Plenty of love from foreign investors

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WHAT WE’RE TRACKING TODAY

THIS MORNING: Wynn might delay the opening of its RAK resort + DP World rolls out war ins. coverage

Good morning, friends, and happy FRIDAY. We end the week on a mostly positive note, with the major theme of the day being: Foreign investors still love the UAE.

From megaproject financing to First Abu Dhabi’s latest sukuk and another real estate investment from Brookfield, there’s plenty of love going around from foreign investors, despite geopolitical uncertainty.

But that doesn’t mean there’s no delays or obstacles: Ras Al Khaimah’s massive USD 5.1 bn Wynn Al Marjan Resort might delay its opening due to delays in construction on the back of the war. And plenty of firms have been impacted by the war, judging by their 1Q earnings — though many, including banks, remained resilient.

We break down all the new investments, and major companies’ earnings — from IHC to Emirates — in this morning’s news well, below.

Sign of the times

The UAE is setting up a committee to keep track of “Iranian acts of aggression, international crimes, and the damages resulting from them,” Wam reports. The committee will enlist specialists to help with documenting and verifying instances of international crimes, with the end goal of “support[ing] accountability procedures.”

The damage so far: Since the start of the war at the end of February, Iran has targeted the UAE more than any other Gulf country, with over 2k drones and hundreds of missiles, with injuries, fatalities, and infrastructure damage at industrial facilities happening from falling debris after air defense systems intercepted Iranian strikes. That includes the DIFC, state-owned telecom infrastructure, EGA’s Al Taweelah facility, and one of the world’s largest oil refineries in Ruwais, among others.

The move comes after just last week, Iran broke the ceasefire after a period of (relative) calm, with a fire breaking out at the Fujairah Oil Industry Zone after the UAE intercepted Iranian cruise missiles.

WEATHER- Temperatures are cooling down slightly this weekend, with highs ranging between 37-38°C in Dubai and Abu Dhabi, and lows of 28-29°C overnight.

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Good news and bad news for Ras Al Khaimah?

Ras Al Khaimah is lining up plans for a China-UAE industrial park under an agreement between Ras Al Khaimah Economic Zone and Mighty Industrial Park, according to a press release. They plan to develop a fully-integrated industrial park focusing on metals recycling and dismantling, as well as precious metals refining and downstream manufacturing operations.

IN CONTEXT- UAE-China cooperation has been picking up pace. A recent visit to Beijing by Abu Dhabi Crown Prince Khaled bin Mohamed bin Zayed Al Nahyan saw 24 agreements signed covering finance, hydrogen, energy storage, and EVs, alongside plans for joint investment platforms and cross-border funds.

On the downside… The war could delay one of the emirate’s major megaprojects. Wynn Resorts is reportedly considering postponing the opening of its USD 5.1 bn Ras Al Khaimah casino resort, Bloomberg reports, citing a person familiar with the matter. The project had been targeting a spring 2027 launch and is viewed as a cornerstone of Ras Al Khaimah and the UAE’s wider tourism and entertainment push.

Why the delay? Development work briefly paused following the outbreak of fighting and partial UAE airspace closures — though construction was said to have quickly resumed in March.

It’s likely a wider tourism story: MGM Resorts CEO Bill Hornbuckle said visitor activity in the region was “down to like 15%, give or take.” The fallout was also felt locally, with hotel occupancy falling from 90% averages to 16% in March, prompting several hotels to temporarily shut their doors to cut costs and focus on renovations. Authorities have since moved quickly with support measures, with Ajman rolling out tourism fee deferrals, flexible payment plans, and fine exemptions for sector players, while a federal tourism support package is also in the works.

On the more optimistic side: Rival MGM Resorts’ Dubai mega-project — which will bring the MGM and Bellagio brands to the Middle East for the first time — remains on track for a 3Q 2027 debut despite softer regional tourism flows. Hornbuckle said on an earnings call that the company remains “very excited” about its long-term UAE expansion plans and expects activity to eventually recover.

Watch this space

ENERGY — Japan + UAE to talk energy support: The UAE and Japan agreed to talks on increasing UAE crude supplies as well as refilling joint crude stockpiles held in Japan, Reuters reports, citing Japan’s Economy, Trade and Industry Ministry.

Japanese officials did not confirm volumes, however Japanese media organization Nikkei previously reported Tokyo could procure an additional 20 mn barrels from the UAE. It may be getting some crude very soon, after an Adnoc tanker seemed to have made its way through the Strait of Hormuz after resurfacing (loaded) near northern Indonesia on its way to Japan.

IN CONTEXT- Earlier on in the conflict, the UAE and Japan held talks focusing on energy ties. The Emirates affirmed its commitment to ensuring an oil supply for the import-dependent east Asian country. The UAE also recently shirked off restriction oil production quotas when it exited Opec, a decision which is set to lead to markedly higher export volumes once movement starts up again through Hormuz. Elsewhere in the region, the UAE has also been discussing energy security with the likes of South Korea, with barrels sent to the country via a storage agreement with Korea National Oil Corp.

M&A WATCH — A private UAE-based investor is buying parts of Italian lender UniCredit’s Russian business, according to a statement. European and Italian authorities had ordered the sale over national security fears, Bloomberg and Reuters report.

What we know: The agreement is non-binding, but would split the business in two, with UniCredit holding onto its payment arm which handles cross-border transactions for select non-sanctioned clients. The transaction is expected to close in the first half of 2027, pending approvals in Russia and Europe.

BACKGROUND- UAE investors have become more visibly interested in Russian-linked assets since sanctions reshaped ownership flows. In February, IHC was reported to be part of a consortium competing for the global assets of Russian oil firm Lukoil, while earlier in the year, the UAE had expressed interest in investing in nuclear energy projects by Russia’s state-owned Rosatum.

LOGISTICS — Logistics giant DP World is rolling out ins. coverage for cargo traveling through regional trade routes, with the firm saying in a statement that coverage will be available across multi-modal options and unlike other policies which leave gaps for storage and inland transport operations, will cover the whole supply chain operation.

The fine print: The policy covers damage and physical losses caused by war-linked events, and coverage limits of USD 400 mn for shipping and USD 1 mn for inland operations.

This is the UAE taking matters into its own hands to help encourage global logistics firms to continue to operate in the region. Standard commercial ins. policies often have war exclusion clauses that mean coverage can be canceled with just seven days' notice. DP World is providing a safety net that allows trade to continue even when geopolitical tensions rise.

M&A WATCH — Arada enters the healthcare space: Sharjah-based developer Arada is turning its attention to the healthcare sector, taking a controlling 80%+ stake in Abu Dhabi-based healthcare provider Reem Hospital, according to a statement. The stake was bought off Abu Dhabi-based Investcorp Capital, its affiliates, and other stakeholders.

The developer is now planning to double Reem Hospital’s capacity and build three new Reem Hospitals across Dubai, Abu Dhabi, and Sharjah, along with a network of clinics. Arada is committing AED 2 bn for Reem’s expansion efforts.

The big story abroad

The exchange of fire between the US and Iran is dominating front pages, as everyone monitors what this means for an already fragile ceasefire and ongoing negotiations. Iran accused the US of targeting two ships in the strait of Hormuz and attacking civilian areas, while the US said it targeted sites responsible for attacking three US warships.

US President Donald Trump said the ceasefire is still in place and brushed off the strike as a “love tap.” The skirmish came only a few hours after Pakistan said it the countries were close to an agreement that could potentially be reached this weekend, and follows another blip in the ceasefire that saw Iran strike the Fujairah Oil Industry Zone earlier this week.

Also getting plenty of ink: An outbreak of hantavirus on a cruise ship has triggered a rapid search of infected individuals who left the ship, which saw three people die after contracting the virus. The World Health Organization looked to calm nerves quickly by saying the threat of the virus spreading is much lower than covid-19.

And in business news: Wall Street bankers are poised to get even larger bonuses this year, according to Johnson Associates report which estimates a bump of 20% or more depending on the role of the bankers in transactions.

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More financing for our localization push, this time for chemicals

Local and international players alike are still pouring bns into the UAE’s megaprojects, with the latest push coming for a major new methanol plant in Ruwais Industrial City. Ta’ziz Methanol, the joint venture between Abu Dhabi’s industrial powerhouse Ta’ziz and Swiss-headquartered Proman, reached USD 2 bn in financial close on their methanol plant in Ruwais Industrial City, state news agency Wam reports.

The transaction drew heavy oversubscription from a pool of 11 regional and international lenders across Europe and Asia. It comprises a five-year conventional syndicated loan of USD 1.9 bn and an Islamic financing tranche worth USD 200 mn.

The financing comes at a time when the UAE is doubling down on its petrochemicals industry, with T’aziz just a day before also exploring a AED 10 bn investment to produce new chemicals, including styrene and polystyrene. Earlier this week, it also locked in USD 28.5 bn in long-term sales, feedstock, and offtake agreements spanning methanol, caustic soda, and polyvinyl chloride, alongside a USD 5 bn+ gas supply agreement with Adnoc Gas. Ta’ziz’s total chemicals production is set to rise to 4.7 mtpa by 2028 from the 17 sq km Al Ruwais facility.

Who’s involved? The group is led by Abu Dhabi Commercial Bank and First Abu Dhabi Bank, who served as the joint bookrunners. They are joined by local and regional heavyweights including Abu Dhabi Islamic Bank, Emirates Development Bank, our friends at Mashreq, and the National Bank of Kuwait. International banks include Sumitomo Mitsui Banking Corporation, which also acted as the exclusive financial advisor, alongside European and Asian lenders Banco Bilbao Vizcaya Argentaria, DBS Bank, and ING Bank. Completing the lineup is The Arab Energy Fund.

ADVISORS- Sumitomo Mitsui Banking Corporation was the exclusive financial advisor for the deal, while Abu Dhabi Commercial Bank and First Abu Dhabi Bank served as bookrunners and authorized lead arrangers, providing the largest financing commitments.

First sukuk issuance out of the Gulf since the war started was oversubscribed 2x

International investors are also still coming for UAE debt…: First Abu Dhabi Bank (FAB) successfully tapped the international markets on Wednesday, raising USD 700 mn in a five-year senior unsecured sukuk, Zawya reports. The transaction is the first international Islamic bond from the GCC since the escalation of regional conflict — and the 2x oversubscription rate tells us the market is still hungry for investment-grade regional paper.

The fine print: The notes were priced at a spread of 85 bps over US Treasuries, tightening from initial guidance of 115 bps, with a reoffer yield of 4.859%. While the pricing was described by some bankers as “flat or negative” to FAB's secondary curve — indicating strong technical demand — the print was still 25 bps wider than its USD 750 mn senior bond issuance in January.

That’s not surprising given the geopolitical backdrop, with analysts recently telling us that spreads have significantly tightened from earlier during the war, though they are yet to reach pre-war levels. This is a sharp reversal from early April, when analysts told us that market jitters made it nearly impossible to build order books without offering “meaningful concessions.”

Still, the positive signs are hard to ignore. FAB’s tight spread and oversubscription shows that GCC debt is still very much in demand, especially after an even riskier offering from Emirates NBD last week — an AT1 issuance — also saw pricing tighten to 6.25% from 6.75% earlier on strong demand.

ADVISORS- Joint lead managers and bookrunners include Abu Dhabi Islamic Bank, Bank ABC, Dubai Islamic Bank, First Abu Dhabi Bank, HSBC, Industrial and Commercial Bank of China, Kuwait International Bank, KFH Capital, and Standard Chartered, which is also acting as billing and delivery bank.

A big vote of confidence in Dubai’s property market

…and they’re coming for UAE property: Canadian alternative asset manager Brookfield just made another investment in the UAE’s property sector, and it couldn’t have come at a more critical time. While preliminary data has indicated that the market is still holding its ground, the wait-and-see phase is still seeing activity ease, and the major concern has been whether foreign investors still want to put their money in assets in the region, despite the geopolitical risk.

Brookfield has been an active player in the UAE for a few years now, with projects including a nine-tower beachfront development, which it’s developing through a joint venture with Dubai Holding and the ICD Brookfield Place. Last year it set up a USD 1 bn JV with asset manager Lunate focused on residential real estate in the Middle East.

Now it’s teaming up with Kuwait-founded retail franchise operator Alshaya Group on a 480k sq ft mixed-use development in Dubai Hills, which is set to include Grade A offices, build-to-rent housing, and retail space, according to a press release.

The project has been on Brookfield’s radar for a while, and the fact that the transaction went through months into the war is a great signal for the sector. Aside from Brookfield, plenty of foreign firms are pushing ahead with expansion plans and investments in the UAE, with asset managers like Citadel and Hillhouse planning ADGM offices — but this is the first direct foreign investment in Dubai real estate since the war began.

Who’s doing what? Brookfield Properties will act as development and real estate manager, while Alshaya will anchor part of the site as its new UAE office and integrate some of its brands into the retail spaces.

Earnings out from IHC, Burjeel, Emirates, Parkin, DTC

IHC nearly doubles earnings as investment gains turbocharge 1Q

Abu Dhabi-listed investment giant International Holding Company (IHC) kicked off 2026 with a sharp jump in profitability, reporting net income after tax of AED 8.2 bn in 1Q, up 98.5% y-o-y, according to its earnings release (pdf) and management discussion and analysis report (pdf). Revenue climbed 33.2% y-o-y to AED 31.4 bn, supported by broad-based growth across its portfolio alongside higher investment income and fair value gains.

The biggest growth engines? Energy and mining revenue more than quadrupled y-o-y to AED 5.4 bn, while hospitality and leisure revenue jumped 126.8% to AED 2.7 bn. Technology revenue rose 54.1% to AED 1 bn, and topline inflows from financial services climbed 47.6% to AED 1.3 bn. Real estate and construction remained the group’s largest segment, generating AED 10.8 bn in revenue.

IHC continued crafting a diverse investment portfolio via its subsidiaries during the quarter, helping lift total assets to AED 445.3 bn by the end of March. That includes ePointZero’s USD 2.3 bn acquisition of US gas infrastructure player Traverse Midstream Partners; 2PointZero’s acquisition of a 60.8% stake in Italy’s ISEM Packaging Group; and a USD 1 bn acquisition of a 41.5% stake in India’s Sammaan Capital.

How was growth funded? Total debt climbed 12.3% q-o-q to AED 94.8 bn, partly driven by AED 7.4 bn in sukuk issuance, while the company also approved a new AED 5 bn share buyback program during the quarter.

Looking ahead: Management struck a confident tone despite the regional backdrop. CEO Syed Basar Shueb said IHC would “continue to recycle capital into high-conviction opportunities” while expanding globally and scaling its dynamic value networks model.

Parkin keeps the bottom line moving through softer March traffic

Dubai parking operator Parkin also saw regional tensions and an extended Eid holiday period weigh on activity in 1Q 2026, though earnings still surged, according to its earnings release (pdf) . Net income rose 36% y-o-y to a record AED 185.1 mn in 1Q, while revenue climbed 41% to AED 384.2 mn.

Growth was driven by higher parking tariffs, a 23% increase in parking spaces, and seasonal card sales that surged 129% y-o-y to 100.6k as commuters shifted toward fixed-rate permits under Dubai’s variable parking system. Parkin has since proposed raising seasonal card tariffs. Still, activity softened in March, as total parking transactions fell 5% y-o-y to 34.7 mn, while public parking utilization dropped to 21.8%.

Dividends: Parkin reiterated its policy of paying semi-annual dividends in April and October, with FY2026 payouts expected to equal at least 100% of net income or free-cash-flow to equity — whichever is higher. The company distributed AED 655.7 mn in FY2025 dividends, above its AED 625.5 mn net earnings for the year.

Emirates Group posts record net income

Emirates, meanwhile, saw net income rise 3% y-o-y despite the outbreak of the war at the end of February triggering a period of severe airspace disruptions. Its net income reached AED 21 bn in FY 2025-26,on record revenues of AED 150.5 bn, according to Dubai Media Office.

The breakdown: Emirates Airlines alone booked AED 19.7 bn in net income on AED 130.9 bn in revenues. Emirates SkyCargo generated AED 16.2 bn in revenue, while its air services provider arm dnata posted an AED 23.6 bn topline. Passenger traffic softened as expected, with the airline carrying 53.2 mn passengers compared with 53.7 mn a year earlier.

The forward view: Emirates has about three-quarters of its flights operating at pre-conflict capacity, Emirates CEO Ahmed bin Saeed Al Maktoum said. Emirates is hedged on fuel through to 2028-2029 and has secured the supply volumes needed to restore operations back to pre-disruption levels, he added. He also added the group’s cash-reserves allow it to continue fleet and retrofit spending without “knee-jerk cost control measures.”

BUT- Lower net income meant smaller bonuses for staff: Emirates staff were allocated a smaller bonus — at 20 weeks’ worth of salary — this year as net income came in lower than expected, down from the 22-week payout last year, people familiar with the matter were quoted as saying by Bloomberg.

Regional uncertainty hits Dubai Taxi

The war also weighed on Dubai Taxi Company’s earnings, with revenues falling 6% y-o-y to AED 551.1 mn in 1Q, according to its earnings release(pdf). Its bottomline also took a hit, falling 39% to AED 50.7 mn.

The softer quarter was heavily tied to the war outbreak and lower trip numbers, and came despite a stronger start to the year. Revenues were up 10% y-o-y in January and February, and net income rose 25% y-o-y in the same period, supported by fleet expansion and continued demand across its mobility segments.

Taxi revenue, which remains the company’s largest business line, fell 11.5% y-o-y to AED 455.3 mn during the quarter as trip volumes weakened in March. Limousine revenue dropped 15% to AED 29.2 mn. The delivery bike business outperformed, with revenue jumping 61% y-o-y to AED 26.6 mn on sustained demand in the on-demand delivery segment.

Burjeel’s operating rooms are still busy as earnings jump 44.5%

Burjeel Holdings delivered resilient growth in 1Q 2026 despite softer activity tied to regional tensions and Ramadan timing shifts. The ADX-listed healthcare provider reported net income of AED 57 mn, up 44.5% y-o-y, according to its earnings release (pdf) and management discussion and analysis report (pdf). Revenue rose 5.1% to AED 1.3 bn on a 7.2% increase in patient footfall, while its hospitals business — which accounts for nearly 89% of group revenue — grew 5.5% y-o-y to AED 1.2 bn.

The outlook: Management said deferred elective procedures in March had created a backlog of more complex cases expected to support activity in coming quarters.

Dividends: The group approved an AED 120 mn FY2025 dividend during the quarter.

More infrastructure plays from Mubadala, BNY eyes ADGM digital assets, and yet another defense localization agreement

Mubadala places another energy transition wager

Mubadala Investment Company acquired a minority stake in US-based renewable energy management software platform Power Factors alongside existing investor Vista Equity Partners, which is also US-based, according to a statement. The financial details and stake size were not disclosed.

Why it matters: As renewable portfolios scale, the software used to monitor and optimize wind, solar, and storage assets is becoming increasingly important. Power Factors says its platform manages around 310 GW of capacity across 18k sites internationally, and works with 35 of the 50 top renewable energy producers.

The acquisition comes as Mubadala expands its renewables portfolio globally. Recently, Mubadala Energy acquired a 15% stake in Egypt’s Nargis offshore gas concession from Eni, while Mubadala Investment company invested USD 300 mn to back a takeover of shipping container firm Seaco. It also recently brought an oil country tubular goods manufacturing facility online, and over on the real assets side, a Mubadala-Aldar Properties JV also recently acquired The Link in Masdar City.

In another Mubadala infrastructure play…

The sovereign wealth fund was also among those backing US-based Accelerate, which invests in critical infrastructure, in a USD 630 mn funding round, according to a press release. Mubadala’s specific investment ticket wasn’t disclosed, but this latest round brings Accelerate’s total raised equity to USD 1.3 bn.

The recipient: Accelerate’s strategy centers on taking over infrastructure sites central to the digital, transportation, and renewable sectors, and the fresh funding will go towards expanding its current portfolio of holdings.

BNY is planting a deeper flag in Abu Dhabi

BNY + IHC players partner on ADGM digital assets: US-based financial services giant BNY is teaming up with IHC’s Finstreet and ADI Foundation, the digital arm of IHC’s Sirirus International Holding, to build institutional-grade crypto custody infrastructure out of ADGM, according to a press release.

Who’s doing what? The partnership will see BNY offer its regulated custody services for digital assets including BTC and Ethereum, with plans to later expand into stablecoins and tokenized real-world assets, with the goal of localizing crypto custody services in the UAE. Finstreet will provide the regulated market infrastructure layer, while ADI Foundation contributes the blockchain rails through its ADI Chain network.

ICYMI- Abu Dhabi has been steadily building out its digital finance infrastructure. Just recently, IHC, Sirius International Holding, and First Abu Dhabi Bank got the greenlight to launch DDSC — an AED-backed stablecoin that operates on the ADI blockchain.

The UAE is localizing chiplets for use in targeting and guidance defense systems

US defense player Lockheed Martin will help establish a chiplet design and assembly facility in the UAE under an agreement signed at Make It in the Emirates, state news agency Wam reports. The chiplets will be integrated into advanced targeting and guidance systems by Edge subsidiary Halcon, significantly enhancing the onboard computational power and precision of sovereign defense systems.

The agreement also includes the establishment of a dedicated R&D centre at Khalifa University focused on microelectronics design, talent development, and industry-led research.

Background: Lockheed Martin is becoming a key player in the push to localize defense manufacturing in the UAE, earlier also agreeing to establish a Cybersecurity Center of Excellence aimed at developing sovereign cybersecurity capabilities and build capabilities in the sector. Beyond Lockheed, Edge earlier this week tapped European firms to manufacture high-tech cable harness assemblies, printed circuit boards, electronic components, and turnkey subsystem solutions.

Hybrid bond rush

Companies are selling hybrid bonds at a record pace this year, with Bloomberg data showing that firms have sold USD 65 bn worth of the debt instrument YTD, continuing on from a wave of issuances that followed a move from Moody’s to raise the equity credit in hybrid bonds back in 2024.

Why hybrid bonds, and why now? Hybrid bonds allow issuers to strengthen their balance sheet given that their debt-equity mix doesn’t only add leverage like traditional bonds. For buyers, the subordinated debt comes with a higher coupon in comparison to senior notes. Right now, that additional cost is near record lows, with spreads reaching an all-time low of 58 bps in March.

There’s also “massive demand” for the instrument from investors willing to take on extra risk, analysts said. Orders in Europe are currently surpassing issuance sizes by 4.5x.

Europe is the primary issuance hub for the moment, with the likes of Carlsberg issuing hybrid notes to shore up its balance sheet after an acquisition play. The Gulf is also starting to warm up to the concept, with Abu Dhabi developer Aldar Properties raising not one, but two hybrid issuances this year.

A wider debt rush is happening over in Asia, as well, with hopes of an end to the war also triggering record lows in credit spreads and leading issuers to race to secure cheap financing, Bloomberg reported elsewhere. Westpac Banking issued a USD 4 bn offering, while HSBC is also preparing a USD-denominated issuance.

Credit spreads tightened by 13 bps in 1Q in Asia, outperforming global averages of 5 bps, Bloomberg data showed. The findings indicate a vote of confidence in the fundamentals of the energy import-reliant region, amid reports of a possible ceasefire.

The outlook: For hybrid notes, the more selective, the better, one analyst says, pointing to issuances with shorter waiting periods before the first call. For now, the flurry of activity in Europe is particularly precarious, given its exposure to energy distribution linked to the war.

MARKETS THIS MORNING-

Asian markets are mostly in the red as escalations between the US and Iran raise concerns over the fate of ongoing negotiations and the current ceasefire. South Korea’s Kospi and Hong Kong’s Hang Seng fell more than 1%, while Japan’s Nikkei is 0.8% lower. Over on Wall Street, futures are also slipping after the S&P 500 and Nasdaq retreated from recent all-time highs yesterday.

ADX	9,876	+0.0% (YTD: -1.2%)
DFM	5,931	+0.6% (YTD: -1.9%)
Nasdaq Dubai UAE20	4,748	+0.4% (YTD: +2.9%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	3.4% o/n	4.0% 1 yr
TASI	11,031	+0.8% (YTD: +5.2%)
EGX30	53,605	+2% (YTD: +28.2%)
S&P 500	7,337	-0.4% (YTD: +7.2%)
FTSE 100	10,277	-1.6% (YTD: +3.5%)
Euro Stoxx 50	5,973	-0.9% (YTD: +3.1%)
Brent crude	USD 102.6	+2.5%
Natural gas (Nymex)	USD 2.79	+0.7%
Gold	USD 4,712	+0.0%
BTC	USD 79,846	-2% (YTD: -10%)
Chimera JP Morgan UAE Bond UCITS ETF	AED 3.68	+1.4% (YTD: +0.3%)
S&P MENA Bond & Sukuk	151.79	+0.4% (YTD: -0.1%)
VIX (Volatility Index)	17.08	-1.8% (YTD: +14.3%)

THE CLOSING BELL-

The DFM rose 0.6% yesterday on turnover of AED 1.0 bn.The index is down 1.9% YTD.

In the green: Naeem Holding For Investments (+14.9%), Emirates Central Cooling Systems Corporation (+7.2%), and Parkin Company (+6.5%).

In the red: Amlak Finance (-4.5%), Alec Holdings (-3.3%), and Emirates REIT (CEIC) (-2.9%).

Over on the ADX, the index held flat on turnover of AED 1.7 bn. Meanwhile, Nasdaq Dubai was up 0.4%.

Ins. for your rent? What it took to build the UAE’s first rental guarantee product

611.8k — that’s how many residential transactions Rakesh Mavath (LinkedIn) and his co-founder Pooja Vithlani (LinkedIn) had to sift through to build datasets to back what would become the UAE’s first rental guarantee product. Their startup, Takeem, is now backed by Second Century Ventures, the strategic investment arm of the US National Association of Realtors (NAR), one of the world’s largest proptech venture capital investors.

With a lengthy runway, a lean team, and incredibly fortunate timing, they’re now at the peak of their growth cycle — thus far — with 900% growth week-on-week, as market demand skyrockets on the back of more uncertainty and cost pressures amid regional geopolitical tensions.

Each week, My Morning Routine looks at how a successful member of the community starts their day — and then throws in a couple of random business questions just for fun. Speaking to us this week is Rakesh, who takes us through how he and his co-founder started the business, why it’s so in demand right now, and how his routine helps set him up for the day. Edited excerpts of our conversation:

EnterpriseAM: First of all, tell me the story behind Takeem. How did it start?

Rakesh Mavath: It came together through the combination of a tenant and a landlord. I’m a co-founder who’s a tenant, and my other co-founder is a landlord. I knew the frustrations from the tenant side: security deposits not being returned, having to pay in cheques, having to pay upfront rather than monthly. My co-founder had the frustrations from the landlord’s point of view of chasing tenants for payments, getting 2 am maintenance-related phone calls, etc.

We started exploring those frustrations and speaking to people within the ecosystem, and the one thing that was clear was rent was a source of exasperation for most people in Dubai.

We didn't see renting as a zero-sum game where one person has to win and another has to lose. What we wanted was to create a solution where everyone wins. We looked at it as a first-principles model and found that the friction stems from mistrust, so we needed a product that built that trust layer for the whole rental market.

E: How do you build that trust? How does the product work?

RV: The key product we offer is a rental guarantee, which offers protection for landlords if their tenants default. If the tenant can’t pay, the landlord gets 4-6 months of their rent, depending on the reason why the tenant couldn’t pay. We also include emergency maintenance cover and a direct debit offer, meaning digital payments straight into the landlord’s bank account instead of the managing of cheques.

We had to build that product from scratch, because while rental protection products are available in the UK, US, and Australia, and they're actually a core ingredient of more mature rental markets, it wasn't available here in the GCC because there was no data available publicly for defaults and delays. We had to build that to be able to convince our partners that there was a need for this product in the market.

In order to get that data, we had to do a lot of groundwork. We had to knock on the doors of family offices and asset and property managers to get a combination of public and private datasets.

E: Why did you start with B2B first?

RV: Property managers, agencies, and family offices are the gatekeepers to the landlords. They have the information there. They are able to educate the landlord on our product, and they also are at risk when a tenant defaults. When a landlord has a tenant default, who does he blame? The agent or property manager who put the tenant in there. The landlord takes the financial risk, and the agent or property manager takes the reputational risk.

We are adding B2C now, offering the product to individual landlords, and again, it helps both parties — the tenant and the landlord — to have a guarantee in place. What we saw previously was a tenant would lose their job or get diagnosed with a critical illness and they’d be forced to make the very difficult decision of paying rent or other essential expenses. With the guarantee, they both know they’re covered in case of emergencies.

E: It’s great timing for a product like that. Costs are rising, there’s layoffs, some people left Dubai on a whim… so the rental market could see some stress. What has demand looked like in the past two months?

RV: The demand for Takeem has grown exponentially. There’s been a lot of job losses across the tourism, hospitality, retail, and energy sectors. Even before this situation, we had said the short-term risks in the market are affordability, job security, because we’d seen some strain across low and mid-white collar industries as they optimized and increased their use of AI, and geopolitical events.

Right now, we’ve seen a convergence of risks that we probably haven't seen since 2020 at both a macro and a micro level. A huge bulk of the customers we spoke to in the past year who felt this was a nice-to-have product have come back, said it’s now a must-have, and signed with Takeem in the last two months. We’ve seen 900% week-on-week growth in customers, and we think that’s just because it was the right product at the right time, with a strong team and positioning.

E: Onto your morning routine, what does that look like on a regular day?

RV:I’m a very early riser. I’m a morning person and I love a sunrise, so I’m always up before the sunrise. I like to start my day with swimming, surfing, or running; something to get my mind set up for the rest of the day. I grew up on the ocean in Australia — the beach was 15 meters from my house — so I’ve surfed ever since.

Previously, I probably wouldn't look at anything work-related till about 7am, but now it’s more like 6am. The hours are definitely longer and we’re making our meetings shorter to be able to handle the pace of things right now.

Pooja’s handling the tech side of things, so I don't have to worry so much about that, and for me it’s usually sales meeting after sales meeting. We will talk probably twice a day to bring each other up to speed on what’s happening on each of the different elements of the business. Right now I find myself working up until 10-11pm, but I love it. I just feel super excited more than anything.

Rakesh’s recommendations

What he’s reading: I love to read both to acquire knowledge and for entertainment after a long day. 1929 by Aaron Ross Sorkin is an excellent read to help satisfy the knowledge and learning side of things, and my current read for pure entertainment purposes is a book called Dungeon Crawler Carl. I love it because there’s a main character in there that’s a cat — Princess Donut — and she vocalizes everything I think my own cat also thinks.

Where he surfs: Sunset near Burj Al Arab. Nikki Beach is another good one, and there’s the wave park open in Abu Dhabi, and some spots in Fujairah and Umm Al Quwain as well.

A piece of advice he has for new founders: Build relationships. The UAE, and the Arab world more generally, is a relationship economy. It takes time and they may not seem fruitful at the time, but they will become fruitful if they are the right relationships. In Dubai, that could also mean people in government and the regulators, whose doors are always open, which is something you don’t get in many other countries.

CALENDAR

MAY

12-14 May (Tuesday-Thursday): Abu Dhabi Infrastructure Summit, ICC Hall, Adnec Center, Abu Dhabi.

15-17 May (Friday-Sunday): Art Dubai, Madinat Jumeirah, Dubai.

19-22 May (Tuesday-Friday): Abu Dhabi Water and Energy Week, Adnec Center, Abu Dhabi.

22 May-7 June (Friday-Sunday): Dubai Esports and Games Festival, Dubai.

JUNE

3-4 June (Wednesday-Thursday): MENA Investor Conference, Ritz-Carlton DIFC, Dubai.

3-4 June (Wednesday-Thursday): MENA Desalination Forum, Conrad Abu Dhabi Etihad Towers, Abu Dhabi.

15 June - 15 September (Monday-Thursday): Dubai Mallathon, Dubai.

17 June (Wednesday): Investopia Global Talks, Tashkent, Uzbekistan.

22-24 June (Monday-Wednesday): The International Glass Manufacturing Show, Dubai.

JULY

31 July (Friday): Large businesses achieving annual revenues equal to or above AED 50 mn must appoint an accredited service provider for e-invoicing implementation.

AUGUST

17-20 August (Monday-Thursday): Arabian Travel Market, Dubai World Trade Center, Dubai.

SEPTEMBER

1-3 September (Tuesday-Thursday: Middle East Energy, Dubai World Trade Center, Dubai.

7-9 September (Monday-Wednesday): AIM Congress, Dubai World Trade Center.

7-9 September (Monday-Wednesday): International Property Show, Dubai World Trade Center, Dubai.

12-13 September (Saturday-Sunday): Emirates International Congress on AI & Visionary Leadership in Transforming Healthcare, Adnec Center Abu Dhabi.

29-30 September (Tuesday-Wednesday): AFCM Annual Conference, Abu Dhabi.

OCTOBER

4-10 October (Sunday-Saturday): World Space Week, Abu Dhabi.

5-7 October (Monday-Wednesday): AI Everything Global, Adnec Center, Abu Dhabi.

12-14 October (Monday-Wednesday: Airport Show, Dubai World Trade Center, Dubai.

20-22 October (Tuesday-Thursday): Future Health Summit, Adnec Center Abu Dhabi.

27-28 October (Tuesday-Wednesday): Arab Competition Forum, Dubai.

Signposted to happen sometime in October 2026:

Abu Dhabi Space Week, Abu Dhabi.

NOVEMBER

2-6 November (Monday-Friday): Dubai Future Finance Week, Dubai.

4 November (Wednesday): Digital Transformation Summit, Sofitel, Abu Dhabi.

9-10 November (Monday-Tuesday): Annual government meetings, Abu Dhabi.

10-12 November (Tuesday-Thursday): Dubai International Electric Vehicle Exhibition & Conference, Dubai World Trade Center.

16-18 November (Monday-Wednesday): World Police Summit, Dubai World Trade Center, Dubai.

DECEMBER

2-4 December (Wednesday-Friday): UN Water Conference, UAE.

8-9 December (Tuesday-Wednesday): Capital Market Summit, Madinat Jumeirah, Dubai.

Signposted to happen sometime in 2027:

1 January: Deadline for large businesses to implement e-invoicing;
1Q 2027: Completion of the first phase of Hassyan seawater desalination project;
1-3 February (Monday-Wednesday): World Governments Summit;
31 March: Small businesses with annual revenues of less than AED 50 mn are obliged to contract with an accredited service provider for e-invoicing implementation;
31 March: Government entities are required to appoint an accredited service provider for e-invoicing implementation;
21-22 April (Wednesday-Thursday): Token2049, Dubai;
1 July: Deadline for small businesses to implement e-invoicing;
1 October: Deadline for governments to implement e-invoicing;
Abu Dhabi’s solar and battery energy facility, combining 5.2 GW of solar capacity and 19 GWh of battery storage, is set for commissioning.

Signposted to happen sometime in 2028:

Artificial Intelligence Summit.

Signposted to happen sometime in 2029:

Sibos 2029 organized by the Society for Worldwide Interbank Financial Telecommunication (SWIFT), Dubai;
Annual Meetings of the World Bank Group and the International Monetary Fund, Abu Dhabi;
The commissioning of the seventh phase of Mohammed bin Rashid Al Maktoum Solar Park.

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