, long-only managers and real estate specialists, he told Bloomberg News.

The REIT’s strong market reception is especially notable given the broader regional context.

Saudi Arabia’s United Carton Industries, which raised $160 million in a heavily oversubscribed IPO, had a muted debut. Days later, the company reported a drop in net profit, sending shares further below the offer price.

Valuation concerns likely played a part, but Saudi market jitters haven’t helped. The kingdom’s stocks were the worst performers globally in May, amid weaker oil prices and fears of slower spending on mega-projects.

Still, the region’s dynamics make it a "compelling destination for capital" and better equipped than most to withstand current market headwinds, according to Khaled Hobballah, senior country officer for MENA and head of global markets for MENA and Turkey at JPMorgan. Speaking to Bloomberg TV’s Joumanna Bercetche about the IPO pipeline, he said, “For the right transaction, there will be robust demand.”

For now, while recent Saudi IPOs have generally outperformed their UAE peers, the REIT’s strong showing suggests sentiment may be shifting — at least toward names tied to Dubai’s property boom.

Shareholder in #UAE's biggest bank FAB seeks to raise $480 mln from secondary offering | Reuters

Shareholder in UAE's biggest bank FAB seeks to raise $480 mln from secondary offering | Reuters

A shareholder of First Abu Dhabi Bank (FAB) (FAB.AD), opens new tab, the UAE's biggest bank by assets, is offering around $480 million worth of shares via a secondary share sale, the bookrunner for the deal said on Friday.

The selling shareholder, whose name was not disclosed, is offering around 113 million shares at a price of 15.5 dirhams ($4.22) per share through an accelerated bookbuilding, said Citi, which is acting as bookrunner.

It added that books were fully covered as demand exceeded the deal size.

The offer price represents a 3.7% discount to FAB shares' closing price of 16.1 dirhams apiece on Abu Dhabi's bourse (.FTFADGI), opens new tab on Friday.

FAB, whose top shareholder is the $330 billion Abu Dhabi wealth fund Mubadala, held assets worth 1.31 trillion dirhams as of the end of March.

The bank has been seeking to expand including outside of the Gulf. Two years ago it said it had considered a bid for London-listed Standard Chartered (STAN.L), opens new tab.

Gulf stocks settle varied on tariff uncertainty, rise in oil prices | Reuters

Gulf stocks settle varied on tariff uncertainty, rise in oil prices | Reuters

Stock markets in the Gulf ended varied on Monday, as investor sentiment remained fragile after U.S. President Donald Trump's threat to double tariffs on worldwide steel and aluminium.

Trump accused China of violating a bilateral deal to roll back tariffs and announced a 50% tariff on steel and aluminium, rattling international trade. The tariffs are set to come into effect starting June 4.

Oil prices - a catalyst for markets in the Gulf - jumped by more than 4% after the OPEC+ group decided to keep output increases in July at the same level as the prior two months. .

Brent crude futures was up 3.97%, at $65.27 a barrel by 1220 GMT. The Organization of the Petroleum Exporting Countries and its allies, decided on Saturday to raise output by 411,000 barrels per day in July.

S&P 500 futures fell 0.5%, while Nasdaq futures lost 0.7%, suggesting a retreat at the opening bell later.

Saudi Arabia's benchmark stock index (.TASI), opens new tab settled 0.23% higher with packaging provider United Carton Industries (1323.SE), opens new tab up 4.52% and industrial company Savola Group (2050.SE), opens new tab up 4.66%.

"Sector performance was mixed but generally supportive, notably from the banking sector, which had experienced significant losses recently. Energy stocks also contributed positively, buoyed by higher oil prices," said Joseph Dahrieh, Managing Principal at Tickmill.

Al Rajhi Bank (1120.SE), opens new tab, Saudi Arabia's second-largest lender by assets, settled up 1.24%.

The UAE stock markets presented a mixed picture, with Dubai's main share index (.DFMGI), opens new tab settling flat and Abu Dhabi's, benchmark index (.FTFADGI), opens new tab finishing down 0.39%. The Abu Dhabi index recorded a second straight session of losses.

"The Dubai stock market was relatively stable after two previous sessions of losses. Momentum could remain intact and the market could continue to rise," said Dahrieh.

In Dubai, food and groceries delivery provider Talabat Holding (TALABAT.DU), opens new tab was down 1.39%, while Amlak Finance (AMLK.DU), opens new tab rose by 14.55%.

Qatar's benchmark stock index (.QSI), opens new tab settled 0.16% lower. Commercial Bank (COMB.QA), opens new tab was the top loser on the index, down 1.78%. The index touched its lowest levels since May 1.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab fell 0.54%, extending losses for a second consecutive session.

Real estate companies took a hit, with Orascom Development Egypt (ORHD.CA), opens new tab down 3.2% and Emaar Misr for Development (EMFD.CA), opens new tab down 3.01%.