Aldar Properties taps banks for second green sukuk

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WHAT WE’RE TRACKING TODAY

THIS MORNING: The UAE is eyeing 5% GDP growth this year + Abu Dhabi’s AIM to invest USD 1 bn in South Korean startups?

Good morning, wonderful people. We have a busy issue for you this morning, all thanks to the deluge of conferences happening in Dubai.

THE BIG STORIES here at home include Aldar Properties making headway on its second green sukuk and a fresh investment from Mubadala in Australia’s largest urea plant.

PUBLIC SERVICE ANNOUNCEMENTS-

WEATHER- The hot weather will peak today before temperatures cool a little on Friday amid gusts of wind that could potentially cause dust and sandstorms. The mercury will rise to 40°C in Dubai, with an overnight low of 29°C, while Abu Dhabi will see temperatures hit 42°C.

Emiratis can now access all government services and apply for documents through the new Family Data service, replacing the Family Book service starting 13 May, according to a statement. The service will be accessible on the Federal Authority for Identity, Citizenship, Customs and Ports Security (ICA) website.

WATCH THIS SPACE-

#1- The UAE is eyeing 5% GDP growth this year: Economy Minister Abdulla bin Touq Al Marri anticipates non-oil GDP to grow at a 4.9% clip in 2024, with the overall economy expected to expand by approximately 5%, Zawya quoted him as saying at the Dubai Fintech Summit. “We see growth away from traditional economies such as real estate and tourism to new types of tourism, such as sustainable tourism, [and] healthtech,” he said, adding that the government is also looking at making the UAE the “capital of AI.”

REMEMBER- The economy ministry previously said it sees the economy growing at a 3.9% clip this year, matching the World Bank’s forecast. The IMF adjusted its 2024 growth forecast down to 3.5% in its latest World Economic Update report, down from the previous estimate of 4.0%. On the more optimistic side, Oxford Economics projects a growth rate of 4.4%.

#2- Abu Dhabi to shell out USD 1 bn for South Korean startups: Abu Dhabi-based investment organization AIM Global Foundation will reportedly earmark USD 1 bn to set up a joint venture with Seoul-based VC LB Investment, aimed at supporting South Korean startups, the Korea Economic Daily reports, citing sources in the know. The investment is said to come under the USD 30 bn ticket the government pledged to invest in the East Asian country last year.

#3- Property service charges and ins. premiums are expected to surge following the government’s directive for developers to repair residences without charge after last month’s unprecedented rainfall, director and head of research and consultancy at Cushman & Wakefield Core, Prathyusha Gurrapu, told Khaleej Times. Community managers and developers’ approach to addressing the aftermath of the rainfall is also likely to impact clients’ “overall decision-making in addition to location and pricing for buyers and tenants when looking at locations to buy or rent,” Gurrapu predicts.

#4- Emirates wants Boeing to “keep its promise” to deliver the 777X aircraft, Emirates Chairman and CEO Sheikh Ahmed bin Saeed Al Maktoum told Bloomberg (watch, runtime: 2:41), expressing Emirates’ dissatisfaction with the delays, which have forced the airline to upgrade and continue flying older airplanes beyond their expected lifespan. Boeing is expected to deliver the 400-seat jet by mid-next year, following a four-year delay due to certification issues.

DATA POINTS-

#1- First Abu Dhabi Bank subsidiary Magnati expects the fintech sector to grow 12% in the UAE between 2024 and 2027, Mubasher reports. The payments sector is also anticipated to see a steady annual revenue growth of 15% over the next four years.

#2- Dubai ranked 21st wealthiest city in the world with the emirate being home to 72.5k resident m’naires, 212 centi-m’naires, and 15 b’naires, according to Henley & Partners’ latest ranking.

Abu Dhabi is on course to become “world's next big m’naire hotspot” with a total of 22.7k high-net-worth individuals living in the capital, according to Henley & Partners.

HAPPENING THIS WEEK-

An IMF delegation is in town for economic talks with UAE stakeholders until 16 May,Wam reports. Undersecretary of the Finance Ministry Younis Haji Al Khoori met with an IMF delegation at the ministry's Abu Dhabi headquarters yesterday to discuss the UAE's economic and financial situation, including financial developments, policy progress, public debt, tax, and green finance.

HAPPENING TODAY-

#1- Sharjah + Dubai trade missions in Asia: A trade delegation from the Sharjah Chamber of Commerce and Industry led by Chairman Abdullah Sultan Al Owais landed in India earlier this week and will be there until Friday, 10 May, Wam reports. The mission will be looking to strengthen economic ties and explore potential investments.

A Dubai International Chamber trade mission is also making the rounds in Indonesia and Vietnam to help local companies grow in these markets, Wam reports.

#2- The Arab Tourism Media Awards is on its penultimate day at the Dubai International Convention and Exhibition Centre, state news agency Wam reports. The Arab Union of Tourist Media will present awards to 34 Arab personalities, tourism institutions, and cities that have contributed to the tourism industry in the Arab region.

#3- TheAnnual Investment Meeting (AIM) Congress is on its second day and will run until tomorrow at the Abu Dhabi National Exhibition Center. Gathering senior government officials and industry experts, the summit will focus on exploring means of strengthening the economy under the theme Resilient, Sustainable Economic Growth – Creating a Healthy and Prospective Investment through FDI and FPI.

#5- The two-day Innovative Finance Expo kicks off today at the Jumeirah Emirates Towers in Dubai. The event will bring together fintech and blockchain companies and experts to serve as a knowledge exchange platform, showcasing the latest developments in the financial sector, including DeFi crypto, foreign exchanges, payment, and finance technologies.

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THE BIG STORY ABROAD-

It’s a busy morning on the front pages of the world’s business press. Truce talks between Hamas and Israel continue even as Israeli forces took over control of the Rafah crossing into Egypt, a key port of entry for humanitarian aid.

The Wall Street Journal is leading with Stormy Daniels’ “salacious details of her allegedtryst” with former US President Donald Trump, but gives more prominence to a deep look at The Line, Saudi Arabia’s ambitious Neom gigaproject, where it claims “construction costs per square foot are more than double what is standard on other Middle East towers.”

MEANWHILE- The US will no longer allow Intel and Qualcomm to sell chips to Huawei, the Dow has now posted its longest streak in the green since December, and Semafor reports on the pipeline that’s now driving Wall Street financial firms to load up on former military brass.

FOR OUR FELLOW TECH NERDS- Apple finally moved the iPad’s FaceTime camera to the long edge as it launched a redesign of the iconic gadget that also leapfrogged the M3 generation of processors straight to M4. The Verge notes that the tablet is super-thin and that the Pro’s new keyboard case aims to make it feel “just like a MacBook.”

AND- Google launched yesterday its Pixel 8A phone, a midrange device that packs most of the power of the Pixel 8 and 8 Pro into a package that will now include seven years of software updates.

FINALLY- OpenAI is getting into the AI search game, developing a product to rival Google, Bing, and Perplexity, Bloomberg reports. The ChatGPT maker is also reportedly poaching Google staff for the project, per the Verge.

OUR NEXT CONFERENCE IN CAIRO-

Foreign investors are falling in love with Egypt again… Foreign investors we speak with (debt, equity, and strategic alike) have growing appetite for Egypt. They’re buying into local debt, eyeing promising shares, and committing bns of USD to both new ventures here and the growth of their existing businesses. They like the Egypt story that’s taking shape after the float of the EGP, and its competitive advantages are clear to many of them: It’s a massive consumer opportunity and a regional export hub of tomorrow.

The Enterprise Optimism Forum 2024 will do exactly what it says on the tin: Spark conversations about a future that sees Saudi Arabia, Egypt, and the the UAE at the heart of a more vital Middle East economy — and provide an early, actionable roadmap for those who are “long Egypt.”

We’ll be talking with you about the agenda over the coming couple of weeks. It features speakers from Egypt and abroad who are future-proofing their businesses and angling to capture tomorrow’s opportunities — and who aren’t afraid to answer some tough questions.

*** Interested in attending? Tap or click here to let us know. Seating is limited.

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CIRCLE YOUR CALENDAR-

The Abu Dhabi Global Healthcare Week is set to take place between 13-15 May at the Abu Dhabi National Exhibition Centre. Hosted by Abu Dhabi’s Department of Health, the event will bring together around 5k attendees, 100 exhibitors, and 1k delegates specialized in healthcare. Featured topics include AI, biotech, and genomics. You can find the event brochure here (pdf).

The Acres Real Estate Exhibition is set to take place between 16-19 May at the Dubai World Trade Center. The event will gather leading property developers, investors, brokers, and experts, to showcase the latest projects and technologies in the real estate industry.

The Middle East Petroleum and Gas Conference is set to take place from 20-22 May in Dubai, hosted by the Emirates National Oil Company and under the organization of S&P Global Commodity Insights. The theme of the conference is “Evolving Core Energy Markets within a Sustainable Landscape.”

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.

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

Aldar Properties taps banks for 10-year green sukuk

Abu Dhabi real estate developer Aldar Properties is moving forward with its second 10-year USD 500 mn green sukuk issuance, appointing banks to advise on the transaction, Reuters reports, citing a document seen by its staff. Banks began holding investor meetings yesterday, paving the way for the issuance of the benchmark-sized sukuk under its USD 2 bn trust certificates programme.

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

The proceeds will go towards financing, refinancing and investing in green projects, the newswire said, without disclosing specifics.

The Abu-Dhabi based developer also issued a tender purchase offer for its outstanding trust certificates worth USD 500 mn, which are set to mature in September 2025, according to the report.

Background: Aldar Properties CFO Faisal Falaknaz mentioned plans for a second USD 500 mn green sukuk issuance about two months ago, and following last year's debut. The sukuk will be issued under Aldar's green framework to expand green financing across its facilities.

Advisors: Our friends at HSBC, alongside Standard Chartered Bank, are global coordinators for the issuance. Our friends at Mashreq and First Abu Dhabi Bank, alongside Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Dubai Islamic Bank, Emirates NBD Capital, and Morgan Stanely were selected as the joint lead managers and bookrunners for the issuance.

Mubadala + GIP invest in Australian urea plant

Mubadala invests in Australian fertilizer plant currently under development: Abu Dhabi’s Mubadala Investment Company is investing an undisclosed amount in Australian chemicals and fertilizer company Perdaman’s AUD 6 bn (USD 4.2 bn) urea fertilizer project in West Australia, which is currently under construction, according to a statement. The investment was made alongside US-based infrastructure investment fund Global Infrastructure Partners (GIP), which was already an investor in the project.

A boon for food security: The project, which marks the largest investment ever made in the Australian fertilizer industry, will help increase the supply of high-quality fertilizers in response to growing demand, increase independence from imports, and bolster food security for over 90 mn people, the statement noted.

More on the plant: The company aims to produce 2.3 mn tons of urea annually at a site near Karratha in Australia’s northwest, around half of which is destined for export to Asia, Brazil and the US. It will incorporate solar energy and green hydrogen to replace coal-based urea imports, as well as ensure optimized energy efficiency and low emissions.

Background: GIP had committed to invest over AUD 2.1 bn (c. USD 1.4 bn) in the project through a strategic equity investment made last year.

Airline expansions, tourism forecasts, and eVTOL updates from day two of ATM

The second day of the Arabian Travel Market brought a deluge of news from airlines, transport authorities and companies, and government-to-government cooperation. The government also unveiled targets and forecasts for the tourism sector for the year.

TOURISM TARGETS + OUTLOOK IN 2024-

Tourism is set to contribute 12% to the UAE’s GDP in 2024, up from 11.7% in 2023 and amounting to AED 236 bn, Economy Minister Abdulla bin Touq AlMarri said at the 2024 Arabian Travel Market, according to state news agency Wam. “Our tourism sector has been a dynamic force within our economy, contributing an impressive 11.7% to GDP [in 2023], amounting to AED 220 bn,” the minister noted.

(Tap or click the headline above to read this story with all of the links to our background as well as external sources.)

Dubai International Airport could see more than 90 mn passengers pass through this year, exceeding the 87 mn mark achieved last year, Dubai Airports Chairman Ahmed bin Saeed al Maktoum said, according to Wam.

DWC RELOCATION-

Flydubai will begin a phased transition to the Al Maktoum International Airport — also known as Dubai World Central — two years from now, CEO Ghaith Al Ghaith told Khaleej Times. Operations will be split between the two airports until Dubai International Airport is closed down completely, he explained.

Meanwhile, national carrier Emirates will shift its operations to the airport “in one go” by 2034, Emirates CEO and Chairman Ahmed bin Saeed Al Maktoum told Khaleej Times, emphasizing that the carrier will not split its operations throughout the transition period.

ICYMI- The design plan for the USD 35 bn new passenger terminal at the airport earned the green light last month, with plans to transfer all operations from Dubai International Airport to DWC within ten years’ time.

AIRLINE EXPANSIONS-

#1- Emirates expands refurbishment program to 191 aircraft: Emirates is expanding its multi-bn aircraft retrofit program, with plans to refurbish 43 A380s and 28 Boeing 777s, bringing the total to 191 aircraft, Emirates President Tim Clark said, according to a Dubai Media Office statement. The project initially included refurbishing 120 aircraft, including 67 A380s and 53 777s. To date, Emirates has refurbished 22 A380 aircraft, with the initial Boeing 777 set for an interior update starting in July.

The carrier also expanded its interline partnership with Saudi carrier flynas, connecting Emirates’ gateways in the Kingdom to destinations in the Far East, West Asia and Indian Ocean, and Europe through Dubai, Wam reports. It also inked agreements to boost tourism with Seychelles, Sri Lanka, and Hong Kong, Wam reported separately.

#2- Etihad eyes fleet expansion: Etihad Airways is considering purchasing a small number of aircraft from Airbus and Boeing over the next five years if delivery slots become available, in a bid to up its fleet to 150 aircraft from around 80 today, Etihad CEO Antonoaldo Neves told Reuters. The airline aims to add 10-15 new aircraft annually to meet its target, Neves added. Etihad is currently talking with lessors and plane makers to snag additional jets to supplement existing orders.

Background:Etihad parent company ADQ is eyeing potentially going after both a traditional IPO and direct listing on the ADX at the end of the year, with the offering expected to raise as much as USD 1 bn. The airline tapped Abu Dhabi Commercial Bank, Bank of America, BNP Paribas, and Morgan Stanley as joint bookrunners as advisors earlier this week.

Etihad Airways will expand its flight network to eight new destinations, including Jaipur, Bali, Al Qassim, Antalya, Nice, and the Greek islands of Mykonos and Santorini over the next two months, according to a statement.

eVTOLS-

#1- Flying taxis to take off in Ras Al Khaimah in two years: Ras Al Khaimah Transport Authority and Ras Al Khaimah Tourism Development Authority inked an MoU with vertiport developer Skyports to design, develop and operate a network of vertiports and electric vertical take-off and landing air taxis across the emirate, according to a press release. The air taxi network is slated to be operational by 2027.

REMEMBER- Plans are underway to launch flying taxis in Dubai and Abu Dhabi as soon as next year. 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. Meanwhile, Abu Dhabi-headquartered aviation services provider Falcon Aviation inked an agreement with California-based electric flying car manufacturer Archer Aviation to launch Falcon’s air taxi services between the two emirates by 2025.

#2- Chinese electric air mobility company EHang has concluded the first demo flight for its pilotless eVTOL aircraft series EH216 in Abu Dhabi, according to a statement. EHang’s demonstration flight of the EH216-S — a one passenger aircraft — marked the first passenger-carrying demo flight in the UAE and Middle East. The EH216 series also includes two non-passenger aircrafts — the EH216-F for high-rise firefighting and the EH216-L for aerial logistics and cargo-carrying.

This has been in the works: EHang partnered with Wings Logistics Hub — the eVTOL-focused subsidiary of UAE investor Ethmar International Holding — moving into Abu Dhabi’s Smart and Autonomous Vehicle Industries (SAVI) Cluster to roll out its autonomous eVTOL aircraft in the UAE last December. Wing Logistics planned to purchase up to 100 units from Ehang with variants for aerial logistics, transport, and firefighting with deliveries set for 1Q 2024.

G2G COOPERATION-

#1- Dubai’s Roads and Transport Authority (RTA) inked an agreement with the Seoul Metropolitan Government to boost cooperation on public transport, Wam reported. This includes cooperation on autonomous driving, sustainable transport, bus rapid transit services, and mobility as a service, mainly through technology transfer.

The two sides will also cooperate on taxi operation, electronic booking, big data analytics, network planning and design, engaging the private sector in transportation projects, and the development of collection and payment methods.

#2- Al Marri met with Italian Tourism Minister Daniela Santanchè to boost investments in hospitality, aviation, and ease of travel for Emirati and Italian businesses, Wam reported. Al Marri also sat down with World Travel and Tourism Council President Julia Simpson to discuss exchanging expertise and on tourism trends.

Crypto options desk QCP receives in-principle approval to operate in Abu Dhabi

Crypto market maker QCP to set up shop in Abu Dhabi: Abu Dhabi Global Market (ADGM) regulator, the Financial Services Regulatory Authority (FSRA), has granted Singapore-based crypto trading firm QCP Capital in-principle approval to commence operations in Abu Dhabi, according to a {press release}.

What they said: QCP chose ADGM as its expansion destination as the FSRA is “the first regulator globally to introduce and implement a comprehensive and bespoke regulatory framework for the regulation of exchanges, custodians, brokers, and other intermediaries engaged in virtual asset activities,” the statement reads.

Abu Dhabi’s regs are finding favor with digital firms: “Abu Dhabi has got very progressive regulators in that they are thinking about the digital assets as a complete ecosystem with all of traditional finance,” QCP CEO Melvin Deng told Bloomberg.

Abu Dhabi’s geographical location was also a factor in the decision: “The Middle East is actually quite a good confluence for capital flows from Europe, to the Middle East region, as well as Asia, so it’s got similar properties to what we have in Singapore, and we want to leverage on their capabilities to establish another marketplace,” Deng said.

OTHER CRYPTO NEWS-

Austrian unicorn and digital assets trader Bitpanda is expanding into the UAE, with operations expected to kick off within three months, according to Wam.

What they said: “The UAE is the ideal place for us to make our entry to the Middle Eastern market. It has the perfect mix of investor demand and innovative regulatory environment that will allow us to deliver the best trading solution available on the market,” co-founder and CEO Eric Demuth said.

SecureMyScholarship raises USD 550k from bridge round

Dubai-based edtech platform SecureMyScholarship has secured USD 550k in a bridge funding round, raising the company’s valuation to USD 6 mn, according to a press release. The funding round saw participation from Dubai-based venture capital firm Sabban Corp Investments, Boston Consulting Group Middle East’s managing director Kaustubh Wagle, and General Manager of the Devialet and Dyson brands at Chalhoub Group, Ramit Harisinghani.

Where’s the money going? SecureMyScholarship plans to use the fresh funds to expand its operations into India and to upgrade its platform.

About SecureMyScholarship: Launched in 2021, SecureMyScholarship goal is to improve education accessibility and affordability for students. The platform lists scholarship opportunities at 414 universities, including most private universities in the UAE, over 220 in the USA, and over 150 in the UK. The platform facilitates the application process for students by allowing them to apply directly through its website.

Adnoc Gas, Americana, Burjeel, and Presight report 1Q 2024 earnings

Adnoc Gas-

Adnoc Gas’ net income fell nearly 7% y-o-y to USD 1.19 bn in 1Q 2024, according to the company’s earnings release (pdf). The company’s revenues rose 15% y-o-y to USD 6.01 bn during the quarter on higher production volumes. Total sales volumes also increased 15% y-o-y to 891 tn British thermal units (tbtu) in 1Q 2024, with gas production volumes increasing 12% y-o-y to 575 tbtu and LNG production rising 17% y-o-y to 72 tbtu.

Looking ahead: The company plans to invest some USD 2-2.5 bn in 2024, marking a “substantial increase” from investments in 2023. Sales volumes are also expected to be between 3395 and 3520 tbtu during the year, with improvements in domestic gas products driven by “market demand uplift, contractual escalations, and renewals of base rates for some customers.”

REMEMBER- Adnoc Gas plans to invest USD 13 bn over the next five years in both domestic and international markets to expand processing capacity and boost sales volumes by 20%. The company also plans to acquire the Ruwais LNG plant to help double its liquefied natural gas production capacity by 2028, as well as grow its global presence through new acquisitions in Europe, India, China, and Southeast Asia, Chairman Sultan Al Jaber previously said.

Americana-

Americana Restaurants’ income takes a hit amid regional tensions: F&B giant Americana Restaurants’ net income fell 51.8% y-o-y to USD 28 mn during 1Q 2024, affected by reduced sales due to geopolitical issues, Ramadan, and increased depreciation and rent expenses from opening new stores, the company said in its earnings release (pdf).

The KFC and Pizza Hut operator’s revenue fell 16.3% y-o-y to USD 493.5 mn during the quarter due to lower like-for-like sales.

Some respite: Americana saw benefits from reduced inventory and marketing costs, along with the addition of about 37 new stores, expanding its portfolio to 2.5k restaurants, with 37 more currently being constructed.

REMEMBER- Bloomberg reported earlier this year that the company has slashed nearly 100 jobs (most of them in Dubai) as it both restructures and faces the impact of a consumer boycott of its brands that came after the start of Israel’s war in Gaza.

Americana plans to open up around 200-225 new stores in 2024 in “markets which are less impacted by the current regional macro-environment.” The restaurant operator aims to ramp up revenue recovery efforts, emphasizing smart pricing, targeting, and promotions and marketing strategies to improve its margins in 2024.

Burjeel Holdings-

Burjeel Holdings posts 14% bottom line decline: Healthcare services provider Burjeel Holdings saw its net income fall 14% y-o-y to AED 104 mn during 1Q 2024, according to its earnings release (pdf). Excluding the impact of one-offs and taxes, net income improved 16% y-o-y to AED 141 mn.

The healthcare firm’s revenues grew 11% y-o-y to AED 1.21 bn during the three-month period, driven by an increase in patient footfall and yield before Ramadan.

Looking ahead: The company reiterated its guidance to deliver mid-teens revenue growth in 2024 and improve its Ebitda margin. The company will also “continue to evaluate various Capex-light opportunities in the Gulf, where we anticipate introducing new value-based products in KSA and additional advanced healthcare service lines in the UAE,” CEO John Sunil said.

Presight-

Data analytics firm Presight reported a 32.5% y-o-y increase in its net income after tax to AED 95.9 mn during 1Q 2024, according to its earnings release (pdf). The company turned in AED 262.1 mn in revenues for the quarter, up 15.9% y-o-y from the previous year. The firm attributed the growth to “an increasing proportion of multi-year contracts.”

Abdalla ElEbiary named managing director at Alvarez & Marsal, based out of Dubai + Hayah Ins. taps new chairman and vice

Professional services firm Alvarez & Marsal has welcomed our friend Abdalla ElEbiary (Bio) as managing director for sovereign advisory, the firm said yesterday in a statement. He will be based in Dubai. ElEbiary, who has 30-years of experience working with sovereign wealth funds, private equity, investment banking, and corporate finance, will support the firm’s sovereign advisory services that it provides to governments, state-owned companies, sovereign wealth funds, central banks, and multilateral development banks.

ElEbiary was the first chief investment officer of the Sovereign Fund of Egypt, where he helped close more than 23 investments in sectors including infrastructure, banking, education, healthcare, and real estate, and helped lead sales of state-owned enterprises that collectively brought in USD 5 bn. He is also past chair of the Egyptian Private Equity and Venture Capital Association and was managing director at Qalaa Holdings, where he served for 14 years.

Alvarez & Marsal noted ElEbiary’s proven experience advising on a range of issues including “investment, the restructuring and IPO of state-owned enterprises, promotion of FDI, and interfacing with DFIs (such as the IMF, IFC, and EBRD) as well as international equity and sovereign debt investors.”

The firm recently opened a sovereign wealth fund advisory unit in Dubai, ElEbirary told Asharq Business in an interview (watch, runtime: 6:38). The firm will focus on established sovereign funds seeking to diversify their assets, funds aiming to optimize operations and returns, central banks, international and regional development banks, as well as advising countries on establishing funds for enhanced returns.

The new unit comes on the heels of A&M opening up its regional HQ in Riyadh about a week ago.

Hayah Ins. appointed Salama Salah as chairman of its board of directors, it said in an ADX disclosure (pdf). Marwan Ibrahim Nasser Abdullah was tapped as vice chairman.

Damac, Rotana make int’l expansion push. PLUS: Lots of news from the Dubai Fintech Summit,

REAL ESTATE-

Damac expands in Asia Pacific: Real estate developer Damac Properties opened new offices in Beijing and Singapore, in a bid to cater to high-value individuals in the Asia Pacific region, it said in a statement. The company opened a sales office in Shanghai, China last December. It has set up a “significant” number of agent partnerships to meet demand within the new markets, the company said.

HOSPITALITY-

#1-Rotana expands its geographical footprint: Abu Dhabi-based real estate developer Rotana announced the launch of three new properties in Saudi Arabia, Qatar, and Turkey on the sidelines of the Arabian Travel Market, it said in a statement. The company also revealed plans to add 30 properties to its portfolio by 2026, focusing on new markets globally.

The breakdown: Rotana will debut two properties in the UK — as part of a wider agreement to develop up to 1.5k keys across greater London — and a five-star property in Georgia that is slated for handover in 2026. The developer plans to double its key count in Saudi Arabia over the next four years with the launch of nine new properties, and launch in Bahrain with one new property. Rotana is also expanding into Africa, with plans to debut in the Algerian market in 3Q 2024 and launch three new properties across Egypt.

The UAE is also in the developer’s expansion plans, with Rotana’s Bloom Arjaan on track to offer 217 hotel apartments on Abu Dhabi’s Saadiyat Island this year. Mangrove Rotana is also slated for handover in Ras Al Khaimah, offering 240 keys.

#2- Abu Dhabi launches carbon calculator: Abu Dhabi’s Department of Culture and Tourism launched its carbon calculator on the sidelines of the Arabian Travel Market on Monday, reports Wam. The tool allows hotels to track and quantify carbon emissions and energy and water consumption, with the aim of decarbonizing the tourism industry. Abu Dhabi-based hotels are mandated to use the calculator for monthly reporting. It can be accessed here.

BANKING-

#1- Emirates NBD taps new council member for Digital Asset Lab: Emirates NBD has appointed American blockchain data platform Chainalysis as a key council member of its Digital Asset Lab, which launched in May 2023 to foster digital asset and financial services innovation in the UAE, according to the Dubai Media Office. The council includes PwC, Fireblocks, and R3.

#2- Fitch maintained Bank of Sharjah’s long-term issuer default rating at BBB+ and upgraded the lender’s viability rating to b- from ccc+ previously, according to a Fitch Ratings report. The upgrade reflects reduced risks from its exposure to Lebanon and improved financial health for the lender, according to the credit rating agency. However, areas such as asset quality and profitability still require attention for further improvement.

FINTECH-

#1-Beltone + Comera partner up on consumer finance: Beltone Holding and Abu Dhabi-based tech company Comera Financial Holding have inked a strategic partnership to work together to launch payment, consumer finance, SME finance, and supply chain finance solutions in Egypt and other countries in the MENA region, according to a statement (pdf) by Beltone.

#2- Finance Minister discusses collaboration with industry players at DFS: Finance Minister Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum potential collaboration efforts with global fintech leaders, including Seoul's Mayor Oh Se-hoon and Revolut's CEO Nikolay Storonsky, during the Dubai Fintech Summit, according to Dubai’s Media Office statement. Talks with Mayor Oh Se-hoon focused on potential investments in urban infrastructure development, technology innovation, wealth management, and financial technology. Storonsky expressed interest in expanding in Dubai, citing its infrastructure and investor-friendly policies as key factors.

PRINTING-

E7 inked an MoU with German Diletta Maschinentechnik to print “high-security travel and identity documents” for Diletta’s clients, the printing firm said in a press release (pdf).

AGRICULTURE-

Abu Dhabi rolls out new regs for small farms: The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) issued a decision regulating plant production and agricultural produce quality on small farms in the emirate, according to a statement. The new rules target “improving the quality of local agricultural products and increasing the competitiveness of local agricultural products on the market” to ramp up the returns on investment in the agriculture sector.

The new rules require small farms to obtain permits for operating packing houses as well as adhere to using approved materials for food processing. They also cover conditions pertaining to hygiene, trade names, documenting agricultural operations and the establishment of a traceability system for plant product identification.

INFRASTRUCTURE-

Sharjah to develop Al Badayer area: Sharjah Executive Council (SEC) greenlit the proposal for implementing a development and organization project in Al Badayer area, Sharjah24 reports. The project will include the establishment of tourist, service, and recreational facilities geared towards “stimulating the economic environment in Al Badayer area.”

HEALTHCARE-

Burjeel Holdings inaugurated its new comprehensive laboratory, OncoHelix-CoLab, developed in cooperation with Canada-based OncoHelix, the healthcare services provider said in a press release. The new laboratory will offer advanced molecular, cellular, and transplant diagnostics, along with services such as cancer genomic profiling and specialized immunology testing.

Aramco reports lower net income in 1Q 2024

Saudi state oil giant Aramco’s net income fell 14.4% y-o-y to SAR 102.3 bn (USD 27.3 bn) in 1Q 2024, it said in an earnings release (pdf) yesterday. The company’s revenues during the quarter dipped 3.7% y-o-y to SAR 402.0 bn (USD 107.2 bn), which it attributed to lower crude oil sales and falling refining and chemicals margins. The lower income was, however, “partially offset by lower production royalties and an increase in crude oil prices,” the company said.

Dividends are staying the same: The oil giant will pay out SAR 76.1 bn (USD 20.3 bn) in base dividends on its 1Q 2024 earnings, as well as SAR 40.5 bn (USD 10.8 bn) as a performance-linked dividend, which will be paid out in 2Q 2024, it said in a disclosure to Tadawul. The company said it expects to pay SAR 466.2 bn (USD 124.3 bn) in dividends in 2024, including SAR 161.7 bn (USD 43.1) bn that will be performance-linked.

ALSO FROM KSA-

Saudi’s tilt fully toward Silicon Valley looks nearly complete as Bloomberg reports this morning that Alat, the PIF’s advanced technologies platform, would divest from China if it were asked to do so by the United States. The UAE’s G42 has already offloaded all its stakes in Chinese businesses in a bid to reportedly appease US partners, including a USD 100 mn stake in TikTok parent company ByteDance.

“So far the requests have been to keep manufacturing and supply chains completely separate, but if the partnerships with China would become a problem for the US, we will divest,” the business information service quotes Amit Midha, CEO of the USD 100 bn platform, as saying.

Two partnerships with US companies are now in the pipeline, Midha said, and could be announced by the end of the year. “The US is the number one partner for us and the number one market for AI, chips and semiconductor industry,” he said.

AND- The Biden administration has told Intel and Qualcomm to stop selling chips to Huawei that the Chinese company needs for its phones and laptops, the Financial Times reports. in an exclusive.

IN CONTEXT- The US has been on a years-long drive to contain China’s emergence as a significant technology rival. Officials in DC are asking Riyadh to agree to limit the use of some Chinese technologies as part of a pact on AI and advanced tech that the two sides hope to sign. They’re simultaneously negotiating agreements on defense and nuclear power as part of a wider process that Washington hopes will see us normalize relations with Israel.

It’s going to be a delicate balancing act: Riyadh and Beijing have been on a drive to build deeper ties. China is a critical crude oil market for Aramco, which is looking to invest more in Chinese refining capacity and petchems. The first China-based ETF of Saudi shares started trading late last year, Tadawul will host tomorrow the Hong Kong edition of its flagship capital markets conference. Gigaprojects are in play, too: Neom was on the road in China a few weeks ago and it’s courting Chinese bankers to help finance work there.

THE MARKETS THIS MORNING-

Asian markets are mixed this morning as investors sift through earnings reports, CNBC reports, while US stock futures are largely unchanged after the Dow yesterday hit its longest stint in the green since December. European equities futures were also little changed in overnight trading.

ADX	9,072	+0.4% (YTD: -5.3%)
DFM	4,156	0.0% (YTD: +2.4%)
Nasdaq Dubai UAE20	3,549	+0.3% (YTD: -7.6%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	5.2% o/n	5.5% 1 yr
TASI	12,358	-0.1% (YTD: +3.3%)
EGX30	26,430	+1.2% (YTD: +6.2%)
S&P 500	5,188	+0.1% (YTD: +8.8%)
FTSE 100	8,314	+1.2% (YTD: +9.1%)
Euro Stoxx 50	5,016	+1.2% (YTD: +10.9%)
Brent crude	USD 83.04	-0.4%
Natural gas (Nymex)	USD 2.21	+0.6%
Gold	USD 2,324.20	-0.3%
BTC	USD 63,141.70	-0.3% (YTD: -49.3%)

THE CLOSING BELL-

The DFM stayed flat yesterday on turnover of AED 262.9 mn. The index is up 2.4% YTD.

In the green: Dubai Islamic Ins. and Reins. (+3.5%), Tabreed (+3.4%) and Ithmaar Holding (+3.2%).

In the red: Al Salam Sudan (-8.4%), ENBD REIT (-2.3%) and Salik Company (-1.4%).

Over on the ADX, the index rose 0.4% on turnover of AED 1 bn, while Nasdaq Dubai closed up 0.3%.

US approves USD 144 mn missile upgrade kits sale to UAE

The US State Department has approved the sale of a USD 144 mn anti-radiation missile control section modification upgrade kits as well as other related equipment, it said in a statement yesterday. The contractor will be Texas-based RTX Corporation, the statement said.

The equipment will help the UAE “bolster air-to-surface defensive capabilities, deter regional threats, and protect vital international commercial trading routes and critical infrastructure,” the statement said.

CALENDAR

MAY

21 April-7 May (Sunday- Tuesday): The ICC Women's T20 World Cup Global Qualifier 2024.

5-10 May (Sunday-Friday): Sharjah Chamber of Commerce and Industry sends trade delegation to India

5-10 May (Sunday-Friday): Dubai International Chamber sends trade mission to Indonesia and Vietnam

6-9 May (Monday-Thursday): The Arabian Travel Market, Dubai World Trade Centre, Dubai.

6-9 May (Monday-Thursday): The Arab Tourism Media Awards, Dubai International Convention and Exhibition Centre.

7-9 May (Tuesday-Thursday): AIM Congress 2024, Abu Dhabi.

8-9 May (Wednesday-Thursday): Innovative Finance Expo, Jumeirah Emirates Towers.

8-12 May (Wednesday-Sunday): Schmetterling Annual Conference, Al Ain and Abu Dhabi.

9 May (Thursday): Spinneys shares begin trading.

13-15 May (Monday-Wednesday): The Abu Dhabi Global Healthcare Week, Abu Dhabi.

14-15 May (Tuesday-Wednesday): Seamless Middle East, Dubai World Trade Centre.

14-16 May (Tuesday-Thursday): The Airport Show, Dubai World Trade Centre.

16-19 May (Thursday-Sunday): Acres Real Estate Exhibition, Dubai World Trade Centre.

15 May (Wednesday): HFM Summit, DIFC.

15 May (Wednesday): UAE and Indian officials are set to meet for the first time on the India-Middle East-Europe Economic Corridor.

18-26 May (Saturday-Sunday): Abu Dhabi Comedy Week, Abu Dhabi.

19 May (Sunday): InvestopiaEurope, Milan.

19 May (Sunday): RTA’s Deadline for bids to design and build Dubai Metro's Blue Line.

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

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

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

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

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

JUNE

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.

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 sometime in 2028:

Abu Dhabi to host the 47th Chess Olympiad

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