Adnoc makes its first investment in the US

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WHAT WE’RE TRACKING TODAY

THIS MORNING: Adia’s Malaysia Airports bid could need revision, shareholder says + Passenger travel is on the up in the UAE

Good morning, wonderful people. We have a tight but interesting issue for you this morning, with plenty of updates on the macro, IPO, and M&A fronts.

THE BIG STORY is a toss-up between Adnoc’s venture into the US, with the acquisition of a minority stake in a Texas LNG project, and Alef Education getting the ball rolling on the ADX with the first IPO on the exchange for the year.

WEATHER- It’s a little foggy this morning, and the National Center of Meteorology has issued a warning to residents driving in the early hours of the day. The mercury hits 37°C today in Dubai and Abu Dhabi, with overnight low ranging between 25-27°C.

WATCH THIS SPACE-

#1- Dubai’s new Al Maktoum Airport is expected to give rise to a new full-fledged city in the southwest housing around 1 mn people, Knight Frank Partner and Head of Research Faisal Durrani told Al Bayan. Developers will need to ramp up developments in Dubai South to accommodate the anticipated influx, especially as demand continues to outstrip supply in other parts of Dubai.

Dubai is expected to see only 22k homes delivered yearly for the next five years, far below the 70k needed annually to meet future demand, which will keep upwards pressure on prices, especially in Dubai South, Durrani said. Real estate prices in Dubai have risen 9% y-o-y in 1Q 2024, Durrani said.

#2- Could ADIA’s consortium revise its bid for Malaysia Airports? The takeover bid by a consortium comprising Abu Dhabi Investment Authority, GIP, and Malaysian state players Khazanah Nasional Berhad and Employees Provident Fund could be “too opportunistic” and might need to be revised, Ross Cameron, a portfolio manager at Northcape — which owns a 1.7% stake in the airport operator — told Bloomberg.

REMEMBER- The consortium offered to pay MYR 11 (USD 2.34) per share for 67% of the company in a bid to take it private, representing a 15% premium over Malaysia Airports’ three-month volume-weighted average price and valuing it at USD 3.9 bn, according to the statement.

One analyst, however, said the offer is “fairly valued” given that minority shareholders have “positioned early” in anticipation of a take-private bid, driving the share price up in recent months.

DATA POINTS-

#1- The Abu Dhabi Global Market (ADGM) grew its assets under management by a record 211% y-o-y in 1Q 2024, it said in a statement yesterday. The financial center now has 107 fund and asset managers managing some 137 funds as of the end of the quarter, while the total number of operational entities increased 30% y-o-y to nearly 2k, including 291 financial services entities.

#2- UAE airports saw 36.5 mn passengers pass through in 1Q 2024, marking a 14.7% y-o-y jump in passenger traffic, state news agency Wam reports, citing the General Civil Aviation Authority. Arrivals accounted for 11 mn of the passengers, departures for 10.8 mn, and transit passengers reached around 15 mn.

The air cargo sector jumped 32% yo-y during the first three months of the year, handling 1.1 mn tons of cargo, with national carriers handling 68% of the cargo volume during the quarter. Out of the 1.1 mn tons, imports comprised 269k tons, exports 119k tons, while transit goods totaled 714k tons.

HAPPENING TODAY-

#1- TheMiddle East Petroleum and Gas Conference is on its second day and runs until tomorrow in Dubai. Hosted by the Emirates National Oil Company and organized by the S&P Global Commodity Insights, the theme of the conference is “Evolving Core Energy Markets within a Sustainable Landscape.”

#2-The Global Prompt Engineering Championship, the world’s biggest AI prompt challenge, kicked off yesterday and runs until tomorrow, at the Emirates Towers and the Museum of the Future. The championship's final stage features 30 participants from the fields of art, literature, and coding, selected from thousands worldwide, writes Wam. They will be competing for a grand prize of AED 1 mn.

#3- The International Exhibition of National Security and Resilience 2024 Conference is kicking off today and will run until tomorrow at Adnec Abu Dhabi, coinciding with the International Exhibition of National Security and Resilience, Wam reports. The conference is set to gather top CEOs, leaders, and experts from different fields to discuss security challenges and promote strategic partnerships.

#4-The Electric Vehicle Innovation Summit is on its second day and runs until tomorrow in Abu Dhabi. The three-day event welcomes over 300 delegates — including the Energy and Infrastructure Ministry — and 200 exhibiting brands to spotlight the future of electric vehicles in advancing sustainable mobility.

#5- ADX kicked off its 2024 Global Investor Roadshow and Conference in New York yesterday in collaboration with Morgan Stanley Bank, according to a statement (pdf). Ending today, the event aims to connect ADX’s 15 blue-chip companies with major New York-based institutional investors and portfolio managers. The 15 top ADX-listed companies attending the roadshow represent a combined market cap exceeding USD 228 bn, and include Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Adnoc Distribution, Adnoc Drilling, and AD Ports.

#6-CABSAT kicked off its latest edition today at the Dubai World Trade Centre. The three-day event will welcome over 18k industry professionals and media markets to explore business prospects across content, broadcast, satellite, media, and entertainment, before wrapping on Thursday, 23 May.

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THE BIG STORY ABROAD-

Our corner of the world is the undisputed big story around the world as journalists around the world take stock of the death of Iran’s president and foreign minister, the health of Saudi Arabia’s King Salman, and the prospect of arrest warrants for the top leaders of Israel and Hamas.

#1- The International Criminal Court’s chief prosecutor has requested arrest warrants for Israeli Prime Minister Benjamin Netanyahu, his defense minister, and three Hamas leaders on charges of war crimes and crimes against humanity. A panel of ICC judges will decide whether or not to accept the prosecutor’s request.

The US isn’t happy: US President Joe Biden was quick to respond to the news. In a brief statement, he called the move “outrageous.” Meanwhile, US Secretary of State Antony Blinken is warning of the implications of this move, saying that it could jeopardize ongoing efforts to reach a ceasefire agreement.

#2- The death of Iranian President Ibrahim Raisi has opened a conversation on the future of the region’s leadership, writes Bloomberg. The business information service also points to questions around the health of King Salman, who is currently undergoing treatment for lung inflammation.

WORTH READING- The AP is out with a piece asking “what’s next for Iran’s government?” Among the questions is who among the hard-liners could step into the presidency.

AND IN TECH NEWS- Microsoft announced its Copilot+ PCs, which it is billing as “the fastest, most intelligent Windows PCs ever built” — designed for AI, of course, as is the flavor of the day. The device will call on AI to perform tasks such as helping users recall things they have come across on their computer. Look for it to be available starting 18 June.

The Wall Street Journal’s Joanna Stern is no shill, and she’s impressed, writing that the device — which she’s had the chance to play with — left her thinking that “Windows is exciting again.” The bottom line: “They’ve got improved performance, battery life and enhanced AI features. Finally, Microsoft is promising some real competition to Apple’s M-powered MacBooks.” The Verge’s Tom Warren has more.

CIRCLE YOUR CALENDAR-

TheTiE Women MENA Programme 2024 is now accepting applications until June 2024.The program supports women entrepreneurs across the region with mentorship, financial advice, workshops, and pitch coaching. Winners can earn up to USD 50k at the global finals and USD 25k at the finals in Dubai.

The Dubai Business Forum in Beijing, China is set to take place between 21-22 August, Wam reports. Hosted by Dubai Chambers, the event aims to attract foreign direct investments by presenting investment prospects.

The Middle East Investors Summit is scheduled to be held between 27-28 May 2024 at the Rosewood Hotel on Al Maryah Island, Abu Dhabi. The event will focus on investment opportunities in the emerging tech digital assets and crypto, sports and entertainment sectors, with one of the key themes being the GCC’s region growing influence as a business hub.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

Alef Education plans to sell 20% stake in ADX IPO

Abu Dhabi-based edtech firm Alef Education is planning to offer up to a 20% stake (1.4 bn shares) in an IPO on the ADX, according to a prospectus (pdf) published yesterday. This is set to be Abu Dhabi's first IPO of the year and the UAE's third. It follows the successful IPOs of Parkin, which raised AED 1.57 bn, and Spinneys, which raised AED 1.38 bn, both driven by strong investor interest.

REFRESHER- News of Alef listing on the Abu Dhabi bourse first broke in July 2023, when it reportedly held talks with advisors about the potential listing. The education firm has since tapped our friends at EFG Hermes and First Abu Dhabi Bank (FAB) to work on the IPO.

Who’s selling? Tech Nova Investment and Kryptonite Investments will be offering their shares in the IPO.

The book-building process starts next Tuesday 28 May, with the subscription period for retail investors concluding on 4 June. Institutional investors’ subscription period will wrap a day later on 5 June. Some 92% of the shares on offer will be allocated to institutional investors, while 8% will go to retail investors. Shares are expected to begin trading on 12 June, according to the prospectus.

First glimpse into Alef’s earnings: The company reported AED 110 mn in net income and AED 177 mn in revenue in 1Q 2024, according to the disclosure. The company’s revenues grew 12.4% y-o-y in 2023 to AED 750 mn in 2023.

Dividends: Alef is planning to pay shareholders a minimum dividend payout ratio of 90% of net income for both 2024 and 2025, and is targeting distributing no less than AED 135 mn annually for both years, according to the company’s intention to float (pdf). Dividends will be paid semi-annually, with payouts for the first-half results distributed to shareholders in 4Q of that year, and dividends for the second half paid in 2Q of the following calendar year.

Advisors: FAB and EFG Hermes are acting as joint lead managers and joint bookrunners. FAB is also the listing advisor and lead receiving bank of the IPO, with Abu Dhabi Islamic Bank, Abu Dhabi Commercial Bank, and Al Maryah Community Bank acting as receiving banks.

More on Alef: Founded in Abu Dhabi in 2016, Alef’s flagship learning platform provides curated study plans for students using AI and machine learning tech, spanning several international markets, including the UAE, the US, Morocco and Indonesia.

REMEMBER- We have more IPOs in the pipeline: Earlier this week, construction firm Alec tapped advisors for an IPO on the DFM. Amanat Holdings is also reportedly looking to list either its education or healthcare unit, with reports that its healthcare unit could raise some USD 200 mn as soon as this year, while shisha producer Advanced Inhalation Rituals was said to be eyeing an IPO in 1H 2024. Over on the ADX, Etihad Airways, and supermarket chain LuLu group have each tapped banks to advise on their transactions.

Adnoc acquires 11.7% stake in NextDecade's Rio Grande LNG project

Adnoc snaps up minority stake in Texas LNG project: Abu Dhabi National Oil Company (Adnoc) acquired an 11.7% stake in the first phase of sustainable liquefied natural gas (LNG) producer NextDecade's USD 18 bn Rio Grande LNG export facility in Texas for an undisclosed sum, according to a statement. The stake acquisition marks Adnoc’s first investment in the US.

The details: Adnoc bought a stake in the first phase, which includes the first three liquefaction trains in the facility, from Global Infrastructure Partners (GIP). NexDecade retained its share in Phase 1 alongside its shares in the the fourth and fifth proposed trains, with Adnoc having the option to buy into these. The new trains are expected to bring the facility to a full production capacity of 27 mn tonnes of LNG annually.

Adnoc and NextDecade also inked a 20-year offtake agreement, under which Adnoc will receive 1.9 mn tons of LNG annually from the project's planned Train 4 on a free-on-board basis, with the price indexed to the monthly Henry Hub benchmark. This arrangement is contingent on NextDecade's final investment decision regarding the construction of Train 4, expected in 2H 2024.

We knew this was coming: Reuters reported in March that Adnoc was in talks over an offtake agreement from NextDecade for the fourth unit of its USD 18 bn Rio Grande LNG facility.

Hailed as a “significant milestone in Adnoc’s international growth strategy,” the acquisition will provide the oil giant access to the US, “one of the world’s top LNG export markets,” Musabbeh Al Kaabi, Adnoc’s executive director for international growth said.

ICYMI #1- Adnoc has been planning to enter the US market for some time now, and is currently looking to set up a trading desk in the US as part of its global expansion plans. The oil giant is also mulling a stake acquisition in AmeriGas, the propane distribution unit of US utility holding company UGI Corp, through its subsidiary Adnoc Distribution, as part of plans to diversify away from oil.

ICYMI #2- Adnoc also has plans to ramp up LNG capacity to 15 mn tonnes per year by 2028, up from the current 6 mn tonnes, Reuters reports.

Mubadala snaps up 49% stake in Spanish pipes manufacturer

Mubadala acquires a stake in Spanish tubular solutions business: Mubadala signed an agreement to acquire a 49% stake in Spain-based pipe manufacturer Tubacex 's tubular solutions business for oil and gas exploration and production (OCTG) for USD 150 mn, according to a filing (pdf) to Spain’s National Securities Market Commission CNMV.

The Abu Dhabi sovereign wealth fund will also invest in Tubacex's new OCTG factory in Abu Dhabi as part of the agreement, the disclosure adds. The plant will provide pipe finishing and threading operations, specializing in rust and corrosion-resistant steel pipes, with operations expected to kick off by year's end.

Mubadala has been upping its assets as of late: The state investor logged a 9.5% y-o-y rise in its assets under management to AED 1.11 tn in 2023, making it the second largest state fund in Abu Dhabi, after the Abu Dhabi Investment Authority. Mubadala increased its investments in new sectors — including AI, technology, life sciences, clean energy, and private credit — during the year, and steered investments towards North America, Asia, and Europe.

Tubacex is no stranger to the UAE: The Spanish company received its largest order back in June 2022 from the Abu Dhabi National Oil Company, which ordered some 30k tonnes of corrosion-resistant alloys OCTG solutions for gas extraction to be supplied over a decade.

OTHER MUBADALA NEWS-

Mubadala backs clean energy in the Asia Pacific region: Abu Dhabi state investor Mubadala has made its first investment in Japan’s clean energy sector, committing an undisclosed amount to Asia-Pacific investment firm PAG’s newly set up renewable energy fund PAG REN I, it said in a statement yesterday. The investment seeks to support Japan in installing 108 GW of solar capacity by 2030, and reducing carbon emissions and reliance on imported fuels in line with emission reduction targets.

About PAG REN I: The USD 550 mn fund targets investments in physical assets in Asia, with a focus on solar power in Japan, according to a statement by PAG yesterday. It includes pensions, sovereign wealth funds and fund-of-funds investors in North America, Europe and the Middle East.

The IMF now sees the economy growing 4% this year

The International Monetary Fund (IMF) has revised upward its 2024 growth forecast for the UAE to 4% in its latest end of mission statement, following its visit to the UAE earlier this month. The fund had previously penciled in 3.5% growth for 2024 in its World Economic Update report in April.

The IMF’s revised prediction comes on the back of increased domestic activity in tourism, construction, and financial services sectors, as well as foreign demand for real estate and improved bilateral ties “adding to ample domestic liquidity” by driving housing prices and rentals up.

The UAE’s diversification away from oil is also to thank, with accelerated public and private investments and reforms in areas such as renewable energy and technology expected to boost growth further, and buffer against geopolitical shocks, the IMF said. Still, an increased hydrocarbon GDP is expected to contribute to economic growth, driven by higher crude oil production from the UAE’s OPEC+ quota increase.

The IMF predicts inflation will trend close to 2.0% in 2024, representing a slight downward revision from the 2.1% annual inflation rate it had forecasted for 2024 back in April.

The fund expects the UAE’s current account surplus to come in at 9% this year — a few notches above the 7.8% that was projected in April due to high oil prices. The general government surplus is projected to land at 5% of GDP by the year’s end, while public debt is slated to decline to 30% with active debt management strategies.

Tadweer and Dubal Holding fully acquire e-waste firm Enviroserve

Tadweer Group + Dubal Holding to assume equal ownership of Enviroserve: Abu Dhabi-based waste management company Tadweer Group and investment firm Dubal Holding have acquired 100% of Dubai e-waste specialist Enviroserve, with each taking an equal 50% stake, according to a press release. Enviroserve is the only integrated e-waste processor in the Middle East, Africa, and the Caucasus region, and is known for recycling electrical and electronic equipment waste, the statement notes.

Enviroserve has a massive e-waste recycling facility in Dubai Industrial City: The company established The Recycling Hub, the world’s largest e-waste recycling facility, at Dubai Industrial Park in 2019. Spanning 280k sq feet, the AED 120 mn facility is able to process 100k tons of waste annually, including 39k tons of e-waste. The project is backed by the Swiss Government Export Finance Agency and handles waste such as consumer electronics and military avionics as well as refrigerant gas, aerosol cans, and light bulbs.

Dubal has been showing interest in green projects too: Dubal is an investor in Warsan Waste Management, where it is part of a consortium building one of the world’s largest single-site waste-to-energy facilities, according to its website. The firm also has a 50% share in Emirates Global Aluminum — a giant UAE aluminum manufacturer that has been working to decarbonize and recycle its production line.

Shuaa to issue bonds for capital optimization + Emirates Islamic taps banks for sukuk

Shuaa Capital plans to issue a total of AED 642.5 mn of mandatory convertible bonds (MCBs) as part of its capital optimization plan, according to a DFM disclosure (pdf). The bond issuances are pending regulatory approvals, with conversion valuations to be set by an independent financial advisor.

The breakdown: Shuaa plans to issue AED 367 mn (USD 99.92 mn) in MCBs through a private placement, according to the filing. The investment bank also plans to issue up to AED 275.5 mn (USD 75.01 mn) in MCBs by 31 March 2025, offered to current bondholders of the outstanding bonds issued by a special purpose vehicle owned by Shuaa.

This is not the first time we hear about a bond issuance: Shuaa Capital has been reportedly looking at raising AED 250 mn in bonds to meet senior debt obligations and settle unsecured bonds as part of a wider restructuring program. The company is reportedly eyeing a shortlist of “qualified investors.”

The investment bank also has a new CEO: Shuaa’s board also appointed Wafik Ben Mansour (LinkedIn) as its CEO, according to the statement. Ben Mansour was appointed acting CEO back in November.

Background: Shuaa has been undergoing major restructuring after substantial losses in 2023. Shuaa reached an agreement with bondholders in April to extend the payment terms for some USD 150 mn worth of bonds, and appointed a new management team as part of its capital optimization plan. The investment bank has fully settled around AED 500 mn (USD 136 mn) in margin facilities with multiple UAE banks.

OTHER DEBT NEWS-

Emirates Islamic taps banks for debut sustainability-linked sukuk: Emirates Islamic has appointed Emirates NBD Capital and Standard Chartered Bank as joint global coordinators for its debut benchmark sized USD-denominated senior sustainability-linked sukuk, according to a document seen by Reuters. The issuance will be under Emirates Islamic’s USD 2.5 bn certificate issuance program. Investor calls kicked off yesterday.

Benchmark-sized? A “benchmark sized” issuance is usually at a minimum valued at USD 500 mn.

The lender also tapped our friends at First Abu Dhabi Bank, as well as Abu Dhabi Islamic Bank, Dubai Islamic Bank, and The Islamic Corporation For The Development of the Private Sector to act as joint lead managers and joint bookrunners for the transaction.

**CLARIFICATION- An old version of this article did not mention Emirates Islamic's sukuk were sustainability-linked. We've amended the story accordingly.

Energy ministry, Etihad WE launch EV fast charging network

EVS-

The Energy Ministry and Etihad Water and Electricity (Etihad WE) set up a joint venture to boost EV charging infrastructure in the UAE, according to a press release. The JV, dubbed UAEV, is the first state-owned EV charging network. It seeks to meet the heightened demand for EV infrastructure in the UAE, and boost EV adoption to edge the country in reducing greenhouse gas emissions.

What’s next? Further information about the JV’s plans will be announced by the end of 2024.

NBFS-

Dubai-based fintech DKK Partners partnered with the private office of Sheikh Saeed Bin Ahmed Al Maktoum Seed Group on forex risk management, liquidity solutions, and expedited collections, according to a press release.

Remember: DKK Partners secured preliminary approval from Dubai’s Virtual Assets Regulatory Authority in February to offer its blockchain technologies to crypto investors.

DEFENSE-

#1- Edge-Fincantieri JV established: Abu Dhabi’s Crown Prince has formalized the previously announced joint venture between defense conglomerate Edge Group and Italian shipbuilding giant Fincantieri to manufacture advanced naval vessels, with a commercial pipeline valued at EUR 30 bn, according to the Abu Dhabi Media Office. To christen the agreement, the UAE Coast Guard Forces made a EUR 400 mn order for 10 offshore patrol vessels.

Ownership breakdown: Edge will own 51% of the JV, while Fincantieri will own the remaining balance, alongside managing operations of the company.

#2- French defense tech company Atermes will open its regional headquarters in Dubai, Trade Arabia writes. Atermes will also participate in ISNR Abu Dhabi 2024 taking place between 21-23 May at Adnec.

TRANSPORT-

Archer + Etihad to train air taxi pilots: Electric flying car manufacturer Archer Aviation inked a partnership agreement with Etihad Training to recruit and train a fleet of pilots to operate electric vertical takeoff and landing (eVTOL) aircraft, according to a press release. Under the partnership, California-based Archer will provide an aircraft simulator to Etihad Training at its training center in Abu Dhabi, while Etihad will oversee the training of potential pilots and collaborate with the General Civil Aviation Authority and other local authorities to “establish an appropriate pilot training curriculum,” the press release reads.

REMEMBER- Air taxis are expected to take off in Abu Dhabi and Dubai as soon as next year. Abu Dhabi-headquartered aviation services provider Falcon Aviation inked an agreement with Archer to launch Falcon’s air taxi services between the two emirates by 2025. Meanwhile, Dubai's Road and Transport Authority inked an agreement in February with electric aircraft developer Joby Aviation to launch air taxi services in the UAE by early 2026, with initial operations as early as 2025.

STARTUPS-

Plain Tiger raises undisclosed seed funding from AngelSpark: Dubai-based B2B marketplace Plain Tiger has secured an undisclosed funding amount from VC AngelSpark as part of its USD 1.5 mn seed round, according to a press release. The e-commerce startup will use the proceeds to fund its expansion plan in Saudi Arabia and develop its marketplace technology, aiming to assist more hotels to lower their carbon footprint through sustainable product procurement.

About Plain Tiger: Founded in 2021, Plain Tiger enables hotels to transition to sustainable supply chains cost-effectively by connecting them with over 300 eco-friendly suppliers and providing access to verified suppliers and ESG data, helping hotels reduce their environmental impact.

WATER-

Sewa completes Al Hafiya lake water connection: Sharjah Electricity, Water, and Gas Authority (Sewa) has developed a water pumping station and extended 4 km of water lines for the Al Hafiya lake project in Kalba, with a total value of AED 27 mn, Wam reports. Sewa has also constructed an underground water tank at Al Hafiya with a capacity to hold 500k gallons of water.

TOURISM-

Umm Al Quwain’s tourism department inked an agreement with Millennium Hotels andResorts to improve tourism prospects in the emirate through the mutual exchange of expertise on tourism, hospitality and entertainment, Trade Arabia reports.

Top US official voices opposition to global wealth tax

The US stands opposed to a global wealth tax: US Treasury Secretary Janet Yellen has made it clear that the US will not be backing a unified global wealth tax during upcoming G7 ministerial discussions, she told the Wall Street Journal.

There’s a case to be made in favor of such a tax: Officials from Brazil, France, Spain, Germany, and South Africa have been mulling a proposal that would require bn’aires to part with at least 2% of their overall wealth annually, arguing that a global tax would prevent the super-wealthy from shifting their assets to overseas tax havens and help address the widening income inequality.

Yellen thinks otherwise: “We believe in progressive taxation. But the notion of some common global arrangement for taxing b’naires with proceeds redistributed in some way — we’re not supportive of a process to try to achieve that. That’s something we can’t sign on to,” Yellen said.

Where the US currently stands: While the US already taxes its citizens on the global income they earn — which hampers efforts to avoid taxation by moving assets abroad — the concept of an annual tax on an individual’s net worth remains off the table. Meanwhile, the Supreme Court is expected to soon address the constitutionality of wealth taxes — its decision could significantly impact future tax policy in the country.

AND- We’re nearing the end of an era at JPMorgan as Jamie Dimon, 68, “signaled retirement is closer than ever, striking a key change in messaging during the bank’s investor day. “The timetable isn’t five years anymore,” he said, per CNBC.

And for our fellow Finance Bros of a Certain Age™: Ivan Boesky has died at age 87. The American trader came to personify the excesses of arbitrage and insider trade in the 1980s, ultimately pleading guilty to conspiracy charges that signaled the unraveling of the “greed is good” era on Wall Street. Boesky became famous for paying massive sums for inside information that allowed him to structure trades. His case prompted the US securities regulator to properly define insider trading for the first time.

Fast fact: A commencement speech on the power of greed that Boesky delivered became the inspiration for the “greed is good” line attributed to the character Gordon Gecko in Oliver Stone’s Wall Street.

See obituaries in the Financial Times | New York Times | Wall Street Journal.

MARKETS THIS MORNING-

Wall Street cheered Microsoft’s new “AI” PC line, sending the tech-heavy Nasdaq to a record high yesterday, but Asian markets are nonplussed, with all but the Nikkei down in early trading this morning. European and US equities futures were down slightly overnight.

ADX	9,038	0.0% (YTD: -5.6%)
DFM	4,067	0.0% (YTD: -0.2%)
Nasdaq Dubai UAE20	3,511	+0.6% (YTD: -8.6%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	5.1% o/n	5.5% 1 yr
TASI	12,125	-0.6% (YTD: +1.3%)
EGX30	27,229	-0.3% (YTD: +9.4%)
S&P 500	5,308	+0.1% (YTD: +11.3%)
FTSE 100	8,424	+0.1% (YTD: +8.9%)
Euro Stoxx 50	5,074	+0.2% (YTD: +12.2%)
Brent crude	USD 83.71	0.0%
Natural gas (Nymex)	USD 2.74	+0.3%
Gold	USD 2,431	-0.3%
BTC	USD 69,123	+4.5% (YTD: +64.1%)

THE CLOSING BELL-

The ADX remained flat yesterday on turnover of AED 1 bn. The index is down 5.6% YTD.

In the green: Gulf Cement (+15%), Emirates Stallions Group (+8.9%) and Adnoc Logistics and Services (+3.8%).

In the red: Ooredoo (-9.3%), National Corporation for Tourism and Hotels (-5.2%) and Hayah Insurance Company (-4.2%).

Over on the DFM, the index also stayed flat, on turnover of AED 405.4 mn. Meanwhile Nasdaq Dubai closed up 0.6%.

CORPORATE ACTIONS-

Orascom Construction approved a dividend payout of USD 0.20 per share for 2023, which will be paid out in August 2024 according to a Nasdaq Dubai disclosure (pdf). The board will determine the record and payment dates in July 2024, with dividends paid in USD to Nasdaq Dubai shareholders and in EGP (based on the USD/EGP exchange rate announced by the Central Bank of Egypt) to Egyptian Exchange shareholders.

FM boosts ties with Chile, Brazil

Foreign Affairs Minister Sheikh Abdullah bin Zayed explored mutual cooperation with his Brazilian counterpart in a phone call on Sunday, according to an X post by the Foreign Minister’s office. The minister also expressed his condolences for flood victims in Brazil.

The minister also held a phone call with his Chilean counterpart, Alberto van Klaveren, to discuss boosting economic, trade, investment, and renewable energy cooperation, Wam reports.

AND-President Sheikh Mohammed bin Zayed Al Nahyan discussed further developmental, economic, and commercial cooperation with his Congolese counterpart, Félix Tshisekedi, during a phone call on Sunday, Wam reported separately.

OTHER DIPLOMACY NEWS-

UAE-sponsored aid convoy reaches Gaza from Cyprus: A shipment carrying 252 tonnes of food for Gaza reached the enclave earlier this week, after departing from Cyprus’ Larnaca port. (MoFA)
Energy and Infrastructure Minister Suhail Mohamed Al Mazrouei led the UAE delegation to the World Water Forum in Indonesia, where he delivered a statement highlighting the UAE’s efforts to achieve global and domestic water security. (Wam)

CALENDAR

MAY

20-22 May (Monday-Wednesday): Middle East Petroleum & Gas Conference, Dubai.

20-22 May (Monday-Wednesday): Electric Vehicle Innovation Summit, Abu Dhabi.

20-21 May (Monday-Tuesday): The Global Prompt Engineering Championship, Dubai.

21-23 May (Tuesday-Thursday):International Exhibition for National Security & Resilience, ADNEC Centre Abu Dhabi.

21-23 May (Tuesday-Thursday):CABSAT 2024, Dubai World Trade Center.

24-25 May (Friday-Saturday): Baby Expo, Dubai World Trade Centre.

27-28 May (Monday-Tuesday): The Middle East Investors Summit, Rosewood Hotel, Al Maryah Island, Abu Dhabi.

27-29 May (Monday-Wednesday): Arab Media Forum, Dubai.

28 May-4 June (Tuesday-Tuesday): Subscription period for retail investors for Alef Education’s IPO.

28 May-5 June (Tuesday-Wednesday): Subscription period for institutional investors for Alef Education’s IPO.

30 May (Thursday):Abu Dhabi Family Office Summit, Saadiyat Rotana Resort, Abu Dhabi.

JUNE

1 June (Saturday): Deadline for TiE Women MENA Programme 2024 applications.

2-4 June (Sunday-Tuesday): The World Air Transport Summit and International Air Transport Association (IATA)’s annual general meeting, Dubai.

4-6 June (Tuesday-Thursday): The Hotel Show, Dubai World Trade Centre.

4-6 June (Tuesday-Thursday): INDEX, Dubai World Trade Centre.

4-6 June (Tuesday-Thursday): WORKSPACE, Dubai World Trade Centre.

4-6 June (Tuesday-Thursday): Leisure Show, Dubai World Trade Centre.

5 June (Wednesday): Deadline for Sidara to resubmit or withdraw its takeover bid to John Wood Group.

10 June (Monday) Alpha Dhabi holds shareholder vote on the sale of a 49% stake in Alpha Dhabi Construction to ADQ.

12 June (Wednesday): Alef Education shares begin trading.

15 June (Saturday): Arafat day, national holiday.

16-18 June (Sunday-Tuesday): Eid Al-Adha, national holiday.

Signposted to happen sometime in 1H 2024:

Spinneys inaugurates its first store in KSA

JULY

7 July (Sunday): Islamic new year, national holiday.

AUGUST

21-22 August (Wednesday-Thursday): Dubai Business Forum in Beijing, China.

SEPTEMBER

9-11 September (Monday-Wednesday): World Utilities Congress, Abu Dhabi.

28-30 September (Saturday-Monday): World Association of Nuclear Operators (WANO) Biennial General Meeting, Abu Dhabi.

OCTOBER

30-1 November (Wednesday-Friday): World Cities Cultural Summit, Dubai.

NOVEMBER

11-14 November (Monday-Thursday): ADIPEC, Abu Dhabi.

11-14 November (Monday-Thursday): ADIPEC Maritime and Logistics Exhibition and Conference, Abu Dhabi.

11-14 November (Monday-Thursday): ADIPEC Decarbonisation Accelerator, Abu Dhabi.

27-28 November (Wednesday-Thursday): RAK Energy Summit, Al Hamra International Exhibition and Conference Centre, Ras Al Khaimah.

DECEMBER

2-3 December (Monday-Tuesday): National Day, public holiday.

5-8 December (Thursday-Sunday): Formula 1 Etihad Airways Abu Dhabi Grand Prix, Yas Marina Circuit.

9-10 December (Saturday-Sunday): The Bitcoin Mena Conference, Adnec Centre Abu Dhabi.

10-12 December (Tuesday-Thursday): Middle East Business Aviation, Dubai World Central.

Signposted to happen sometime before the end of the year:

Spinneys inaugurates three more stores in KSA

Signposted to happen in 2025:

6-11 April (Sunday-Friday): Geo-Spatial Week 2025, Dubai.
3-4 June (Tuesday-Wednesday): Make-A-Wish International’s Global Wish summit, Abu Dhabi.

Signposted to happen sometime in 2028:

Abu Dhabi to host the 47th Chess Olympiad

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