UAE Markets: Week in Review

Read time: 3.5 minutes

Good Morning, ☀️

UAE’s Pure Health acquires UK's largest private hospital operator for AED 4.41 billion, Sharjah Islamic Bank posts a record 31% increase in 2023 net profits, Tumodo raises AED 128.6m in a pre-seed funding round, and RAK Properties sells-out first batch of units at Quattro Del Mar.

Let’s dive in.

Markets 📈 

Money Brief 💰

A roundup of the biggest deals in the UAE this week.

Markets:

• Eshraq Investments will consider an AED 135m stock buyback plan on February 1 (ADX)

• UAE Central Bank's balance sheet reached AED 670b at the end of November 2023, marking a 30.4% year-on-year increase (THD)

• S&P Global expects the UAE economy to grow by 5% in 2024, surpassing the global economy's projected 2.8% growth (GBN)

• UAE hotel revenues surged 27% to nearly AED 33b in the first nine months of 2023, indicating a strong boost in tourism (TNN)

Earnings:

• Sharjah Islamic Bank reported a record 31% rise in 2023 net profits to AED 841.5m and declared a cash dividend distribution of AED 0.10 per share (ADX)

• Commercial Bank International saw a 14% increase in 2023 net profit to AED 171m (ADX)

• Palms Sports, an IHC subsidiary, announced a 2023 net profit of AED 105m with a 91% surge in revenue to AED 576m (ADX)

• Earnings we’re watching this month:

  • Dubai Islamic Bank

  • First Abu Dhabi Bank

  • Abu Dhabi Commercial Bank

  • Abu Dhabi Islamic Bank

M&A / Investments:

• Pure Health completed its AED 4.41b acquisition of the UK’s largest private hospital operator, Circle Health Group (ZWY)

• GEMS Education, one of the world’s largest global private school operators, is discussing a potential AED 7.35b investment with Canadian firm Brookfield Asset Management (BBG)

• Apex Investments disclosed that FX Capital Commercial Investments holds 17.2% of its total issued shares (ADX), while an additional 17.2% is owned by the spouse of the Chairman of the Board of Directors, Noura Al Khour (ADX)

• G42, a UAE-based tech conglomerate, invested an undisclosed sum in Analog, an Abu Dhabi-based startup specializing in edge computing and AI (WMD)

• Saudi Tadawul Group has acquired a 32.6% stake in DME Holdings Limited, parent of Dubai Mercantile Exchange, which is set to be rebranded as the Gulf Mercantile Exchange (CMG)

• ADQ and ADNEC Group will acquire a 40.5% stake in ICON Group, the hospitality arm of Egypt's Talaat Moustafa Group Holding (GBN)

VC:

• Tumodo, a Dubai-based travel tech platform, raised an AED 128.6m pre-seed round led by MENA-focused angel investors (FNS)

• Silkhaus, a proptech startup in Dubai, secured a multi-million pre-series A financing from San Francisco-headquartered Partners for Growth (WMD)

Partnerships / Projects:

• Dubai and Pakistan signed AED 11b in agreements at Davos for marine and logistics collaboration, including a Freight Corridor and Economic Zone near Karachi (TRB)

• Emirates Steel Arkan, signed an AED 7.35b iron ore pellets supply contract with Bahrain Steel (MBS)

• ADNOC awarded National Marine Dredging Company a AED 502m contract for the construction of Al Nouf artificial island (NMD)

• Palms Sports obtained AED 282.7m in new and renewed contracts with Emirates Schools Establishment (ADX)

• Borouge, an Abu Dhabi-based petrochemical company, secured a AED 160m deal with NAFFCO to provide sustainable polyethylene materials (BRG)

• Presight, a UAE analytics firm, and Hitachi Digital Services signed an MoU to explore partnerships in smart and cognitive city technologies (PRS)

• Sukoon Insurance and WAX, a US insuretech company, signed an agreement to launch the first collector App for high-net-worth customers in the UAE (SKN)

• Sheikh Mohammed bin Rashid, ruler of Dubai, unveiled a AED 150m fund  for content creators, with plans for a dedicated influencer headquarters (NCR)

• Seventy Second Investment Company, a UAE based Mubadala-backed company, received approval from India's CCI to invest in Manipal Health Enterprises, which operates 33 hospitals across 17 Indian cities (ZWY)

• Plus500, a UK-based fintech group, obtained a regulatory licence from the Dubai Financial Services Authority (NCR)

• Emirates NBD partnered with Ras Al Khaimah Municipality to provide real estate escrow services (NBD)

• Du collaborates with Intelsat to enhance cellular connectivity throughout the UAE (NTL)

• Salik to install two new toll gates in Dubai as directed by the RTA (TNN)

Debt:

• Abu Dhabi Investment Authority and Hong Kong's New World are set to refinance an AED 4.4b loan associated with the 2015 purchase of three luxury Hong Kong hotels (BBG)

Crypto / FX: 

• OKX Middle East Fintech received a Virtual Asset Service Provider license from Dubai, enabling it to offer regulated virtual asset exchange services (CGK)

Real Estate: 

• RAK Properties sold-out the first batch of units at Quattro Del Mar, its new waterfront development in Ras Al Khaimah (MCN)

• El Bahrawy Group unveils Neptune, the first floating and mobile villa in the Kempinski Floating Palace project (RBB)

• Deyaar Development unveiled Rosalia Residences, its third project in Dubai's Al Furjan Community, with completion targeted by September 2025 (ZWY)

• RAK Properties opened eco-luxury themed Anantara Mina Al Arab Ras Al Khaimah Resort (RKP)

• Expo City introduced Sky Residences, offering apartments from AED 179k for handover in Q3 2026 (ZWY)

• Alphabeta Properties debuted M77 in Dubai's Meydan Avenue, featuring one- to three-bedroom units starting at AED 105k (MZR)

• Sheikh Hamdan launches Dubai Integrated Housing Center, consolidating 54 residential services for citizens (MRS)

• Dubai announces Latifa City with 3,500 plots and 2,300 homes for UAE citizens, covering 40 million square feet (KJT)

Personnel:

• SHUAA Capital announced the resignation of Finance Director Mr. Gunshyam Kripa (DFM)

• GFH Financial Group appointed Mr. Ayman Zaidan as Group Chief Treasury & Financial Institutions (DFM)

• Eshraq Investments appointed Wafik Ben Mansour, acting CEO of SHUAA Capital, to its board after Ajit Vijay Joshi's resignation (ADX)

• Zepth, a based construction tech firm, appointed former UAE Ambassador to India, Ahmed AlBanna, to its advisory board (UAN)

• E7 Group elects Ahmed Al Shamsi as Chairman and Khalid Almuhaidib as Vice Chairman, with Ali Said AlNuaimi as Group CEO (ADX)

• Natixis Investment Managers named Wassim Nasrallah as Head of Middle East, Africa, and Central Asia (WBR)

• Palms Sports board of directors elects Abdelmoneim ALHashemi as chairman and Readh Alkindi as Vice Chairman (ADX)

• Alvarez & Marsal restructuring executive, Guy Wall, was detained in UAE for allegedly trying to remove documents from Brooge's Fujairah offices without authorization (FT)

Money Souk’s Picks:

• The Financial Times highlights GQG’s shift in investment strategy, increasing holdings in UAE companies to AED 10.3b while reducing investments in China

Meme Freshener

That’s all for now! 

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DISCLAIMER: This information is prepared by Money Souk and uses public and reliable sources. Money Souk nor any of its directors, isn't liable for its content or use. It's not intended as investment advice or a solicitation to trade financial products.