Banking and Finance Bahrain’s sukuk and bond order book hits $7.8bn Bahrain has tightened guidance for its US dollar-denominated sukuk (Islamic bonds) and conventional bonds after it received combined orders of over $7.8 billion for the debt sale. Guidance was tightened to around 6.5 percent for the seven-year sukuk and 7.75-7.875 percent for the 12-year notes, Reuters reported, citing the document from one of the arranging […] April 7, 2023
Banking and Finance Abu Dhabi bank denies it is in talks to sell $3.7bn bad loans Abu Dhabi Commercial Bank (ADCB) has denied “in strongest terms” reports that it is in talks to sell off billions of dollars’ worth of bad debts. Bloomberg News reported that the bank, Abu Dhabi’s second biggest lender, was looking to sell AED13.5 billion ($3.68 billion) of bad loans. The report said that an entity called […] April 7, 2023
Banking and Finance UBS says Credit Suisse takeover ‘significant milestone’ The chairman of UBS told the bank’s annual shareholder meeting on Wednesday that the takeover of rival Credit Suisse was a significant milestone for Switzerland and for the global financial industry. Describing the transaction as “the first merger of two globally systematically important banks”, Colm Kelleher said it “means a new beginning and huge opportunities […] April 6, 2023
Banking and Finance Egypt closes $680m funding for 500MW wind farm The Red Sea Wind Energy consortium has signed a financial closing agreement worth $680 million to establish a wind farm in the Gulf of Suez with a capacity of 500mw. The project will be funded by the Japan Cooperation Bank and the European Bank for Reconstruction and Development, Egypt Today newspaper reported, citing an Egyptian […] April 6, 2023
Banking and Finance PIF-owned Savvy to acquire US gaming firm for $4.9bn Savvy Games Group, a games and esports firm wholly owned by the Saudi sovereign Public Investment Fund (PIF), has agreed to buy California-based Scopely, a maker of mobile games, for $4.9 billion. Scopely has a track record of developing and publishing various games, particularly on mobile platforms. The company’s portfolio of free-to-play franchises includes Star […] April 6, 2023
Banking and Finance Credit Suisse wins $41m lawsuit against Saudi prince Swiss lender Credit Suisse has won a $41 million lawsuit against a member of the Saudi royal family over a loan to refinance a super yacht, after London’s High Court ruled there was no viable defence to the bank’s case. Prince Fahad bin Sultan bin Abdulaziz Al Saud is liable to pay his company Burgundy […] April 6, 2023
Banking and Finance Buoyant 2022 for Emirates REIT manager Equitativa Net profit at real estate fund manager Equitativa grew by 30 percent year on year to $82 million (AED301 million) in 2022 and occupancy levels across its portfolio rose 13 percentage points to 85 percent, as it benefited from the “extremely strong” Dubai commercial property market. Equitativa is the manager of Nasdaq Dubai-listed Emirates REIT, […] April 6, 2023
Banking and Finance Private equity fund aims to boost F&B growth in UAE and beyond A new private equity fund dedicated to scaling food and beverage brands in the Gulf has been launched by UAE-headquartered Shatranj Capital Partners. The fund will invest in launching select brands that have not yet made it to the Mena region. It will also focus on growing proven Mena franchise food and beverage (F&B) brands, […] April 5, 2023
Banking and Finance Mubadala-backed Virgin Orbit files for bankruptcy Virgin Orbit Holdings Inc, founded by billionaire Richard Branson and backed by Abu Dhabi sovereign fund Mubadala, has filed for Chapter 11 bankruptcy protection after the satellite launching business struggled to secure long-term funding following a failed launch in January. The filing comes less than two years after Virgin Orbit went public at a valuation […] April 5, 2023
Banking and Finance UAE plans long-term economic ties with Israel The UAE’s commitment to a long-term strategic relationship with Israel should survive political turbulence, analysts say, after one of the most right-wing governing coalitions in Israel’s history prompted widespread anger. A series of recent moves and comments by Prime Minister Benjamin Netanyahu’s government has infuriated the public in much of the Arab world. They drew […] April 5, 2023
Banking and Finance Egyptian bond sales fall on likely currency devaluation Sales of three-year Egyptian treasury bonds issued on Tuesday plummeted to EGP1.09 million ($35,332) after the government baulked at the high yields demanded by investors concerned the currency is likely to depreciate soon. The central bank received 26 bids worth EGP5.77 billion with a weighted average yield of 24.15 percent at an auction on Monday, […] April 5, 2023
Banking and Finance Jordan’s $1.25bn Eurobonds issue oversubscribed six times Jordan issued $1.25 billion of Eurobonds at 7.5 percent that were oversubscribed six times, reflecting global investor confidence in the country’s fiscal and monetary stability, its finance minister said. Jordan finance minister Mohammad Al Ississ said the over-subscription allowed the government to raise the amount over a five-year and nine-month maturity from the original $750 […] April 5, 2023
Banking and Finance AD Ports Group signs $2bn financing deal AD Ports Group has signed a $2 billion financing agreement with a syndicate of 13 regional and international banks, it announced in a bourse statement on Tuesday. Part of Abu Dhabi investment and holding company ADQ, AD Ports Group has a portfolio of ports, economic zones, logistics and digital businesses driving the growth of international […] April 4, 2023
Banking and Finance Kuwait’s Agility raises $1bn from hedging DSV stake Kuwait’s Agility has entered into a derivative transaction, known as a collar trade, with banks to hedge its investment in Danish transport firm DSV. The company said it signed multi-year funded agreements with the banks that will allow Agility to draw down within a few weeks up to €1 billion ($1.09 billion). A collar is […] April 4, 2023
Banking and Finance Bank of Israel raises interest rate to highest since 2007 The Bank of Israel has raised its benchmark interest rate by another quarter of a percentage point, the ninth straight meeting it has increased rates amid a battle against inflation that remains above five percent. Bank governor Amir Yaron said he hoped the cycle of rate hikes, which began a year ago, was coming to […] April 4, 2023
Banking and Finance Saudi Electricity to raise $2bn via dual-tranche sukuk Saudi Electricity Company, majority owned by the sovereign Public Investment Fund (PIF), is set to raise $2 billion from a sale of dual-tranche sukuk (Islamic bonds), a bank document on the deal showed. The company’s offer is made up of 10-year green sukuk and 30-year conventional Islamic paper, the document showed. Orders for the 10-year […] April 4, 2023
Banking and Finance Dollar gains as inflation worries resurface after Opec+ surprise The US dollar started the week higher as fears over inflation resurfaced after a surprise announcement by major oil producers to cut production further, with traders wagering the Federal Reserve may need to increase interest rates at its next meeting. The announcement from the Organization of the Petroleum Exporting Countries (Opec) and its allies, known as Opec+, […] April 3, 2023
Banking and Finance Future for AT1 bonds uncertain in Credit Suisse aftermath As the dust settles on a surprise move by Switzerland to write down $17 billion of bonds under Credit Suisse’s rescue, the market for debt designed as a shock absorber for banks faces a long haul to regain investor trust. The global $275 billion market for additional tier 1 (AT1) bonds, part of bank capital […] April 2, 2023
Banking and Finance Turkish firms to invest $500m in Egypt amid improved ties Turkish companies are set to invest $500 million in Egypt in 2023-2024, targeting a trading volume of $20 billion in the long-term, a local newspaper reported. Turkish investors have significantly increased their investment in Egypt, with 35 companies employing 70,000 Egyptians at an investment of $1.5 billion, Daily Sabah newspaper reported, citing Mustafa Denizer, chairperson […] April 2, 2023
Banking and Finance UAE revokes licence of Russia’s MTS Bank The UAE central bank on Friday revoked the Abu Dhabi licence of Russia’s MTS Bank, five weeks after the United States and the UK placed the Moscow-based lender under sanctions. MTS must close its UAE operations, including shutting its Abu Dhabi branch, within six months, according to a statement issued by UAE state news agency […] March 31, 2023
Banking and Finance Mubadala targets European dialysis clinic chain for $2.5bn Abu Dhabi’s Mubadala Investment Company is considering acquiring British private investment company Bridgepoint Group’s European dialysis clinic chain Diaverum for $2.5 billion. The UAE sovereign wealth fund is among the final bidders competing to acquire Swedish Diaverum, Bloomberg reported, citing unnamed sources. The names of the rival bidders were not given. Bridgepoint is seeking a […] March 31, 2023
Banking and Finance PIF-backed Saudi Electricity plans sale of dollar sukuk Saudi Electricity Company is planning to issue a green or conventional sukuk (Islamic bonds) denominated in US dollars. The banks will hold meetings with fixed-income investors starting Friday (March 31), the company said in a statement to the Saudi bourse. The issuance amount will be determined later based on market conditions and requirements. The company […] March 31, 2023
