{"id":105861,"date":"2025-07-24T00:00:00","date_gmt":"2025-07-24T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/uae\/this-morning-three-or-five-ipos-before-the-end-of-the-year-cbuae-presight-form-tech-jv-focused-on-financial-markets\/"},"modified":"2025-07-24T00:00:00","modified_gmt":"2025-07-24T00:00:00","slug":"this-morning-three-or-five-ipos-before-the-end-of-the-year-cbuae-presight-form-tech-jv-focused-on-financial-markets","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/uae\/2025\/07\/24\/this-morning-three-or-five-ipos-before-the-end-of-the-year-cbuae-presight-form-tech-jv-focused-on-financial-markets\/","title":{"rendered":"THIS MORNING: Three or five IPOs before the end of the year? + CBUAE, Presight form tech JV focused on financial markets"},"content":{"rendered":"

Good morning, wonderful people. <\/strong>It\u2019s almost the end of the week, and the news cycle has slowed only slightly before we head into the final workweek of July. <\/p>\n

The big story of the day is Fitch\u2019s research unit BMI slashing growth forecasts for the UAE<\/strong> on the back of weaker non-oil growth and the impact of geopolitical tensions. Also: Space42 landed funding from European banks for its Al Yah satellites. <\/p>\n

Plus:<\/strong> We have earnings from First Abu Dhabi Bank, Abu Dhabi Islamic Bank, and Commercial Bank of Dubai, as well as NMDC Energy. Let\u2019s dive in. <\/p>\n

WEATHER<\/strong>- It could get foggy today due to the humidity, but at least temperatures are on<\/strong> the milder side.<\/strong> The mercury in Dubai <\/strong>is expected to reach a high of 40\u00b0C, before cooling to 35\u00b0C overnight. In Abu Dhabi<\/strong>, daytime highs will also reach 40\u00b0C, with lows of 32\u00b0C.<\/p>\n

WATCH THIS SPACE- <\/p>\n

<\/a> #1- <\/strong>The<\/strong> UAE could see between three to five IPOs before year-end<\/strong>, Zawya<\/a> quotes Citi Managing Director and head of MENA equity capital markets Rudy Saadi as saying. Saadi pointed to a healthy pipeline that includes Dubizzle<\/a>, Five Holdings<\/a>, Alec<\/a>Engineering<\/a>, Etihad Airways<\/a>, and IHC\u2019s 2PointZero<\/a>. While fewer privatizations may give the impression of a quieter market, Saadi said investor appetite remains strong, and remains optimistic about activity in 2H and 1H 2026. <\/p>\n

He chalked up delays in listings to regulatory approvals or shareholder timing preferences<\/strong>, rather than weak demand, saying that investors are always looking at the UAE and Saudi Arabia since they are the GCC\u2019s most active markets. \u201cIPOs will still launch and price, but not at any valuation given the higher scrutiny,\u201d he said, attributing the scrutiny to the \u201cdifficult business models\u201d of some firms. <\/p>\n

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#2- One of the biggest and most-anticipated IPO targets, Etihad Airways, still ha<\/strong>s its eyes set firmly on expansion<\/strong>, with some 18 aircraft expected to be onboarded before year-end, CEO Antonoaldo Neves told state news agency Wam<\/a>. The carrier \u2014 which has transported 10 mn passengers in 1H 2025 \u2014 aims to grow its fleet to 115-120 aircraft as well as handle 21.5 mn passengers by the end of 2025. It has already acquired two aircraft and is awaiting 16 more deliveries in the upcoming months. <\/p>\n

Yes, but\u2026:<\/strong> That\u2019s assuming no delays from manufacturers, though Neves said the airline planned accordingly and leased aircraft and reintroduced seven A380 aircrafts into service to accommodate the delays.<\/p>\n

A stronger market push:<\/strong> The carrier is looking to boost its market presence, with a specific focus on markets within a four-hour flight range, including Middle East, India, and Pakistan, he noted. <\/p>\n

REMEMBER-<\/strong> The airline invested USD 14.5 bn<\/a> for 28 Boeing 787 and 777X aircraft manufactured in the US by GE engines in May. Neves said in April Etihad plans to add 20 to 22 new planes this year in a bid to meet its target of 170 planes by 2030. The carrier was expected to IPO earlier this year with a 20% stake floated for USD 1 bn in proceeds, but the IPO was pushed back several times. <\/p>\n

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#3- <\/strong>Citigroup <\/strong>to bolster MENA headcount: <\/strong>Citigroup<\/a> \u2019s private banking arm is planning to bring in new hires for its Dubai, Abu Dhabi, and Saudi Arabia operations, Bloomberg<\/a> reports, citing comments made by the bank\u2019s head of UK, Europe, and Middle East James Holder. Citigroup recently tapped Carmen Haddad<\/a> as vice chair of its Middle East private bank, and the hiring strategy comes as financial players look to tap into lucrative investment programs amid economic diversification efforts.<\/p>\n

<\/a> #4- <\/strong>The<\/strong> Central Bank of the UAE (CBUAE) and AI firm Presight are <\/strong>launching a joint venture<\/strong>, which will deploy AI-powered technology platforms for the UAE\u2019s financial market tech stack, according to a press release<\/a>(pdf)<\/a>. As part of CBUAE\u2019s two-year digital transformation agenda, the entity will develop, maintain, and support critical IT infrastructure for financial markets, including for its central bank digital currency, instant payments platform Aani, domestic card scheme Jaywan, and the open finance network. It could also include developing a real-time gross settlement system. <\/p>\n

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<\/a> #5- EAD publishes climate change adaptation roadmap for Abu Dhabi: <\/strong>Abu Dhabi\u2019s Environmental Agency has launched a 25-year roadmap to protect Abu Dhabi\u2019s natural resources from the growing threats of climate change, according to a statement<\/a>. The plan, covering through 2050, was developed under the Abu Dhabi Climate Change Strategy 2023-2027 (pdf)<\/a>. <\/p>\n

What we know: <\/strong>While the details of the actual plan and its key action points are scant, it focuses on three vulnerable environmental systems \u2014 groundwater, soil, and biodiversity. It also identifies 142 climate adaptation actions, including 86 high-priority projects scheduled for implementation over the next five years. These include a mix of nature-based, technical, and institutional solutions. <\/p>\n

The EAD\u2019s plan is the first of four sectoral adaptation plans set to roll out under the emirate-wide climate adaptation strategy. <\/strong>Upcoming plans will address the energy, health, and infrastructure sectors. <\/p>\n

DATA POINTS- <\/p>\n

<\/a> #1- <\/strong>Record <\/strong>2Q boosts 1H results for Dubai real estate: <\/strong>Dubai logged a total of 94.5k residential transactions in 1H 2025, up 27% y-o-y, according to Knight Frank\u2019s Dubai Residential Market Review (pdf)<\/a>. Total sales value surged 41% y-o-y to AED 267.7 bn during the six months, with 2Q alone seeing more than 50k sales \u2014 the first time Dubai has crossed that threshold in a single quarter.<\/p>\n

Luxury demand is rewriting the record book: <\/strong>Home sales priced over USD 10 mn reached AED 9.5 bn in 2Q \u2014 the highest quarterly total on record \u2014 with a total of 143 luxury agreements signed. For the first time since 2Q 2023, apartments in this segment outpaced villas.<\/p>\n

ICYMI- <\/strong>Recent ValuStrat data showed that quarterly price growth eased to 4.7% in 2Q 2025<\/a> from 6.4% a year earlier, with apartment values rising 3.4% and villas 6% q-o-q.<\/p>\n

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<\/a> #2- 1H also saw a 30% surge in daily average gold trading<\/strong>, with the Dubai<\/a>Gold a<\/a>nd<\/a>Commodities Exchange<\/a> (DGCX) seeing over 1 mn contracts traded by the end of June, according to a press release<\/a>. The exchange\u2019s shariah-compliant gold spot contract volumes saw a 199.8% y-o-y increase in the value of its trades. <\/p>\n

The uptick was attributed to geopolitical volatility triggering more demand for hedging instruments.<\/strong> INR quanto futures contracts, which allow investors to hedge INR exposure against the USD without direct market access, were also popular, suggesting investors are looking to spread risk exposure. <\/p>\n

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#3- <\/strong>Gross <\/strong>bank assets in the UAE grew 0.6% m-o-m to AED 4.7 tn in April 2025<\/strong>, according to the Central Bank of the UAE\u2019s (CBUAE) latest monetary and banking developments report (pdf)<\/a>. Gross credit increased 0.9% m-o-m to AED 2.2 tn, driven by a AED 12.3 bn rise in domestic credit and AED 7.1 bn in foreign credit. Within domestic credit, lending to the private sector rose by 0.6%, to government-related entities by 1.2%, and to the government sector by 0.7%, while credit to non-banking financial institutions fell 4.3%. <\/p>\n

Total bank deposits rose 1.0% m-o-m to AED 2.97 tn<\/strong>, supported by a 10.9% jump in non-resident deposits, which reached AED 275.6 bn. Resident deposits rose marginally by 0.1% to AED 2.69 tn. Within that, private sector deposits rose 1.1%, government sector deposits grew 0.9%, while deposits from non-banking financial institutions declined 9.2% and government-related entities fell 6.5%. <\/p>\n

PSA- <\/p>\n

You\u2019ll have to settle any<\/strong> incurred traffic fines in Dubai before you can modify your visa <\/strong>status<\/strong>, following new rules issued by Dubai\u2019s General Directorate of Residency and Foreigners Affairs, The National<\/a> reports. All outstanding traffic fines will need to be resolved before you can access immigration services, including visa application, renewal, or cancellation. The authority will work with Dubai Police to cross-check applications.<\/p>\n

THE BIG STORY ABROAD- <\/p>\n

It\u2019s a busy morning in the foreign press<\/strong>, with more updates on tariffs and trade agreements, a handful of high-profile earnings, and updates on the Epstein files debacle in the US. <\/p>\n

US President Donald Trump seemed to indicate that reciprocal tariffs would come in at a minimum of 15%<\/strong>, higher than the 10% baseline tariff he had announced earlier, and a maximum of 50%. It\u2019s not clear whether this is Trump causing panic, or if it\u2019s true, given that the administration had announced a universal 10% tariff earlier in April and Commerce Secretary Howard Lutnick clarified earlier this week that many African countries, as well as Latin American and Caribbean countries, would be subject to a 10% tariff. (Bloomberg<\/a>)<\/p>\n

REMEMBER- Gulf countries have been subject to a blanket 10% tariff <\/strong>that the US maintained with most countries after the 9 April 90-day freeze of higher tariffs. <\/p>\n

ALSO- The US and the EU are reportedly nearing an agreement for a 15% tariff on imports from the bloc<\/strong>, mirroring the US\u2019 agreement with Japan earlier this week. (Financial Times<\/a> | Guardian<\/a> | Reuters<\/a>) <\/p>\n

American newspapers\u2019 front pages are almost all topped by news that Trump was briefed about his name being in files related to the Jeffrey Epstein case<\/strong>, making it more concerning that Trump has refused to make the files public. A House subcommittee for the first time voted to subpoena the administration for the files later last night. Sources told CNN<\/a> that the briefing was \u201croutine\u201d and revealed nothing new, since Trump was already known to be an associate of Epstein\u2019s. (New York Times<\/a> | Wall Street Journal<\/a> | Washington Post<\/a>)<\/p>\n

AND IN EARNINGS NEWS- <\/strong><\/p>\n