Red Sea Mall wins 2 CMO Asia awards for marketing excellence

Updated 17 October 2015
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Red Sea Mall wins 2 CMO Asia awards for marketing excellence

Jeddah’s Red Sea Mall continued its international winning streak with two CMO Asia awards for marketing excellence.
At the annual ceremony held in Dubai, Red Sea Mall was named winner of the most popular shopping center award for 2015, as well as the CSR best practices award.
Mohammed Alawi, CEO of Red Sea Markets Co., owner of RSM, expressed his pride of the new achievements, saying that these two latest awards highlight the mall’s achievements.
“These awards solidify the leading status the mall has achieved in the Kingdom’s and the region’s entertainment and marketing industries,” he said.
“They prove that the sincere hard work that the mall’s team continues to put in to offer the best possible shopping experience, and to provide the widest possible array of nationally and internationally renowned brands, and as much entertainment and fun each and every member of the family needs, has finally come to fruition,” he added.
“The mall’s vast space allows us to provide the largest number of fashion, beauty, furniture, electronics, and other shops, which meet the different tastes of our visitors. Add to that a world-class entertainment area, a dining area with a varied selection of gourmet food, a branch for the Passport Department, and machines to issue boarding passes for Saudi Arabian Airlines passengers and “you have a shopping center that is far ahead of any other mall throughout the Gulf region.”
CMO Asia’s committee uses an evaluation process with strict standards.
In addition to its leadership in marketing and entertainment, the mall always offers various activities. Its management is committed to contributing to sustained development in the Kingdom and instilling the spirit of national pride among young Saudis. The mall offers a huge number of various global brands and nonstop activities all year round.


Dubai property developers put bond plans on hold

Updated 21 January 2019
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Dubai property developers put bond plans on hold

  • Dubai property prices have fallen since a mid-2014 peak, hurt by a period of weak oil prices and muted sales
  • Residential prices fell 6 to 10 percent in 2018 and are expected to drop 5 to 10 percent more this year

DUBAI: Dubai’s Emaar Properties and state-owned developer Nakheel have put on hold plans to issue US dollar-denominated bonds, Emaar and sources familiar with the bond issues said, amid a real estate downturn and volatility in emerging markets.
Emaar told Reuters that it had put on hold a planned bond issue, blaming rising interest rates but did not elaborate. Nakheel declined to comment.
Three financial sources said the firms had planned dollar-denominated sukuk, or Islamic bonds, and would have had to pay a yield premium to attract enough investors due to concerns about Dubai’s property price slide and emerging market volatility.
Dubai property prices have fallen since a mid-2014 peak, hurt by a period of weak oil prices and muted sales, although the slide has not come close to the more than 50 percent plunge seen in 2009-2010, which pushed Dubai close to a debt default.
Residential prices fell 6 to 10 percent in 2018 and are expected to drop 5 to 10 percent more this year, according to Savills. The drop has hurt developer earnings.
Emaar, developer of Burj Khalifa, the world’s tallest building, reported a 29 percent fall in the third quarter last year, while Dubai’s second-largest listed developer DAMAC reported a 68 percent drop.
The financial sources said Emaar and Nakheel hired banks a few months ago to issue Islamic bonds but shelved the plans.
An Emaar spokesperson said its decision to put its plan on hold was not linked to the property market performance.
“The bond was considered more than a year ago and was put on hold due to increasing interest rates. The decision was not based on market conditions,” the spokesperson said.
Dubai government owns a minority stake in Emaar.
Nakheel, developer of palm shaped islands off Dubai, was one of the worst hit by Dubai’s 2009-2010 real estate crash, forcing it into a massive debt restructuring. It has not issued public debt since it nearly defaulted in 2009.
The market downturn has put pressure on property companies’ existing bonds, which investors use as a parameter to establish the price of new debt sales from borrowers in the same sector.
In secondary debt markets, yields of bonds issued by Dubai developers have risen significantly over the past few months, underperforming corporate debt from other sectors.
DAMAC’s $500 million sukuk due in 2022 and $400 million Islamic paper due in 2023 saw their yields spike by over 200 bps and 150 bps, respectively, since early November.
BofA Merrill Lynch last week forecasted weaker booked sales and gross margin for DAMAC, saying it was likely to be pressured by the property market and upcoming debt and land payments.
DAMAC did not immediately respond to a request for comment.
Yields on a $600 million sukuk issued by private developer Meraas, due in 2022, have jumped by around 120 basis points in the same period. Meraas declined to comment on the move.