Arm IPO book-building to close early following huge investor demand: Banks will stop taking orders for shares in Arm’s USD 50 bn IPO today due to huge investor demand. The institutional offering was reportedly 10x oversubscribed as of yesterday, leading the banks underwriting the sale to close the book a day early. The SoftBank-owned chip designer will still price its shares on Wednesday, and are expected to be at the top end of the USD 47-51 price range — or perhaps higher than that. Bloomberg, Financial Times and Reuters have the latest.

Caveat emptor: Retail investors might want to tread carefully according to this Reuters piece, which looks at the poor returns suffered by individuals who bought into the biggest IPOs of the past four years.

AND- Aldar Estates buys up First Abu Dhabi Bank’s properties unit: The property management arm of Emirati real estate giant Aldar will acquire FAB Properties in a move that will add 22k residential units located in the UAE to its portfolio, it said (pdf) yesterday. This brings Aldar’s platform to 157k residential units under management in total, and facilities management contracts valued at AED 2.5 bn (USD 681 mn).

Remember: Aldar Estates became the region’s largest integrated property and facilities management company earlier this summer after International Holding Company (IHC), ADQ subsidiary ADNEC Group, and Aldar Properties agreed to merge their businesses into the platform.

ALSO WORTH NOTING-

  • Euro gas prices surge as Australia LNG strikes go ahead: European gas prices surged 10% on Friday after workers at Australian LNG facilities began to strike. Traders are jittery about how the loss of Australian LNG, which accounts for around 10% of global supply, could impact European energy prices. (CNBC | CNN)
  • EU cuts growth forecast as Germany heads for recession: The European Commission has reduced its 2023 growth forecast to 0.8% from 1% in May, with the German economy now expected to fall into recession this year. (Financial Times)
  • Alibaba shares fall 4% after head of its cloud unit quits: Daniel Zhang stepped down in a surprise move yesterday, unsettling investors in the Chinese tech giant, which is looking to IPO its cloud unit later this year. (Reuters | Financial Times)

EGX30

19,279

-1.5% (YTD: +32.1%)

USD (CBE)

Buy 30.83

Sell 30.96

USD at CIB

Buy 30.85

Sell 30.95

Interest rates CBE

19.25% deposit

20.25% lending

Tadawul

11,235

+0.7% (YTD: +7.2%)

ADX

9,713

+0.2% (YTD: -4.9%)

DFM

4,070

+0.1% (YTD: +22.0%)

S&P 500

4,487

+0.7% (YTD: +16.9%)

FTSE 100

7,497

+0.3% (YTD: +0.6%)

Euro Stoxx 50

4,254

+0.4% (YTD: +12.1%)

Brent crude

USD 90.62

0.0%

Natural gas (Nymex)

USD 2.62

+0.4%

Gold

USD 1,945.50

+0.1%

BTC

USD 25,090

-3.0% (YTD: +51.9%)

THE CLOSING BELL-

The EGX30 fell 1.5% at yesterday’s close on turnover of EGP 3.2 bn (51.1% above the 90-day average). Foreign investors were net sellers. The index is up 32.1% YTD.

In the green: TMG Holding (+1.5%), Heliopolis Housing (+1.1%) and Abu Qir Fertilizers (+0.1%).

In the red: َQalaa Holdings (-4.0%), E-finance (-3.6%) and Elsewedy Electric (-3.0%).

Asian markets are largely in the red this morning after an overnight tech rally in New York, CNBC reports. Futures suggest a mixed open in Europe later this morning, while the NYSE and Nasdaq look set to dip into the red at the opening bell, with the TSE looking on track for a healthier start to the trading day.

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