The oil is still flowing

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WHAT WE’RE TRACKING TODAY

THIS MORNING: DIB tests appetite for Gulf debt + Middle Eastern airlines could be staring down a collective loss for this year

Good morning, friends. We lead today’s issue with good news on the oil front, as Adnoc seems to be keeping the crude flowing despite the Strait of Hormuz blockade and premium pricing.

Plus: Dubai Islamic Bank is testing investor appetite with a planned AT1 sukuk sale, and the UAE’s regulated gaming market is taking another step forward with Play971 opening sports wagering ahead of the FIFA World Cup.

WEATHER- It’s a slightly cooler day in Dubai today, with a high of 38°C and a low of 29°C, while Abu Dhabi will see a high of 40°C and a low of 30°C.

Dubai Islamic Bank tests appetite for Gulf debt

Dubai Islamic Bank mandated a USD-denominated perpetual non-call six-year AT1 sukuk, with a virtual roadshow now underway, Zawya reports. The issuance will be the latest read on investor appetite two months into the ceasefire, after a conflict-driven repricing hit debt markets earlier this year. The benchmark Mudaraba sukuk — benchmark meaning it will be at least USD 500 mn — is expected to list on Euronext Dublin and Nasdaq Dubai.

The recent backdrop has been improving — but is not yet fully back to normal. FAB's USD 700 mn five-year senior unsecured sukuk in early May was the first international Islamic bond from the GCC since the regional escalation, and it still managed to attract more than USD 1.5 bn in orders, allowing pricing to tighten to 85 bps over US Treasuries from 115 bps area guidance. But that level was still 25 bps wider than FAB’s January print — a sign that the war premium had narrowed rather than disappeared. On the AT1 front, Emirates NBD issued AT1 notes earlier in April, which saw pricing tighten to 6.25% from 6.75% on strong demand.

ADVISORS- Arqaam Capital, ASB Capital, DIB, Emirates NBD Capital, FAB, HSBC, KFH Capital, Mizuho, Sharjah Islamic Bank, Standard Chartered, and Warba Bank are joint lead managers and bookrunners.

Gulf airlines losing altitude?

Middle Eastern airlines are expected to swing to a collective USD 4.3 bn loss in 2026 — making the region’s airline market the only one expected to slip into the red this year, according to the IATA.

The downturn reflects pressure across the entire operating chain — airspace closures, flight cancellations, longer routings, weaker connecting traffic, and sharply higher fuel costs. IATA expects regional passenger demand to decline 11.4%, while capacity is projected to contract 4.4%.

Gulf carriers depend heavily on east-west transfer flows through Dubai, Doha, and Abu Dhabi, which makes lost connectivity more expensive than a normal demand dip.

IN CONTEXT- Gulf carriers’ reliance on east-west transfer traffic means disruptions to connectivity can have an outsized impact on earnings. While that has created a near-term opening for rivals including IAG, Lufthansa, Air France-KLM, and Cathay Pacific on long-haul routes linking Asia and Africa, Bloomberg reports industry executives as saying that the shift in demand is likely to prove temporary as Emirates, Qatar Airways, and Etihad restore capacity and passengers return to their usual transit options.

Already, Emirati airlines are preparing for more growth. Etihad is placing a double-digit order for more widebody aircraft and expects to be flying about 8% more than it was a year ago by mid-June, while Emirates — which is heavily hedged on fuel — had three-quarters of its flights operating at pre-conflict capacity as of May.

More developers jump on Dubai’s first-time housing initiative

Dubai is adding more homes to its first-time buyer pipeline. Nine developers joined the emirate’s First-Time Home Buyer Program, expanding the range of properties available to eligible residents, according to a press release. The latest additions — Arada, 4Direction Developments, Manam, Dubai World Trade Center, IRTH Group, Qube Development, Reportage Properties, and Sky View Real Estate — bring the total number of participating developers to 22.

So far, over 3.2k residents have bought homes via the initiative through around AED 5.1 bn worth of transactions. The emirate launched the program last July, offering access to new projects as well as financing support to first-time buyers. Emaar and Majid Al Futtaim were among the first developers to join, and five UAE banks, including our friends at Mashreq, provided the mortgage support.

Beyond Wegovy

We could be in for more from Danish drugmaker Novo Nordisk. The firm signed an MoU with the Emirates Drug Establishment covering pharma manufacturing, supply-chain resilience, talent development, and research collaboration, according to a statement. The agreement also aims to accelerate access to innovative therapies, though no specific products, investments, or manufacturing commitments were disclosed.

ICYMI- Novo Nordisk recently chose the UAE as the first market outside the US to launch the pill version of Wegovy, its blockbuster GLP-1 weight-loss drug. The pharma sector is one of the industries the UAE is pushing to localize, with LifePharma recently partnering with AD Ports on an AED 700 mn manufacturing platform in Kezad.

Data point

USD 17.4 bn — that’s the combined 1Q net income haul reported by Abu Dhabi- and Dubai-listed companies, according to a Kamco Invest report (pdf). Abu Dhabi-listed firms saw their earnings jump 16.1% y-o-y to USD 10.6 bn, while Dubai-listed companies posted a 12.3% increase to USD 6.8 bn.

Banks remained the earnings engine, generating USD 3.4 bn in Abu Dhabi and USD 3.2 bn in Dubai. Real estate earnings also saw a big boost in Dubai, where sector earnings jumped 38.3% y-o-y to USD 2.3 bn on strong results from Emaar.

Energy earnings fell against the backdrop of the regional war, dropping 8.4% y-o-y in Abu Dhabi after disruptions hit Adnoc Gas. Kamco said the conflict weighed on activity across most GCC markets and slowed revenue growth.

PSA

Parents and teachers are getting a seat at the table in Dubai’s education system. Starting from the 2026/27 academic year, the emirate’s Knowledge and Human Development Authority (KHDA) will launch two new councils representing parents and educators, giving both groups a formal role in shaping policies and initiatives across the emirate’s private education sector, Dubai Eye reports.

Interest in the new councils is already taking shape, with the KHDA receiving 152 applications for the Dubai Parents Council and 160 applications for the Dubai Educators Council so far. Each council will have 15 seats, with membership lasting for one year.

Happening today

Sheikha Latifa bint Mohammed bin Rashid Al Maktoum is heading to Sweden today with a high-level UAE delegation for meetings with senior government officials, business leaders, and representatives of major international institutions, according to a statement. The visit is aimed at deepening UAE-Swedish cooperation, expanding cultural and creative economy ties, and exploring new potential partnerships centered around sustainable development.

You’ve spent decades building wealth, and the question now isn’t how to make money — it’s how to make sure it survives you, works across borders, and doesn’t quietly erode while you’re not looking. The rules have changed. Egyptian real estate, once a near-guaranteed store of value, is competing with markets in Greece, Spain, and Dubai.

Whether it’s art as an asset, crowd-funding, or the tax implications quietly stacking up behind that second passport, the toolkit for serious capital deployment has expanded faster than most conventional advice — or most advisors — have.

In Issue 3 of EnterpriseAM Money Matters, we cover the decisions that matter most when you’re at the stage where capital preservation is just as important as capital growth — and where getting it wrong is no longer something you can simply recover from.

Tap or click here to subscribe to the Egypt edition, delivered to your inbox on Wednesday,10 June.

The big story abroad

Regional tensions have eased after Iran and Israel said attacks will stop for now, but both countries warned that they are ready to launch retaliatory attacks if provoked. Israeli Prime Minister Benjamin Netanyahu said that Tel Aviv’s operations against Iranian-backed Hezbollah will continue.

SpaceX’s upcoming IPO continues to make headlines, becoming heavily oversubscribed as institutional investors place USD 10 bn worth of orders. The IPO is set to price on 11 June and start trading the following session.

Another anticipated IPO is making waves: OpenAI has confidentially filed for an IPO with the Securities and Exchange Commission. The company is yet to decide on a timetable for the listing, but unnamed sources have said the company could go public as soon as this fall.

Introducing Siri AI: Apple has unveiled a new phase for its voice assistant Siri, overhauling the program with AI, steering it closer to chatbots like OpenAI’s ChatGPT or Anthropic’s Claude. The tech giant says its commitment to privacy and data protection is key in differentiating its AI offerings from its rivals. A beta version will be available next month before a full launch in the fall.

Meanwhile, in Washington: A judge has ruled as unlawful an attempt by the Trump administration to levy a USD 100k fee on H-1B visa applications — widely used by tech companies and specialized industries to hire foreign workers. The Department of Justice is expected to appeal the decision.

Chinese firms in the hot seat: The Pentagon has accused three Chinese firms — Alibaba Group, BYD, and Baidu — of aiding China’s armed forces. The companies have been listed as “Chinese military companies” that pose a national security risk to the US.

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The UAE is making sure the oil continues to flow, one way or another

The UAE is showing it can keep crude moving even with the Strait of Hormuz under strain, and despite its second pipeline bypassing the strait still being under construction. Bloomberg ’s tanker data indicates exports held at about 2.6 mn bbl / d in May — not too far from its 3.1 mn bbl / d exports last year — and that’s thanks to a series of moves from Adnoc ranging from spot sales and flexible delivery options to braving through the strait in the dark.

Adnoc sold at least 14 mn bbl of crude to Asian buyers through a spot tender, the business information service says, citing traders in the know. The cargoes — comprising Upper Zakum, Umm Lulu, and Das Blend crude — were placed with refiners across China, Japan, South Korea, and India, reportedly at premiums a few greenbacks above the Dubai benchmark; a sign that buyers are willing to pay up for crude that can be delivered despite logistical and security complications.

That pricing strength has also shown up in Adnoc’s official selling prices. The company raised its May OSP to USD 110 / bbl from USD 69 in April as security and logistics costs continue to be priced into Gulf crude flows.

The sale follows the June-September loading tender we reported on last week, which allowed buyers to bid for up to 2 mn bbl per cargo on a cost-and-freight basis. The scale of the offering suggested Adnoc was prepared to market substantial volumes despite ongoing disruption to Gulf shipping routes.

More barrels are on the way — and delivery is looking very different. Adnoc launched a second tender offering the same crude grades for June-August loading, closing on 11 June Reuters reports. Buyers can bid for up to 2 mn bbl per cargo, with crude available from Fujairah storage, Zirku Island, Das Island, or via ship-to-ship transfers between Fujairah and Sohar. That builds on earlier flexibility offered to term customers, who were told May cargoes could be lifted through alternative delivery points on a case-by-case basis.

Calling the World Cup

The UAE's regulated gaming market is moving onto sports’ biggest stages. Play971, the country’s first licensed sports wagering and iGaming platform, has opened access to wagering on football fixtures, according to a statement. Available markets will include match outcomes, total goals, and both-teams-to-score wagers, as the 2026 FIFA World Cup waits just around the corner, Khaleej Times reports.

Play971? Backed by Momentum (also the group behind the UAE's first national lottery), the platform became the country’s first licensed iGaming operator late last year. It is operated by Coin Technology Projects and available to users aged 21+.

The platform goes beyond football: Play971 offers wagering across a range of international and local sports, including basketball, cricket, tennis, horse racing, baseball, and UAE football, alongside casino-style and live-dealer games streamed from a GCGRA-licensed studio in Abu Dhabi.

One wrinkle: The platform is available only in emirates where local frameworks permit it, and so remains inaccessible in Dubai. It’s a caveat we previously flagged in the UAE’s gaming rollout, where federal regulation coexists with emirate-level implementation. Analysts view such differences as jurisdictional variations typical of an early-stage market rather than signs of regulatory uncertainty.

Zoom out

The launch lands amid a broader UAE gaming push. The UAE became the first GCC country to roll out a national commercial gaming framework in 2024, anchored by Wynn's USD 3.9 bn Ras Al Khaimah resort. Since then, regulators have issued the country's first lottery license and approved a growing roster of international gaming vendors, including Sportradar, TCSJohnHuxley, Aristocrat, and Yolo Group.

Adnic CEO steps down + Abu Dhabi gets new finance undersecretary

Charalampos Mylonas (LinkedIn) resigned as CEO of Abu Dhabi National Ins. Company (Adnic), effective 4 June, according to a disclosure to the ADX (pdf).

The company tapped Jugal Kishore Madaan (LinkedIn) as acting CEO, effective 5 June, subject to approval from the Central Bank of the UAE. Madaan currently serves as the insurer’s executive vice president and chief underwriting and strategic accounts officer.

President Mohamed bin Zayed Al Nahyan appointed Kamal Almaazmi (LinkedIn) as undersecretary of Abu Dhabi’s Department of Finance, state news agency Wam reports. Almaazmi previously served as director general of investment and economic affairs at the department.

That’s a wrap on Julphar’s UAE pharmacy divestment

Julphar wraps up UAE pharmacy divestment

Pharma manufacturer Julphar completed the sale of its Health First Pharmacy chain in the UAE to Al Batha Group — one of two transactions it had disclosed earlier last year, according to a press release (pdf). The second sale, involving Scientific Pharmacy’s network and distribution business in Oman, also to the Emirati conglomerate, remains in progress pending regulatory and government approvals.

BACKGROUND- Julphar disclosed in September 2025 plans to divest the assets to Al Batha as part of a strategy to exit non-core assets and focus on specialty pharma operations across the MENA region.

Gifting startups are having a moment

Investors have been keen as of late on gifting platforms, with UAE-founded gifting startup Zuvees the latest to see fresh inflows, securing USD 1.6 mn from India-based IvyCap Ventures as part of its ongoing Series A round, Waya reports. The funding round brings its total funding to around USD 3.3 mn as the company targets a final close of between USD 6.6 mn and USD 8.8 mn.

Zuvees? Founded in 2024, Zuvees operates a direct-to-consumer gifting platform that uses AI to match customers with curated gift options. The funding will be used to boost the e-commerce startup’s AI capabilities, upgrade its logistics infrastructure, and expand its footprint across major international markets.

That adds to a growing list: Last month, UAE-based gifting startup Udora secured USD 10 mn in private funding and said it would use the proceeds to enter Saudi Arabia. Back in October, local premium gifting platform Cado also raised USD 4.5 mn in a pre-seed funding round.

Vara clears another crypto player

Another custody player is nearing a Dubai license. Chainberg, the institutional custody arm of digital asset infrastructure firm Liminal, has received in-principle approval from Dubai’s Virtual Assets Regulatory Authority (Vara), putting it one step away from a full virtual asset service provider license, according to a statement.

Why it matters: Once licensed, Chainberg will be able to offer digital-asset custody services to institutional clients from Dubai, adding another regulated player to the emirate's growing crypto infrastructure stack. The move follows recent Vara approvals for Daman Virtual Asset Brokerage and Bahrain’s ARP Digital as Dubai continues to expand its regulated virtual-assets ecosystem.

SCC picks the UAE

A European tech player is setting up shop in the UAE. UK-based SCC, Europe’s largest privately owned technology services provider, is opening its regional headquarters in the UAE as it expands into the Middle East, according to a statement. The company provides technology infrastructure and integration services and plans to use the UAE as a base for serving clients across the region.

What's next? SCC will focus on cloud infrastructure, AI, cybersecurity, and digital workplace services for government and enterprise clients. The regional business will be led by CEO Daniel Valle (LinkedIn), with headcount set to exceed 50 employees by the end of 2026 as the company builds out its Middle East presence.

From a favorite to have-not: Software dealmaking is in a rout

After recording USD 290 bn in buyouts last year — the highest total in 11 years — software dealmaking has slowed down significantly this year. Activity fell to USD 50 bn in the first five months of 2026, down from USD 88 bn a year earlier and the lowest level for the period since the pandemic, the Financial Times reports.

The retreat isn’t limited to M&A: In the US’s leveraged loan market, software’s share of new issuance has fallen to just 9%, roughly half last year’s level and its lowest share since 2013, according to PitchBook.

What’s changed? Fears that AI agents could replace parts of traditional software workflows have left investors struggling to separate winners from losers in the industry. Monthly software transaction value fell from USD 24 bn in January to just USD 5 bn in May after Anthropic’s launch of new AI productivity tools rattled the sector.

That uncertainty is weighing not just on acquisitions, but also on the financing that supports them. Software's share of LBO-related issuance has also fallen, to 17.5% from 34.5% last year — another sign that lenders and sponsors are becoming more cautious about backing the sector.

The core problem is valuation: “Until an investor knows what a business may be worth post-AI adoption, it’s impossible for them to make a case to their investment committee,” Arma Partners’ Paul-Noël Guély told the salmon-colored paper.

That is leaving software as one of the market’s “have-nots,” in the words of PGIM Credit's Engin Okaya, as investors grow more selective about where they deploy capital. Healthcare, by contrast, has overtaken software as the largest source of institutional loan issuance for the first time since 2015, accounting for 14% of volume this year. Investors are showing much more confidence in sectors seen as less exposed to AI disruption, Latham & Watkins' David Walker told the newspaper.

MARKETS THIS MORNING-

Asia-Pacific markets rebounded in early trading after Iran and Israel said they would press pause on launching any further attacks against each other. South Korea’s Kospi is up 3.4%, while Japan’s Nikkei is up a more modest 0.8%. The Shanghai Composite is up as well, while the Hang Seng is in the red.

ADX	9,484	-1.4% (YTD: -5.1%)
DFM	5,735	-0.6% (YTD: -5.2%)
Nasdaq Dubai UAE20	4,390	-1.2% (YTD: -10.2%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	3.4% o/n	4.1% 1 yr
TASI	10,973	+0.4% (YTD: +4.6%)
EGX30	51,883	-0.5% (YTD: +24.0%)
S&P 500	7,406	+0.3% (YTD: +8.2%)
FTSE 100	10,373	+0.1% (YTD: +4.5%)
Euro Stoxx 50	6,062	0.0% (YTD: +4.6%)
Brent crude	USD 93.74	-0.5%
Natural gas (Nymex)	USD 3.15	0.0%
Gold	USD 4,361	-0.1%
BTC	USD 63,127	-0.3% (YTD: -27.9%)
Chimera JP Morgan UAE Bond UCITS ETF	AED 3.69	+0.3% (YTD: -1.6%)
S&P MENA Bond & Sukuk	151.25	-0.2% (YTD: -0.4%)
VIX (Volatility Index)	18.92	-12.0% (YTD: +26.6%)

THE CLOSING BELL-

The DFM fell 0.6% yesterday on turnover of AED 600.4 mn. The index is down 5.2% YTD.

In the green: Dubai National Ins. & Reins. (+4.5%), Commercial Bank of Dubai (+2.3%), and Amanat Holdings (+1.6%).

In the red: National General Ins. Company (-5.0%), Dubai Refreshment Company (-5.0%), and United Foods Company (-4.1%).

Over on the ADX, the index fell 1.4% on turnover of AED 771.2 mn. Meanwhile, Nasdaq Dubai was down 1.2%.

CALENDAR

JUNE

1-12 June (Monday-Friday): Subscription period for Emirates NBD’s mandatory open offer for 26% of India’s RBL Bank.

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

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

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

SEPTEMBER

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

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

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

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

14-17 September (Monday-Thursday): Arabian Travel Market, Dubai World Trade Center, Dubai.

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

OCTOBER

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

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

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

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

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

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

Signposted to happen sometime in October 2026:

Abu Dhabi Space Week, Abu Dhabi.

NOVEMBER

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

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

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

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

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

DECEMBER

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

4-6 December (Friday-Sunday): Formula 1 Abu Dhabi Grand Prix, Abu Dhabi.

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

Signposted to happen sometime in 2027:

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

Signposted to happen sometime in 2028:

Artificial Intelligence Summit.

Signposted to happen sometime in 2029:

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

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