Spinneys shares jump on DFM debut

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WHAT WE’RE TRACKING TODAY

THIS MORNING: UAE eyes US support for chip manufacturing ambitions + DIFC mulls relaxed corporate vehicle regulations

Good morning, wonderful people, and happy FRIDAY. We hope you enjoy a calm weekend after a busy week of conferences — and ahead of yet another busy week, which will see the country host Seamless Middle East, the Airport Show, and the Acres real estate exhibition.

WEATHER- It’s going to be a windy couple of days, with the National Center of Meteorology forecasting heavy winds until Saturday afternoon. Temperatures are cooling down today to 33°C in Dubai and Abu Dhabi, with overnight lows ranging between 27-28°C. Tomorrow will see the mercury creep back up to 36°C in both emirates, with an overnight low of 27°C.

THE BIG STORY here at home is a toss-up between Spinneys’ successful debut on the DFM, which saw its share price rise up to 11% in intraday trading, and Sharjah National Oil Corporation’s move to snag a 30% stake in Eni’s Block 7 in Ras Al Khaimah, marking its first investment outside of Sharjah.

PUBLIC SERVICE ANNOUNCEMENT-

Shareholders can now find out if they are entitled to unclaimed dividends dating to before March 2015 with a new service from the Securities and Commodities Authority (SCA), the SCA said in a statement. The tool can be accessed via the SCA’s website.

Collecting your unclaimed dividends: Payment requests for unclaimed equity payouts should be submitted to SCA’s appointed paying agent First Abu Dhabi Bank, the authority said. The SCA had said back in February that it would also process claims for money held in dormant brokerage accounts dating back to March 2015.

WATCH THIS SPACE-

#1- Rules for DIFC “prescribed companies” could get an update: The Dubai International Financial Center (DIFC) could amend its regulations for “ prescribed companies ” registered with DIFC, according to a statement. Prescribed companies are private corporate vehicles that are exempt from some requirements, including auditing and filing accounts with the DIFC Registrar of Companies, and are eligible for perks including lower incorporation fees.

What could change: The proposed regulatory changes would see DIFC cancel conditions that currently limit registration, enabling companies without a local corporate service provider or Emirati members in its management or board to register and benefit from the regime. The review period for the proposed amendments is set to end on 1 June.

#2- UAE eyes US support for semiconductor chip manufacturing ambitions: The UAE is seeking support from the US to become a producer of advanced semiconductors, in a bid to position itself as a regional heavyweight in artificial intelligence, AI Minister Omar Al Olama told Bloomberg.

The country is going after developing new generation chips, as opposed to competing with cheaper models from countries with larger labor forces. “The only way this will work is if we’re able to build sustainable and long-term partnerships with countries like the United States where we are able to build cutting-edge chips,” Al Olama said.

Not the first time the UAE and the US eye chip manufacturing: OpenAI CEO Sam Altman touched down in the UAE last month to push for private sector support for a costly, large-scale semiconductor venture. Abu Dhabi sovereign wealth fund Mubadala has also backed one of the US’ leading semiconductor manufacturers, Global Foundries.

#3- Al Jaber arranges talks on COP29’s eve: COP28 President Sultan Al Jaber will host a round of climate talks with energy and tech industry leaders in Abu Dhabi ahead of COP29, he told the Financial Times. The so-called Change Makers Majlis will gather Big Oil and Silicon Valley execs to discuss how AI can make energy systems more efficient and aid in environmental conservation.

DATA POINT-

#1- The UAE was the third-largest market for FDI globally last year, with USD 23 bn in FDI inflows into some 1.3k projects, according to GlobalData figures picked up by the National. The biggest markets were the US and Germany. Projects spanned sectors including business and professional services, software and IT, and financial services. It was the second biggest FDI market in the region, after Israel.

The main reason behind robust inflows? Domino effect. “In FDI, there's a big domino effect, a couple of companies come in, they're seen as successful, other companies think ‘I'm going to come in and get a piece of the pie as well,’” Glenn Barklie, principal economist and head of FDI services at GlobalData, told the National.

Background: An Emirates NBD report had ranked the UAE second globally in the number of greenfield FDI projects in 2023 with 1,280 ventures, rising 36% y-o-y to USD 15.08 bn and trailing only behind the US. Kearney also said the UAE is the MENA region’s highest-ranked leading emerging market, securing second place as the top emerging economy as an FDI destination, after China.

HAPPENING TODAY-

Sharjah trade missions in India wraps: A trade delegation from the Sharjah Chamber of Commerce and Industry led by Chairman Abdullah Sultan Al Owais wraps its trade mission in India today, Wam reports. The mission aimed to strengthen economic ties and explore potential investments.

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

HAPPENING NEXT WEEK-

#1- 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).

#2- Dubai will host The Airport Show from Tuesday, 14 May through to Thursday, 16 May at the Dubai World Trade Center. The event brings together airport suppliers, airport service providers, aviation executives, and regional decision makers to explore current innovations and new technologies.

#3- Seamless Middle East will kick off next Tuesday, 14 May, at the Dubai World Trade Center, and run until Thursday, 16 May. The three-day event includes a conference welcoming over 500 speakers to cover the latest trends, market disruptors, and technologies in digital commerce, and a multi-brand exhibition hosting over 700 exhibitors in the digital commerce industry.

#4- 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.

#5- The Gulf Petrochemicals and Chemicals Association Supply ChainConference is scheduled for next Wednesday and Thursday, 15-16 May at the Address Sky View Hotel in Dubai. The conference will bring together industry players under the theme Harnessing Connectivity for a Sustainable Tomorrow, discussing supply chain connectivity and AI integration in the industry.

MARKET WATCH-

Goldman Sachs no longer thinks Opec+ will announce a partial unwind of voluntary production cuts in their next meeting, set to take place on 1 June in Vienna, the bank said in a note picked up by Reuters. The bank estimates only a 37% chance of a production increase, owing to inventories surprising to the upside. “We now expect Saudi crude supply to remain flat at 9 mn barrels per day in July (vs. 9.2 previously),” with Brent crude expected to range between USD 75-90 a barrel, and USD 82 in 2025.

THE BIG STORY ABROAD-

Front pages of the foreign press are still dominated by the war in Gaza — plus a lot of news on AI and Apple.

#1- Israeli Prime Minister Benjamin Netanyahu said Israel will continue to fight “even with our fingernails” following the US’ warnings that it will suspend shipments of arms amid Israel’s invasion of Rafah in Gaza. “If we have to stand alone, we will stand alone,” Netanyahu said in a video on X.

The US downplayed its warnings later yesterday, with spokesman John Kirby saying the shipments were only “paused” and that “the arguments that somehow we’re walking away from Israel flies in the face of the facts.”

Israel continued to attack Rafah late last night, after a senior Israeli official confirmed that ceasefire talks ended with no resolution. The story got attention everywhere, including Bloomberg, Reuters, CNN, AP, and BBC.

Over in the business press, Apple is making headlines for more than one reason, and a new US bill to restrict AI exports getting attention:

#1- The tech giant received backlash over its iPad ad(watch, runtime: 1:08), which depicts crushed musical instruments and other analog items crushed into the form of the iPad, for being culturally insensitive and disrespectful. A marketing exec at Apple apologized later, telling Ad Age that the company had “missed the mark” with the ad and that it would not run it on TV. (TechCrunch | CNBC | Financial Times | WSJ)

#2- Apple also plans to equip its AI servers with its own in-house chips as soon as this year, sources told Bloomberg. These servers will power AI features coming to Apple devices.

#3- SPEAKING OF AI- OpenAI is planning to unveil its AI-powered Google competitor on Monday, Reuters reports. The announcement would come a day before Google’s annual I/O conference, where it is set to announce its new AI products.

#4- AND- US lawmakers unveiled a bill yesterday designed to remove roadblocks to imposing controls on AI exports, as it continues its attempts to safeguard US tech from China, Reuters reported.

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.

Spinneys share jump on market debut

Spinneys’ shares rose up to 11% on its trading debut on the Dubai Financial Market (DFM) yesterday before settling up nearly 5% at AED 1.6. Shares opened at AED 1.7, up from the final set price of AED 1.53. The IPO had raised AED 1.38 bn after receiving more than AED 71 bn in orders, marking a successful, rare listing of a private family business in Dubai.

This marks the third successful IPO of the year in the UAE, following Parkin and Agility Global’s successful debuts. Parkin had raised some AED 1.57 bn as the first IPO of the year in the country, while Agility Global’s technical listing on the ADX saw its share price jump more than fourfold on its first day of trading.

Advisors: Our friends at HSBC Middle East are joint global coordinators alongside Emirates NBD Capital and Merrill Lynch. Our friends at EFG Hermes are joint bookrunners, while Rothschild Middle East is independent financial advisor. Emirates NBD Capital is also acting as listing advisor, while Emirates NBD Bank is lead receiving bank. Other receiving banks include our friends at FAB as well as MBank and Commercial Bank of Dubai.

The news got ink in the Financial Times and Bloomberg.

Snoc takes 30% stake in RAK Block 7

The Sharjah National Oil Corporation (Snoc) snapped up a 30% stake in Ras Al Khaimah’s Block 7 from Italian energy company Eni, marking its first investment outside Sharjah, it said on LinkedIn. The acquisition is part of a production sharing agreement between the two entities and Ras Al Khaimah’s National Oil Company (RAK Gas) to develop the oil and gas exploration site. The value of the transaction was not disclosed.

About the block: Block 7 covers some 430 sq km of land and has seen “notable” oil and gas exploration activity, including the ongoing drilling of an exploration well dubbed Fennec-01, according to details of the acquisition picked up by Gulf News.

Background: Eni was awarded Block 7 in the onshore of Ras Al Khaimah back in April 2021. The company acted as the operator of the block with a 90% participating interest, with RAK Gas as a partner with a 10% stake.

The new split: After the acquisition, Eni will hold 60% of the exploration rights to Block 7 alongside Snoc’s 30%, while RAK Gas clenches 10%, reports Gulf News. Eni also remains the operator of the site.

It’s not Snoc and Eni’s first tag team: Snoc and Eni inked a 30 year partnership in January 2019 to explore and develop onshore oil and gas fields across three areas onshore Sharjah, after the Italian firm won the emirate’s first ever competitive bidding process for oil and gas concessions. The two kicked off production start-up from the Mahani field (concession area B) in January 2021.

Renewables accounted for 30% of global electricity in 2023. Here’s how we’re faring

Rising power demand triggered rising emissions in the UAE in 2023: Fossil fuels contributed 83% of the UAE’s electricity in 2023, with per capita emissions five times higher than the global average, according to a new report (pdf) by think tank Ember. Nuclear power constituted the largest share of clean electricity at 13%, while wind and solar combined account for 4.5% — which is below the global average (13%).

The methodology: The report analyzes electricity data from 215 countries, including the latest 2023 data for 80 countries that represent 92% of global electricity demand. Regional countries included in the analysis include Saudi Arabia, Egypt, Iran, the UAE, Turkey, and Iraq, all of which were listed among the 25 largest absolute emitters of CO2.

REMEMBER- The UAE is targeting to triple the contribution of renewables to its energy mix to 32% by the end of the decade, according to its energy strategy.

Elsewhere in the region: Egypt relied on fossil fuels for 88% of its electricity last year, revealing a slower installation rate for renewables, especially for its vast untapped solar potential. Egypt is Africa's largest fossil gas generator, contributing 45% of the continent's gas generation in 2022. Nearly all of Saudi Arabia’s electricity generation comes from fossil fuels at 99.8%, with solar making up 0.2% of its power mix. Bahrain, Qatar and Kuwait are the world’s three highest per capita power sector emitters, and are all highly dependent on gas, according to Ember. Bahrain’s per capita gas generation reached 24.3k kWh per capita while Qatar’s stood at 20.2k kWh, representing nearly 100% of their electricity from gas.

ON THE GLOBAL FRONT-

Things are looking up globally: Solar and wind power drove renewable energy contributions to record high globally in 2023. Renewable energy generation — driven mainly by solar and wind power expansions — soared to an unprecedented 30% of global electricity mix.

The world is at a turning point: Fossil fuel generation is expected to fall by 2% worldwide this year as a result of a larger predicted renewables generation compared to fossil fuels. Renewable energy has already hindered fossil fuel growth by two-thirds in the last decade, and consequently, half of the world’s economies have passed the peak for fossil fuel electricity generation. Organization for Economic Co-operation and Development countries are ahead of the game as their power sector emissions peaked in 2007, falling 28% since then.

Solar power led the charge: Solar power has overtaken wind as the largest contributor of clean energy for the second year in a row, and has been the fastest growing electricity generation source for 19 consecutive years. Between 2022 to 2023, solar additions shot up by 76%.

And it’s expected to grow even further in 2024: Lower costs, government support, advanced technology, and increased manufacturing capabilities have allowed for significant growth in the solar industry. Global solar generation rose only 23% last year, but 2024 is expected to further reflect the boom in capacity.

Hydropower plans fell through: Hydropower generation reached a five-year low due to drought conditions. Clean capacity added in 2023 could have reduced fossil generation by 1.1% under normal circumstances, but instead the hydropower shortage led to increased coal generation. Increasing global power sector emissions by 1%. The majority of this increase in coal generation occurred in four drought-affected countries — China, India, Vietnam, and Mexico.

Global challenges remain: While government targets and industry forecasts indicate continued acceleration in renewable energy growth, slower growth in nuclear and hydro power and the need for improved energy efficiency and grid infrastructure have hindered progress. Despite these issues, the dominance of wind and solar power points to the end of the fossil fuel era, the report concludes.

Keep the earnings coming…

PARKIN-

Parkin reports solid post-IPO earnings: Car parking space manager Parkin reported a 5% y-o-y increase in its bottom line to AED 103.7 mn in 1Q 2024, according to its earnings release (pdf). Parkin’s revenues grew 8% y-o-y, reaching AED 215 mn during the quarter, buoyed by growth in its public parking revenue and seasonal card and permit issuances. The company also attributed higher developer demand as a secondary growth driver.

The heavy rainfall could dampen Parkin’s 2Q earnings: The recent DFM entrant estimates it has foregone some AED 4 mn in revenues due to last month’s “unprecedented weather,” which affected the broader transport network. The foregone revenues will impact its 2Q earnings.

REFRESHER- Dubai’s public parking operator listed on the DFM in March, marking the bourse’s first public offering in 2024 and raising some AED 1.57 bn.

Looking ahead: Parkin plans to construct more multi-storey parking facilities — accounting for 2% of revenues — to provide motorists with alternative routes during unstable weather conditions,” Parkin CEO Mohamed Al Ali and Parkin CFO Khattab Omar Abu Qaoud told Khaleej Times yesterday. Collaborations with Dubai’s Roads and Transport Authority (RTA) and private developers, and the Dubai Electricity and Water Authority to set up more EV charging stations across the emirate, are also in the firm’s expansion plans, in addition to value-added services such as providing parking with a car wash.

“We are studying more options to expand our platform,” Al Ali said. “For sure, there will be recruitment plans to adapt with our needs and fulfill manpower requirements,” Al Ali added, hinting that the firm plans to onboard more staff.

DUBAI ELECTRICITY AND WATER AUTHORITY-

Dewa’s bottom line fell 14% in 1Q: Dubai Electricity and Water Authority posted a 14% y-o-y decline in net income to AED 650.8 mn in 1Q 2024, according to the authority’s financial statements (pdf).

Dewa’s revenue climbed 6.5% y-o-y, increasing to AED 5.8 bn during the quarter. The authority attributed the solid revenues to a growth in electricity, water and cooling services demand, Dewa said in its earnings release (pdf).

What they said: “The high demand growth of 6.4% in electricity and 5.9% in water have contributed to exceptional operating results in this quarter… reflected in 11.6% increase in operating income of the group,” Dewa CEO Saeed Mohammed Al Tayer said.

ADNOC DISTRIBUTION-

Abu Dhabi National Oil Company (Adnoc) subsidiary Adnoc Distribution’s net income dipped 2.6% y-o-y to AED 527.6 mn in 1Q 2024, according to its financial statements (pdf). The distribution unit’s income was dented by the introduction of corporate tax during the quarter. Excluding the tax effects, the company reported a net income of AED 607 mn, up 13% y-o-y. according to its earnings release (pdf). Revenue climbed 9.4% y-o-y to AED 8.7 bn during the quarter.

Expansion in the pipeline: “We are well positioned to achieve our operational objectives for 2028, aiming to expand the Adnoc Distribution network to 1k stations, increase the number of fast and super-fast EV charging points to at least 500, grow our non-fuel transactions by 50%, and increase the number of convenience stores by 25%,” Adnoc Distribution CEO Bader Saeed Al Lamki said.

AI deployment will help Adnoc mitigate sales loss: AI integration is a crucial part of the company's strategy and is producing measurable outcomes, Al Lamki added. The company's Fuel Demand AI Model uses predictive analytics to enhance fuel delivery efficiency throughout its network and is estimated to help avoid potential lost sales of more than USD 27 mn over five years.

DRAKE & SCULL-

Dubai-based contractor Drake & Scull narrowed its net losses to AED 46 mn in 1Q 2024, compared to AED 119 mn in net losses in the same quarter last year, it said in its earnings release (pdf). The losses came as a result of the company’s restructuring plans, which involved a net financing cost of AED 39 mn during the quarter, the company said, adding that the costs will be reversed once restructuring is complete, as per a settlement plan approved by the Dubai court. The contractor saw revenues increase 55% y-o-y to AED 31 mn in revenues, according to its financials (pdf).

Background: The Dubai Financial Market greenlit the relisting of Drake and Scull after the firm committed to a restructuring plan involving a capital increase in March. The contractor is now working on raising some AED 600 mn, with the subscription period ending today, in a bid to bring its total issued capital to around AED 3.4 bn and cover debts, payouts, government fees, and potential acquisitions. The DFM approved its restructuring plan — which will write off 90% of its debt — back in November 2023. The construction company was suspended from trading in November 2018 on the back of excessive financial losses and reporting violations.

What they said: “We have full trust in all our existing shareholders to subscribe in the new capital raise and the new funds will be utilized in improving the efficiency and effectiveness of the working capital necessary to win new profitable projects in UAE and overseas countries in the future,” CFO Fadi Baraki said.

ETIHAD AIRWAYS-

Etihad publishes 1Q financials as it gears up for IPO: Etihad Airways saw its income after tax rise 791% y-o-y to a record AED 526 mn in 1Q 2024, according to the carrier’s earnings release. Etihad booked AED 5.7 bn in revenues for the quarter, up 21% y-o-y, driven by 41% increase in passenger numbers.

What they said: “We are pleased to report a strong start to the financial year 2024, with our first quarter earnings equivalent to our total net income for the entire financial year 2023 as we continue our margin expansion journey. We have maintained our resilience and our focus on customer service and growth while continuing to improve our commitment to efficiency,” Etihad CEO Antonoaldo Neves said.

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 last week.

RAK PROPERTIES-

Rak Properties posts lower income, higher revenues in 1Q 2024: Ras Al Khaimah (RAK) Properties net income fell 7% y-o-y to AED 41.45 mn in 1Q 2024, according to the developer’s earnings report (pdf). RAK Properties booked AED 289 mn in revenues, increasing 12% y-o-y during the quarter, driven by strong sales across the developer’s property segments.

FUJAIRAH BUILDING INDUSTRIES-

ADX-listed Fujairah Building Industries (FBI)’s net income rose 50.2% y-o-y to AED 6.3 mn during 1Q 2024, according to the construction company’s financial statements (pdf). The increase came as revenues increased 12.1% y-o-y to AED 51.0 mn during the quarter.

ABU DHABI NATIONAL INS. COMPANY-

Abu Dhabi National Ins. Company (Adnic)’s bottom line remained relatively flat in 1Q 2024, inching up 1.3% y-o-y to AED 100.9 mn, according to the company’s consolidated financial statements (pdf). Total ins. revenue stood at AED 1.56 bn during the quarter, up 55.1% y-o-y.

AJMAN BANK-

Ajman Bank’s bottom line more than doubled to a record AED 107.4 mn, up 118% y-o-y in 1Q 2024, according to its financial statements (pdf). The growth was driven by a 7% y-o-y increase in its net operating income to AED 400 mn, as well as the bank’s focus on “customer base, enhancing the credit quality, risk management and focus on recoveries,” the lender said in its earnings release (pdf).

GENERAL HOLDING CORPORATION-

Abu Dhabi’s General Holding Corporation’s — more commonly known as Senaat — bottom line inched down 3.6% y-o-y to AED 1.06 bn in 2023, according to the company’s financial statements (pdf). The industrial holding company’s revenues remained relatively flat at AED 13.47 bn, down a marginal 0.4% y-o-y from the previous year.

AL MAZAYA HOLDING-

DFM-listed Kuwaiti firm Al Mazaya Holding’s net income jumped nearly seven-fold to KWD 1.5 mn (AED 17.4 mn) during 1Q 2024, according to its financials (pdf). The company turned in KWD 3.7 mn (AED 44.3 mn) in revenues for the quarter, down 6.1% from the previous year.

REFRESHER- The firm completed its merger with its partially-owned real estate subsidiary First Dubai in March, resulting in an 8% increase in capital for Al Mazaya to KWD 52.6 mn (AED 628.2 mn), distributed over some 525.6 mn shares. Al Mazaya issued and allocated 40.8 mn new shares – priced at 100 fils per share – to shareholders in First Dubai as part of the merger.

Dewa bags smart project of the year 2024 award

The Dubai Electricity and Water Authority (Dewa) bagged the smart water project of the year in 2024 award at the Global Water Awards, according to a Dubai Media Office statement. The award is for Dewa’s fully automated smart water meter system — dubbed the Hydro Insight system — which monitors over 1 mn smart meters using AI and data science technologies. The system has effectively reduced meter anomaly detection time to 1 hour from 30 days, saving the emirate some 214 mn gallons of water.

Leaders at 54 UAE-based companies were named among Forbes’ The Middle East’s Top 100 Travel & Tourism Leaders 2024. Those among the top 10:

Ahmed bin Saeed Al Maktoum, CEO of Emirates Airline & Group (1)
Helal Saeed Almarri, director general of the Dubai Department of Economy and Tourism (3)
Saleh Mohamed Al Geziry, director general for tourism at the Abu Dhabi Department of Culture and Tourism (5)
Hesham Al Qassim, CEO of Wasl (7)
Humaid Matar Al Dhaheri, CEO of Adnec Group (8)
Mohamed Abdalla Al Zaabi, CEO of Miral (10)

DP World picked up two sustainability awards at the 2024 SEAL Business Sustainability Awards, according to a Dubai Media Office statement. The first award — the Environmental Initiative Award — is for the logistics company’s reuse of waste material for energy in its Santos, Brazil division, with DP World Santos achieving the feat of reusing 100% of waste generated at the port. The second award — SEAL Sustainable Innovation Award — is for DP World’s joint venture with SMS group — Boxbay — an automated high-bay storage container system that uses solar power and power regeneration during container lowering. The system reduced yard space by 60% and cut out unproductive reshuffling moves.

Dubai DutyFree taps managing directors in place of CEO

Dubai DutyFree appointed its COO Ramesh Cidambi (LinkedIn) as managing director, while the company’s joint COO Salah Tahlak (LinkedIn) was appointed as deputy managing director, effective 1 June, according to a company statement. The duo replaces executive vice chairman and CEO of the company Colm McLoughlin (LinkedIn), who is stepping down after 41 years at Dubai Duty Free, and 55 years in the travel retail industry. McLoughlin will still maintain an advisory role at the company, and serve as chairman of the Dubai Duty Free Foundation.

Ajman Bank has elected Sheikh Ammar Bin Humaid AlNuaimi as chairman of its board, and Sheikh Rashed Bin Humaid AlNuaimi as vice chairman, according to a DFM disclosure (pdf).

DP World welcomed first large green methanol-enabled vessel at Jebel Ali

LOGISTICS-

First green methanol-enabled vessel lands at Jebel Ali: DP World welcomed Ane Maersk — Maersk’s first large green methanol-enabled vessel — at its flagship Jebel Ali port on Wednesday, according to a statement. Ane Maersk is the first of 18 large vessels, each with a capacity of some 16k twenty-foot equivalent units, fitted with dual-fuel engines that can be powered by methanol, biodiesel, and conventional bunker fuel. The move comes in a bid to curb emissions as part of the carrier’s drive to achieve net zero GHG emissions by 2040.

BANKING-

Adib joins Buna: Abu Dhabi Islamic Bank (Adib) joined UAE-based cross-border payment system Buna, enabling its customers to send and receive payments in different Arab and international currencies, according to a press release. The collaboration aims to “maximize operational efficiency for the bank, in compliance with the highest international standards… [and] provide seamless cross-border payments that support the growth of trade and remittances in the Arab world,” Buna’s strategy and development chief Faisal Al Hijawi said.

LAW-

DPP + e& to enhance judicial procedures: The Dubai Public Prosecution (DPP) inked a partnership agreement with e& Enterprise to develop a digital platform aimed at streamlining remote investigation processes and judicial procedures in the emirate, according to a statement from Dubai Media Office. The unified platform will be managed by DPP and will connect Dubai Courts, Dubai Police, and the General Directorate of Residency and Foreigners Affairs to facilitate communication between the entities.

Slated for completion by 2026, the platform will feature “centralized storage, archiving capabilities, and the capacity to schedule remote interviews and reserve spaces in multiple locations including police stations, prisons, courts, and DPP investigation rooms.”

AVIATION-

Emirates teams up with Expedia, Huawei & Tap Payments: Emirates inked three partnership agreements with each of tech solutions providers Huawei and Tap Payments, as well as travel group Expedia, according to a press release.

#1- The airline expanded its partnership with Expedia to promote select destinations across Emirates’ network on Expedia’s platform. The two firms agreed to launch joint advertising campaigns to increase user engagement for the national carrier on Expedia’s websites.

#2- Emirates also signed an MoU with Tap Payments to allow Tap’s rewards program members to convert and transfer their points from the Tap Payments Rewards program to Emirates Business Rewards.

#3- Under their expanded partnership, Huawei will advertise Emirates’ services in China through tailored promotional campaigns aimed at increasing user engagement with Emirates.

Emirates also renewed its partnership with the Mauritius Tourism Promotion Authority and inked an MoU with the Uganda Tourism Board on the sidelines of the Arabian Travel Market, aiming to ramp up inbound tourism to both countries, Wam reports.

GREENENERGY-

Amea Power breaks ground on solar plant in Tunisia: Dubai-based Amea Power began construction of a TND 300 mn (AED 351.5 mn) solar power plant in Tunisia’s Kairouan on Wednesday, according to Tunisian news agency Tap. The plant will have a production capacity of 100 MW and will save TND 300 mn (AED 351.1 mn) in energy costs, Secretary of State to the Industry, Mines, and Energy Minister, Wael Chouchane, said. The Ministry had launched the tender back in 2019.

TRANSPORT-

Abu Dhabi-based Multi Level Group has carried out the first test flights for passenger-carrying drones in the Middle East during the Abu Dhabi Mobility Week, Abu Dhabi’s media office said in a statement. The company conducted the two flight trials, showcasing two eVTOLs: the first, a five-seater with a 25 km travel capacity, and the second, a small-sized drone with a 35 km travel capacity.

INVESTMENT-

Sovereign wealth fund Mubadala and the Emirates Council for Rural Development inked a AED 73.5 mn agreement aimed at funding the council’s projects and programs, Wam reports. The agreement comes as one of several the council has inked to help fund its Emirates Villages project, which aims to improve aesthetic appearance of villages, implement sustainable development projects, boost tourism, and support small and medium enterprises in villages across the country.

FINTECH-

FinMaze launches DIFC techhub: Abu Dhabi-based AI asset manager FinMaze has set up FinMaze Technologies, its new technology hub in Dubai International Financial Centre (DIFC), to offer tailored asset management services for investors using its AI model, the wealth manager said in a press release. The move comes as part of its business plan to shift to a B2B and B2B2C model, providing customers with a “more personalized approach,” FinMaze CEO Mehddi Fichtali said.

Bank of England hints at upcoming rate cut

Bank of England governor Andrew Bailey said he is “optimistic” that inflation is moving in the right direction as it held interest rates 5.25% yesterday. “Big global shocks” that drove inflation in the UK are fading, the governor said, adding that inflation is expected to fall close to target levels soon, Reuters reports.

Still, a rate cut soon is not a “fait accompli,” he said, saying the bank needs more evidence that inflation is falling before making the move.

Analysts now expect August or September to be the likely date for its next rate cut.

Over in Spain, Spanish bank Banco Sabadell was the subject of a rare hostile takeover in the European banking sector by domestic rival BBVA, sending shockwaves across European markets, CNBC reports.

The hostile takeover is the first in Spain since the 1980s, and comes as more European banks look at consolidating amid financial distress.

BBVA had earlier submitted a EUR 12 bn takeover bid to Sabadell’s board that the board rejected, claiming it “significantly undervalues” the bank’s growth prospects. The board stood its ground yesterday.

THE MARKETS THIS MORNING-

Asian markets are in the green this morning on the back of strong consumer data in Japan and renewed hopes of a US Federal Reserve rate cut. Japan led gains, with the Nikkei up 1.52%, while South Korea’s Kospi was up 1% and the Australian S&P/ASX 200 rose 0.33%. US futures point to a strong open as markets extended gains coming on the back of cooling Treasury yields and hopes for a rate cut.

ADX	9,119	-0.6% (YTD: -4.8%)
DFM	4,179	-0.3% (YTD: +3.0%)
Nasdaq Dubai UAE20	3,577	-0.7% (YTD: -6.9%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	5.0% o/n	5.4% 1 yr
TASI	12,284	-1.4% (YTD: +2.7%)
EGX30	26,003	+0.1% (YTD: +4.5%)
S&P 500	5,214	+0.5% (YTD: +9.3%)
FTSE 100	8,381	+0.3% (YTD: +8.4%)
Euro Stoxx 50	5,054	+0.3% (YTD: +11.8%)
Brent crude	USD 83.88	+0.4%
Natural gas (Nymex)	USD 2.31	+0.5%
Gold	USD 2,354.10	+0.6%
BTC	USD 62,950.75	+3.4% (YTD: +42.5%)

THE CLOSING BELL-

The DFM fell 0.3% yesterday on turnover of AED 611.7 mn. The index is up 3.0% YTD.

In the green: Dubai Refreshment Company (+10.8%), Spinneys (+4.6%) and Al Salam Bank (+2.1%).

In the red: Orascom Construction (-8.4%), Takaful Emarat (-3.7%) and Union Coop (-1.6%).

Over on the ADX, the index closed down 0.6% on turnover of AED 949.8 mn. Meanwhile Nasdaq Dubai fell 0.7%.

Turkish foreign minister lands in Abu Dhabi to talk boosting UAE-Turkey ties

President Sheikh Mohamed bin Zayed Al Nahyan met with Turkish Foreign Affairs Minister Hakan Fidan in Abu Dhabi yesterday, to discuss boosting cooperation across various sectors and the developments in Gaza, Wam reports.

Fidan also sat down with Foreign Affairs Minister Sheikh Abdullah bin Zayed Al Nahyan, Wam reported separately.

OTHER DIPLOMACY NEWS-

The UAE sent USD 15 mn in aid for flood victims in Kenya, after heavy rainfall resulted in deaths, displacement, and infrastructure damage in northern areas of Nairobi. (Wam)
Foreign Affairs State Minister Sheikh Shakhboot bin Nahyan Al Nahyan met with the executive secretary of the United Nations Economic Commission for Africa Claver Gatete to discuss boosting cooperation on infrastructure development in Africa. (Statement)

My Morning Routine: Rami Younes, general manager and head of sales at Swisslog Middle East

Rami Younes, general manager and head of sales at Swisslog Middle East: 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 Rami Younes (LinkedIn), general manager and head of sales at Swisslog Middle East. Edited excerpts from our conversation:

I'm Rami Younes, and I am the general manager of Swisslog Middle East. This is my second stint in the region since 2013. Prior to that, I was in the States with assignments with multinationals in multiple locations, supporting in Mexico and in China.

The region is dynamic, and it’s moving faster than other places. Every time I go back to the States, I realize why I made the move.

My key responsibilities are supporting the team and making sure we have happy customers and happy employees. That’s our mantra, and we make sure that they have the tools they need to do the best job they can. At the same time, as head of sales, I’m looking at driving the growth of the company in the region, and positioning ourselves well to represent the brand the way it needs to be represented.

Swisslog has been around for over 120 years. We're part of Kuka, and we are a robotics and innovative automation company. Our focus is making sure we’re a people-focused company. The intent is to partner with people to deliver the right solutions. We’re not product sellers; we want to make sure the customer is happy and they get what they want.

In the world of automation, whether that's facility automation or in warehouses, we're trying to help customers resolve their issues, whether that's capacity or throughput constraints. In some cases, these are harsh and sensitive environments, and we want to minimize the number of people in those types of locations. So, Swisslog is able to offer solutions that can automate the process to achieve better performance in the facility and drive value for the customer.

Let’s say we have an ecommerce or an e-grocery. To get the number of orders out using the least amount of effort is how they can be competitive in this market, and that's what we help them with. We're not fixing a labor cost reduction issue. Labor is cheap here; it's available, it's plentiful. What we're trying to address is how do we get a facility’s performance to match the delivery schedules they have. What we offer is a bulletproof solution where they don't sleep, take breaks, or make mistakes. People get tired, and they make mistakes. And customers now expect two-hour deliveries. It’s very hard to do that with just people.

In this industry, there's no one size fits all. A lot of people look at one product and say, that's the solution of all solutions. Absolutely not. Different customers need different things. Some of our customers are startups, and they need light practical solutions. Some are the biggest multinationals in the world and they need powerhouses to run their operations. So, we don't like to start the conversation with a product discussion. We start by asking what the customer is trying to do, and what they need in order to position themselves for the next 10-15 years.

I start my morning at 4:30am. I have my own time that’s just for me between 5:30am and 7am, and I train every day doing different things. I dragon boat competitively. It’s a paddling sport with 20 people on a boat, and next year I think we’ll be representing the UAE in Germany. I push myself every day to get better at that, and it is very humbling.

The key thing for me is that during that time in the morning, nobody wants anything from me. There's no emails, conference calls. I can spend time on myself. Then, I have my breakfast, catch up on my emails, read, and plan my day.

On the way to the office, I usually try to stop by and see a customer, maybe over a coffee. There’s a lot of value in having these informal meetings, where you don't want something from someone. You just meet them, make sure you're listening to them and that you understand what they're going through. It gives us insight into what's happening in the market and allows us to help them. If I'm in town, I go to the office, and that's punctuated either with meetings with our friends in Europe, because I report to the organization, or customer meetings. That continues to around six or seven o'clock at night.

One constant in my day is training. Whether I go to the gym or I go on a bike ride or I get on the water, I’m going to be doing something for me every day, unless I'm physically ill or not feeling it. I need to do something active in the morning to destress. It also pushes you to get better. It's humbling too, and it resets your mentality every day.

The motto that we live by at our organization from the top down is don't forget about the people. We can't have burnout. We can't have people get too stressed to do their job. It's very easy to lose sight of the people when you have targets and challenges, and you have customers that need things right away. So the most important thing is to always remind ourselves of that.

CALENDAR

MAY

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.

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

12-16 May (Sunday-Thursday): European Film Festival, Cultural Foundation, Abu Dhabi.

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.

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

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.

Signposted to happen sometime in 2028:

Abu Dhabi to host the 47th Chess Olympiad

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