Tuesday's Notes of Interest
Well done, Dubai …
CNBC: Dubai’s Parkin surges 30% on trading debut in UAE’s first IPO of the year
https://www.cnbc.com/2024/03/21/dubais-parkin-surges-30percent-in-uaes-first-ipo-of-the-year.html
Global competition for metals heats up…
JLN: India in undersea race to mine world's battery metal
Navin Singh Khadka - BBC
India is taking another step in its quest to find valuable minerals hidden in the depths of the ocean which could hold the key to a cleaner future. The country, which already has two deep-sea exploration licences in the Indian Ocean, has applied for two more amid increasing competition between major global powers to secure critical minerals. Countries including China, Russia and India are vying to reach the huge deposits of mineral resources - cobalt, nickel, copper, manganese - that lie thousands of metres below the surface of oceans. These are used to produce renewable energy such as solar and wind power, electric vehicles and battery technology needed to battle against climate change. /jlne.ws/49SVQ4N
JLN: Top Treasury Official Stresses US Ambitions for Africa's Metals
Antony Sguazzin - Bloomberg
US Deputy Treasury Secretary Wally Adeyemo used a five-day trip to South Africa to advertise his country's ambitions of securing supplies of the metals needed for the global energy transition - materials that abound in Africa. Adeyemo, in a speech to US businesses active in the country, stressed that South Africa needs to put in place the right incentives to boost the mining industry. He also visited a mine owned by Sibanye Stillwater Ltd., the South African precious and battery-metals miner that's invested in a palladium operation in the US state of Montana. /jlne.ws/4cmqWTR
This Middle East investment banking firm is on a global growth trajectory…
Economy Middle East: EFG Holding achieves record-breaking $312.9 million in revenues for 2023
https://economymiddleeast.com/news/efg-holding-achieves-record-breaking-312-9-million-in-revenues-for-2023/
Information and data is out there - what is important is not only collecting it but also developing relevant frames of reference needed to interpret it…
Intelligence Online: The recent decision by US intelligence agency ODNI to include commercially available information in the official definition of open sources attests to the speed at which the information environment is evolving. The CIA is guiding the intelligence community through these fast-moving changes.
Zawya: Dubai-based Telegram hits 900mln users, weighs possible IPO
https://www.zawya.com/en/markets/equities/dubai-based-telegram-hits-900mln-users-weighs-possible-ipo-ft-pmy2h9no
JLN: SGX reported on LinkedIn that "Indonesia's recent presidential election has sparked a surge in demand for exposure to the country. This is evidenced by the SGX FTSE Indonesia Index Futures hitting a record in Open Interest (2,205 contracts or $42m), bolstered by a robust month-on-month growth in Daily Average Volume (1,235 contracts or $23m).
Zawya: Bahrain’s sovereign fund Mumtalakat looking for buyers for its stake in McLaren
https://www.zawya.com/en/wealth/funds/bahrains-sovereign-fund-mumtalakat-looking-for-buyers-for-its-stake-in-mclaren-nkm9ggj5
JLN: Oil Trading Is Still Rife With Bribes. Time the Industry Cleaned Up; A series of lawsuits suggests kickbacks to government officials are still viewed as business as usual.
Javier Blas - Bloomberg
Torbjoern Toernqvist, co-founder of Gunvor Group Ltd. and one of oil trading's most senior executives, famously said about his industry: "There's a lot of skeletons, and many of them, most of them, will never be surfaced." Never say never. It's taken too long, but prosecutors are now unearthing those bones, revealing an ugly graveyard of bribes paid to government officials in return for lucrative contracts.
/jlne.ws/3PxvA81
JLN: LME plans to list Saudi port as a copper and zinc delivery point
Reuters
The London Metal Exchange (LME) plans to list Jeddah, a Saudi Arabian Red Sea port city, as a new delivery point for copper and zinc subject to consultation on a technical change to the LME's warehouse location framework, it said on Tuesday. The warehouses, registered with the LME, the world's largest and oldest metals trading venue, are usually located in areas of net metals consumption or top transit hubs such as Rotterdam.
/jlne.ws/3TGP3Fz
JLN: Hindenburg Bets Against Data Center Owner Equinix in New Report
Natalie Wong - Bloomberg
Short seller Hindenburg Research targeted data center owner Equinix Inc. Wednesday, alleging that the company manipulates its accounting and is selling an "AI pipe dream." Hindenburg's disclosure of a short position and its allegations raise questions about the future for Equinix, which has been benefiting from the expectation that artificial intelligence companies will need even more data centers to power the technology. Equinix shares were pummeled Wednesday and the company pulled a previously planned bond offering after the report hit.
/jlne.ws/4a3O1cs
NYT DealBook: Shares in Equinix, a data center operator, tumbled after the short-seller Hindenburg Research accused the company of being “an A.I. pipe dream.” (CNBC)
Reuters: Top shareholder Borse Dubai to sell Nasdaq shares worth $1.6 bln
https://www.reuters.com/markets/us/nasdaq-stock-falls-borse-dubai-set-sell-shares-secondary-offering-2024-03-20/
Content is king …
NYT DealBook: Apollo is said to have bid $11 billion for Paramount’s film and TV studio. Shares in the media conglomerate jumped 11 percent yesterday after The Wall Street Journal reported on the offer for the company’s crown jewel. But such a move would have to be approved by Shari Redstone, Paramount’s controlling shareholder, who reportedly favors a proposal to merge her National Amusements holding company with Skydance Media.
NYT DealBook: Donald Trump’s stake in his social media platform, Truth Social, is now valued at about $3.5 billion ahead of the company’s public debut — but he can’t sell it for at least more six months. (WSJ)
Abu Dhabi going after international investors in a creative way …
Mondo Visione: Abu Dhabi Securities Exchange (ADX) Partners With Eureeca To Expand Access To Its IPOs For International Investors Through Eureeca’s Global Digital Investment Platform
https://mondovisione.com/media-and-resources/news/abu-dhabi-securities-exchange-adx-partners-with-eureeca-to-expand-access-to-it?disablemobileredirect=true
JLN: US Warns of Cyberattacks Against Water Systems Throughout Nation; Letter cites threats from hackers linked to Iran, China; EPA is lead federal agency to ensure water sector's resilience
Ari Natter - Bloomberg
The Biden administration is warning states to be on guard for cyberattacks against water systems, citing ongoing threats from hackers linked to the governments of Iran and China. "Disabling cyberattacks are striking water and wastewater systems throughout the United States," Environmental Protection Agency Administrator Michael Regan and National Security Advisor Jake Sullivan wrote in a letter to governors made public Tuesday. "These attacks have the potential to disrupt the critical lifeline of clean and safe drinking water, as well as impose significant costs on affected communities."
/jlne.ws/3vmaRgr
Algeria British Business Council: AstraZeneca to manufacture five drugs in Algeria
On 5th March, the UK laboratory AstraZeneca announced ‘an ambitious expansion and localization plan’ in Algeria. Endorsed by the Ministry of Industry and Pharmaceutical Production, the plan aims potentially to provide drugs used in the treatment of several illnesses, including type 2 diabetes, oncology, chronic obstructive pulmonary disease (COPD), gastrointestinal diseases and heart diseases. As such, AstraZeneca aims to establish partnerships with various Algerian companies with a view to starting to manufacture the five products locally over the next five years. Manufacturing of the AstraZeneca drug for the treatment of diabetes, is expected to be rolled out through installation, validation and stability testing phases between 2022 and 2025 to reach a forecast production capacity of 900,000 units at the end of this period. Production of medications for the treatment of gastrointestinal illnesses are expected to reach a capacity of 1.4 million units.
An opportunity for MENA banks to tap international markets for AT1 bonds…
JLN: Bond Investors Are Clamoring for Niche Type of AT1-Like Debt; ASR Nederland sees almost five times demand in RT1 debt sale; Looming regulatory deadline sets stage for more offerings
Tasos Vossos - Bloomberg. /jlne.ws/4ckFjbn
gfma: European firms worth a combined $40 billion are preparing to float on the stock market. Golden Goose, the Italian sneaker brand, auto distributor Astara and beauty group Puig are among the companies preparing to list across the bloc, which could help revive the European IPO market. Full Story: Bloomberg (19 Mar.)
Remittances are a big business…
Mondo Vision: M-PESA Safaricom Partners With Onafriq, Enabling The Flow Of Remittances To Ethiopia
https://mondovisione.com/media-and-resources/news/m-pesa-safaricom-partners-with-onafriq-enabling-the-flow-of-remittances-to-ethi?disablemobileredirect=true
JLN: Saudi Exchange welcomes Merrill Lynch to growing list of market makers; Merrill Lynch becomes the fourth market maker to be onboarded since July last year, as well as being the first international market maker to conduct market making activities on Saudi equities.
Wesley Bray - The Trade
Merrill Lynch has become the latest market maker to be added to the Saudi Exchange, with the addition marking the fourth market maker onboarded since July 2023. Merrill Lynch also becomes the first international market maker to conduct market making activities on Saudi equities. /jlne.ws/3PtZlGK
NYT DealBook: Unilever plans to spin off its ice cream unit. The move to separate out the division, which includes the Ben & Jerry’s brand, is meant to streamline the consumer products giant’s operations and restart growth. It will also entail cutting 7,500 jobs. Shares in Unilever were up nearly 4 percent in London trading on the news.
NYT DealBook: More than $2.7 billion worth of legal bets on basketball are expected during March Madness, according to estimates, as the sports betting industry continues to grow. (Axios)
Algeria British Business Council: New stock market intermediary approved
On 13th March, the Commission for the Organisation and Supervision of Stock Exchange Operations (COSOB) announced that it has approved the company Invest Market as an Intermediary in Stock Exchange Operations (IOB). The company’s creation is subject to its participation in the share capital of the stock exchange management company SGBV. According to the COSOB, Invest Market is now authorised to carry out the following activities: trading on its own account, trading on behalf of third parties, advice on the placement of transferable securities, as well as the placement of transferable securities and financial products, individual portfolio management under mandate and advice to companies on capital structure, mergers and takeovers of companies.
International Intrigue: The International Atomic Energy Agency (IAEA) is in talks with Iraq to help the country develop a peaceful nuclear program, according to the IAEA head Rafael Grossi. Several other countries in the region, including Egypt, Saudi Arabia and the UAE, have explored or established a domestic nuclear power program in recent years.
QZ: Encyclopædia Britannica is eyeing a $1 billion valuation in its IPO, report says. The publisher joins Reddit, Panera, and Skims in going public in 2024.
https://qz.com/encyclopaedia-britannica-merriam-webster-1-billion-ipo-1851344445?fbclid=IwAR2EmI3EcA8GN7GYAhIzN0Bwmq3u2z9_rDh59k6y-jShbzHqgPCXnG1GEEc
The ability of a country to manage diversity will gradually factor into its credit rating by the relevant agencies…
BBC: CAA: India to enforce migrant law that excludes Muslims
https://www.bbc.com/news/world-asia-68538260?fbclid=IwAR2lzXKgXWxkIUZVKHy4NO_Rk_rR3j6esPaFF42-Xbhn_U79eDVdNzAQc8Y
Mosque in Tizi Ouzou, Algeria - via Middle East & North Africa Visuals
A Less Shining Path
How many wrong turns
Have I made on this road
I am lost
Only the light of your eyes Lord
Can show me the way
These are not darknesses
I had imagined for myself
They are strange shadows
I can hear laughter
On the other side of the wall
But where am I
Why am I here
What was that first no I said
When I should have said yes
When was it that I first accepted
When I should have declined
My years are almost over
And this road is endless
Where am I heading
What if I never arrive
At a place
I never intended to seek…
Majd Shafiq - 2017
All the best
Majd