Qatar Airways-backed Virgin Australia stocks soar by over 11% on trading debut

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TODAY: Strong debut for Qatar Airways-backed Virgin Australia

Good morning, nice people. We’re heading towards the weekend with a balanced read, with news on the Qatar Airways-backed Virgin Australia’s strong market debut taking the lead. We also have M&A and data center updates from Egypt and Africa. Let’s dive right in.

HAPPENING THIS WEEK-

Global Transport Connectivity Forum will kick off in Istanbul, Turkey, on Friday, 27 June and run to Sunday, 29 June. The forum will address climate change, transport connectivity, and global transport corridors. It will host ministers, industry leaders, and executives of financial institutions and organizations.

WATCH THIS SPACE-

#1- Morocco needs USD 1 bn for gas pivot: Morocco is looking to mobilize around USD 1 bn investments to expand its natural gas pipeline infrastructure, as the country works on transitioning away from coal dependence for domestic electricity, Asharq Business reports, citing comments made by Energy Minister Leila Benali.

Building up the domestic pipeline infrastructure is also critical to the country’s ambition to become a regional natural gas hub, as the Morocco works on connecting Europe and sub-saharan Africa through a series of planned projects, such as the LNG terminal at Nador West Med Port (NWM) and the African-Atlantic gas pipeline — formerly known as the Nigeria-Morocco gas pipeline.

The breakdown of the USD 1 bn figure:

About USD 273 bn is needed for a pipeline connecting NWM’s LNG terminal to the Maghreb-Europe pipeline. The connection was previously reported to cost USD 400 mn;
USD 639 mn for a pipeline connecting NWM’s LNG terminal to the city of Mohammedia;
Some USD 43 mn to set up sub-networks supplying Mohammedia and Kenitra.

#2- Saudia Cargo lands in Hong Kong with a new JV: Flagship carrier Saudia Cargo launched a new Hong Kong-based JV dubbed Saudia Cargo Global in collaboration with the Chinese general sales service agent TAM Group, according to statements here and here. The entity is set to be Saudia Cargo’s new command center for Asia-Pacific and Greater China.

Who’s doing what: The new JV will offer advanced services tailored to the Greater China market, including freighter operations, e-commerce solutions, and specialised pharma logistics solutions, says the statement. Meanwhile, TAM Group will contribute its knowledge of the Greater China market and its regional networks.

Growing China ties: The airline inked an MoU in April with China’s Henan Aviation Group to ramp up services between Riyadh and Zhengzhou via the Air Silk Road. It also inked an MoU with China Cargo Airlines the same month to enhance collaboration in air cargo operations and develop specialized logistics services.

About TAM Group: The Hong Kong-based firm offers general sales and service solutions to 32 carriers globally, according to the statement. The company has some 38 branches spread across 17 countries in Asia Pacific, the Americas and Europe. TAM Group and Saudia Cargo first worked together in 1986, and the pair has maintained a steady partnership for nearly 40 years.

MARKET WATCH-

#1- Oil prices went up this morning as markets continued to weigh the impact of the fragile Iran-Israel ceasefire, Reuters reports. Brent crude futures increased USD 0.85 to USD 67.99 a barrel by 03.41 GMT, while US West Texas Intermediate (WTI) futures saw an uptick of USD 0.87 to trade at USD 65.24 a barrel. Despite the rise, the rates are still far below the crude’s surging rates during the preceding weeks of active Israel-Iran escalation.

#2- Baltic index dips once again: The Baltic Exchange’s dry bulk sea freight index — which tracks rates for the capesize, panamax, and supramax vessel segments — increased 0.4% to 1,681 points on Tuesday. Subindices of the index were not published.

DATA POINT-

The Arab region’s total LNG capacity is on its way to reach 200 mn tons per annum (mtpa) by 2028, Zawya reports, citing the Organization of Arab Petroleum Exporting Countries’ gas industry expert Wael Abdel Moati. Another 28 mtpa could be added by 2030 if projects in the planning stage reach a final investment decision, Abdel Moati added.

This is driven by a steady rise in demand for gas domestically and abroad, with domestic gas demand in the region set to rise by 2.5-3.5% per annum over the medium term to accommodate electricity demand for cooling, desalination, and petrochemicals, according to Abdel Moati. Meanwhile, Arab LNG producers — dominated by Adnoc, QatarEnergy, and Oman LNG — have secured about 25 LNG long-term supply agreements since 2024 for up to 32 mtpa.

A big pipeline: “To meet this rising demand, there are 15 gas development projects underway across the region, expected to bring 10 to 11 bn cubic feet per day of new supply over the next three to five years — all designated for domestic markets,” he told the news outlet.

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CIRCLE YOUR CALENDAR-

ASEAN Ports and Logistics will take place on Tuesday, 1 July till Thursday, 3 July in Jakarta, Indonesia. The conference will bring together industry leaders and keynote speakers for discussions in the transport and logistics sector — gathering some 400 delegates from governments, companies, and developers in the shipping, ports, cargo, trade, and rail industries.

Intermodal Africa will kick off on Tuesday, 22 July and run till Thursday, 24 July in Beira, Mozambique. The forum will host over 300 senior government officials, industry leaders, academics, senior executives, and harbor masters in the ports, shipping, and logistics sector. Attendees and speakers will be coming from countries across the Middle East, Africa, and Europe.

Check out our full calendar at the bottom of this email for a comprehensive listing of upcoming news events and news triggers.

Qatar Airways-backed Virgin Australia stocks jumps 11% on trading debut

Virgin Australia soars on market debut: Shares of Virgin Australia — which is 23%-owned by Qatar Airways — jumped 11.4% to AUD 3.23 a piece on its first day of trading yesterday, implying a market cap of AUD 2.6 bn (USD 1.7 bn) at close, Reuters reports. Institutional demand for the offering outpaced supply, with the IPO closing oversubscribed.

IN CONTEXT- The air carrier was surprisingly well received by investors on the Australian Securities Exchange (ASX) despite broader turbulence in the aviation sector, which has been among the hardest hit due to commercial flight disruptions from the Israel-Iran war.

About the offering: Virgin Australia took a 30.2% stake to market (or 236.2 mn shares) at AUD 2.90 a piece in a secondary offering on the Australian bourse, according to the prospectus (pdf). The selling shareholder, private equity firm Bain Capital, sold down its position to a 40% stake from 70.2%, thereby taking home net proceeds of roughly AUD 685 mn.

Domestic tilt + cheaper oil helped lift the stock above market jitters: Virgin’s debut pop came as oil prices — airlines’ largest operating costs — slid over 5% following news of a potential Israel-Iran ceasefire. CEO Dave Emerson also said Virgin was relatively insulated from geopolitical risks given that 90% of its operations are tied to the Australian market, with the firm boasting a 34.4% market share at home, Reuters reports.

What the pundits are saying: “With the potential de-escalation in the Middle East, that sort of puts some downward pressure on the oil price, which is slightly positive as well for the airline," said Blackwattle Investment Partners’ Joseph Koh.

An Aussie speciality? Qantas — Virgin’s top Australian competitor — shares rallied 65% over the past year, making it one of the world’s top performing airline stocks, despite a bearish call from Morningstar warning of a massive AUD 20 bn fleet replacement bill. Still, the IPO priced Virgin at a 30% discount to Qantas.

Flynas didn’t enjoy the same tailwinds. Virgin’s day-one pop stood in sharp contrast to Flynas from our region, whose shares slumped on debut earlier this month amid peak geopolitical risk, shedding 3.4%. The Saudi low-cost carrier — the region’s biggest IPO this year — listed just as the Israel-Iran conflict rattled markets, and is still trading below its final IPO price of SAR 80 per share.

ICYMI- State-owned Qatar Airways bought into Virgin back in March, securing a 23%stake from Bain Capital for an undisclosed sum, after lining up approval from the Australian government. Virgin Australia’s scheduled services to Doha, operated by Qatar Airways, are expected to resume on Tuesday, following the reopening of Qatari airspace, Reuters wrote.

Ascom is looking to take over Raya Holding’s 90% stake in Ostool

Qalaa Holding’s mining arm Ascom will submit a EGP 641.0 mn purchase offer for Raya Holding's entire 90% stake in freight subsidiary Ostool after its board greenlit the offer, according to a disclosure (pdf) to the EGX. The potential transaction values Ostool’s shares at EGP 8.22 each.

What’s next? Archer Financial Consulting will conduct a fair value study for Ostool. If it moves forward, Ascom will carry out the acquisition through one of its subsidiaries.

REMEMBER- Raya Holding upped its stake in Ostool to 90% back in 2023 after purchasing an additional 27.7% stake from Egyptian Gulf Holding Financial Investments, EGBank’s investment arm. Prior to that, Raya was looking to sell its 62.3% stake in Ostool, but the sale didn’t go through because the buyer didn’t transfer the funds within the required time.

MARKET REAX-Raya’s shares went up 0.4% at today’s trading to close at EGP 2.82 apiece, and Ascom saw its shares jump 5.4% to EGP 33.75 a pop.

Africa’s data center sector to experience an average 17% y-o-y amid investor optimism, ADCA says

Africa is set to see its data center sector growth surge at an average 17.5% y-o-y over the next year, with 93% of respondents confident that the sector will experience strong to moderate growth, according to the African Data Center Association (ADCA) insider survey (pdf).

The findings: The report finds that 77.4% of companies are planning to make significant investments within the next year, with an average profitability rating of 3.3 out of 5. Optimism for the sector was high as well, with over 80% of respondents considering the business climate in the region’s sector as favourable despite barriers to entry, such as access to reliable energy sources, financing hold-ups, and some regulatory constraints.

Investment hotspots: Egypt, Kenya, Nigeria, and South Africa are emerging as the continent’s top destinations for data center investments, Rising Advisory’s Emilie Wilson told EnterpriseAM. “In all these cases, a common driver is the need for low-latency, locally hosted cloud and content services, supported by improved financing conditions and government-backed digital agendas,” Wilson said.

Egypt is attracting renewed interest as a regional hub, largely driven by its strategic location, government-led digital initiatives, and major investments in connectivity infrastructure, Wilson told us. A “reliable power grid” and strong demand for internet and cloud services stand as strong incentives for data center expansion in the country, Wilson added.

Meanwhile, Kenya and South Africa are also seeing a growing presence of hyperscale providers, Wilson said, pointing to a “deepening confidence in these markets’ long-term viability.”

Other factors driving the “cautiously optimistic” view of the business climate in Africa are both “structural and market-specific,” Wilson told EnterpriseAM. These factors include surging digitization and data consumption, robust demand for cloud services, improving financing conditions, and rising attention to operational resilience, power reliability and sustainability. “Investor sentiment reflects a shift from speculative enthusiasm to more measured, execution-focused confidence,” Wilson added.

METHODOLOGY- The survey is based on in-person interviews with senior executives across several African countries. Africa-focused consultancy Rising Advisory analysed the results of the survey to produce insights into six dimensions of the sector: business climate, growth drivers, financing, innovation, human capital, and regional integration. Some 35.5% of respondents operate in North Africa and about 22.6% has established a presence in Egypt, Wilson said.

DATA POINT- The African continent accounts for just 307 MW of total data center IT load capacity — representing less than 1% of the world’s capacity of 59 GW, Wilson said.

Mawani names Suliman Almazroua as its new chairman

The Saudi Ports Authority (Mawani) appointed Suliman Almazroua (LinkedIn) as its new Chairman, it said in a statement yesterday. Almazroua, who brings over 22 years of experience, previously served as CEO of the National Industrial Development and Logistics Program (NIDLP) for over six years. He also assumed senior roles at Aramco and worked at the National Transformation Program.

Egypt’s logistics ambitions are real, and AK-Ships is quietly powering them

As Egypt accelerates its transformation into a global logistics hub, the spotlight often falls on mega-projects and state-led infrastructure. But beneath the headlines, local operators like AK-Ships are quietly laying the foundation for a more resilient, efficient, and globally connected maritime ecosystem.

Founded in late 2023, AK-Ships has rapidly scaled its operations, aiming in 2025 alone to transport 350k containers across 20 international ports, including strategic routes to Greece’s Piraeus. With a current fleet of three vessels and plans to expand to six ships this year and ten by 2026, AK-Ships is rapidly optimizing. The company has achieved 20% profit growth through fuel efficiency and smart maintenance strategies, including a USD 2 mn investment in vessel refurbishment.

This growth aligns seamlessly with Egypt Vision 2030, which positions maritime transport as a cornerstone of national development. The government’s Port Development Strategy emphasizes port modernization, digital infrastructure, and integration with industrial zones — all areas where AK-Ships is actively contributing.

AK-Ships’ environmentally conscious operations — designed to meet European port standards — reflect a broader shift toward sustainable logistics. This is especially relevant as Egypt seeks to enhance Suez Canal trade resilience and adapt to regional supply chain realignments following Red Sea disruptions.

In a sector often dominated by global giants, AK-Ships exemplifies how local players can drive strategic impact.

Updates on shipping and zones from Egypt

SHIPPING + MARITIME -

Egypt taps Chinese shipyard for two new ships: The National Navigation Company (NNC) inked a contract with Chinese shipbuilding firm Jiangsu Hantong Shipyard for the uptake of two 82k dwt Kamsarmax newbuild dry bulk cargo ships, according to a statement. The order is scheduled for delivery in H2 2028.

The new order will bring the state-owned firm’s total fleet to 18 ships, in line with its goal to modernize 54% of its fleet. NNC’s plan is also part of the Transport and Industry Ministry’s larger bid to bolster the size of the state-owned fleet to 36 ships by 2030, according to the statement.

Not a first: The NNC tapped Hangtong Shipyard for two of the same vessel types in April last year, with the vessels scheduled for delivery in 2026. The firm also integrated a USD 39 mn Chinese-owned bulk carrier – dubbed Gia Ambition – with 85k dwt capacity in May last year.

About Kamsarmax vessels: With dimensions similar to the Panamax vessel, Kamsarmax is designed to maximize cargo capacity while adhering to the dimensions needed to still be able to cross the Panama Canal, Philippines-based shipbuilder Tsuneishi reports. Kamsarmax also features a shallow draft of 14.5 m, allowing it the versatility to enter most major ports. The vessel has a cargo capacity of 98k TEUs and is specialised in carrying large hauls of low-density cargoes.

Targeting sustainability: The new vessels will be equipped with fuel-reducing technology and advanced systems to cap emissions, with newer models of Kamsarmax usually offering a 31% reduction in fuel consumption per ton-mile, in comparison to their predecessors.

ZONES-

Egyptian-Sudanese logistics zone incoming? Egypt and Sudan inked a contract to establish a logistics zone on the border crossing between them, Sudanese Ambassador to Egypt Imad Al Din Adawi told Asharq Business. The project aims to boost trade between the two neighboring countries.

The details: The zone will include dry and refrigerated storage facilities, as well as banks and financial institutions to facilitate commercial agreements between the two sides. The Arab Academy for Science, Technology, and Maritime Transport completed a comprehensive study on establishing the zone, which will be presented in November, according to a statement from the Sudanese Embassy in Cairo.

Mumbai International Airport secures USD 750 mn Apollo-led investment

Mumbai Airport secures investment: Mumbai International Airport Ltd — a subsidiary of India’s largest port operator Adani Airports Holdings — has secured a USD 750 mn investment financing from an Apollo asset management-led consortium, according to a statement. The funds — which come from Apollo-managed funds and other long-term investors — will be used to restructure the airport’s debt and support its operations.

The details: The financing comes in the form of four-year senior secured notes, with an option to add another USD 250 mn in the future.

SOUNDS FAMILIAR? Adani’s airport unit has been on a quest for financing to support its debt restructuring and expansion plans, with reports from April mentioning the company was in talks with First Abu Dhabi Bank — and international lenders including Barclays and Standard Chartered — to secure a USD 750 mn loan.

ICYMI- Adani Group is reportedly lining up the airport unit for an IPO before 20 March as part of the conglomerate’s plans to mobilize financing for its planned USD 100 bn investment push across energy, logistics, and infrastructure within the next five to six years.

Calendar

JUNE

18-27 June ( Wednesday-Friday): The International Maritime Organization’s Maritime Safety Committee meeting, London, UK.

24-25 June (Tuesday-Wednesday): Middle East Rail, Dubai World Trade Center.

25-26 June (Wednesday-Thursday): Decarbonizing Shipping Forum, Hamburg, Germany.

JULY

1-3 July (Tuesday-Thursday): ASEAN Ports and Logistics, Jakarta, Indonesia.

22-24 July (Tuesday-Thursday): Intermodal Africa, Beira, Mozambique.

SEPTEMBER

1-3 September (Monday-Wednesday): Transport Middle East 2025, Salalah, Oman.

3-4 September (Wednesday-Thursday): Sustainable Maritime Industry Conference, Jeddah, Saudi Arabia.

4-10 September (Thursday-Wednesday): Intra-African Trade Fair, Algiers, Algeria.

7-10 September (Sunday-Wednesday): Comex Global Technology Show, Muscat, Oman.

24-26 September (Wednesday-Friday): Routes World, Hong Kong.

25 September (Thursday): World Maritime Day 2025.

30 September - 2 October (Monday-Thursday): Global Rail Transport Infrastructure Exhibition and Conference, Abu Dhabi, UAE.

OCTOBER

The International Maritime Organization (IMO) is set to formally adopt the Net-zero Framework this month, stipulating new fuel standards for ships and a global pricing mechanism for emissions.

1-2 October (Wednesday-Thursday): Saudi Maritime & Logistics Congress, Dammam, Saudi Arabia.

7-8 October (Tuesday-Wednesday): Global EV & Mobility Technology (GEMTECH) Forum, Riyadh.

13 - 17 October (Monday-Friday): The Marine Environment Protection Committee’s second extraordinary session, London, UK.

14-15 October (Tuesday-Wednesday): Investing in Africa Conference and Expo, London, UK.

28-30 October (Tuesday-Thursday): Borneo International Maritime Week, Sarawak, Malaysia.

NOVEMBER

3-6 November (Monday-Thursday): ADIPEC Maritime and Logistics Exhibition and Conference, Abu Dhabi, UAE.

4-6 November (Tuesday-Thursday): Air Cargo Forum, Abu Dhabi, UAE.

17-21 November (Monday-Friday): Dubai Airshow, Dubai, UAE.

24-26 November (Monday-Wednesday) The World Advanced Manufacturing & Logistics Saudi Expo, Riyadh.

EVENTS WITH NO SET DATE

Mid-2025: Iraq will complete phase one of the construction of the Grand Faw Port.

DHL and Aramco’s logistics and procurement hub in Saudi Arabia will commence operations.

AD Ports-operated Safaga Port’s multi-purpose terminal will become operational.

Phase 3 of APM Terminals Tangier MedPort to be complete and operational.

1Q 2025: Sadr Park’s Logistics Center in Riyadh to be completed.

1Q 2025: Phase two of Jafza Logistics Park to be completed.

2026

27-29 January (Tuesday-Thursday) Transport Middle East 2026, Abu Dhabi, UAE.

28-30 April (Tuesday-Thursday) Mediterranean Ports and Logistics, Porto, Portugal.

24-26 June (Wednesday-Friday) Transport Logistic & Air Cargo 2026, Shanghai, China.

7-9 July (Tuesday-Thursday) Asean Ports and Logistics, Kuala Lumpur, Malaysia.

17-19 November (Tuesday-Thursday) Intermodal Africa 2026, Luanda, Angola.

UN Trade and Development Global Supply Chain Forum to take place in Saudi Arabia.

2027

4Q 2027: Oman’s Musandam Airport construction to be completed.

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