SAGIA aims to get Kingdom in top 20 for ease of doing business by 2020

Saudi Arabia is introducing measures to improve the speed and ease of doing business in the Kingdom. (Getty)
Updated 03 May 2018
0

SAGIA aims to get Kingdom in top 20 for ease of doing business by 2020

  • Kingdom has introduced new laws on arbitration and insolvency and plans to speed up the business visa process
  • “We are a model for the whole world in how to improve the business environment," says SAGIA chief

RIYADH: Saudi Arabia wants to be in the top 20 countries measured by “ease of doing business” by 2020, the head of the Kingdom’s investment promotion agency, the Saudi Arabian General Investment Authority (SAGIA) said on Thursday.

Ibrahim Al-Omar, SAGIA governor, said that there were a lot of reforms that would have to be accomplished if it were to achieve top 20 status as measured annually by the World Bank, which put the Kingdom at number 92 in the world out of 190 countries.

But he said that there was a “great interest” among international investors to get more involved in business in the Kingdom and reforms were being pushed through fast.

“We are a model for the whole world in how to improve the business environment”, he said, highlighting the new arbitration and insolvency laws, the efficiency of the Kingdom’s ports, and the ease and speed of getting a business visa.

“There has been some negative feedback on the insolvency laws, but really they are a protection tool for any business. It will give you the opportunity to reschedule your liabilities,” Al-Omar said.

He met around 400 companies in the UK and US when he accompanied the royal tour of those countries, and told them of the Kingdom’s investment potential.

But he said there were risks perceived by international investors because of the limited clarity and awareness of reforms in the Kingdom. “It is hard to communicate when we’re going so fast,” he said.

Al-Omar, who described SAGIA as a provider of “VIP concierge services” for potential investors, also said that there was only limited market information about the investment opportunities available, and that SAGIA was setting up an online portal listing all potential deals on offer.


Sony buys EMI Music Publishing in $1.9 billion deal

The agreement is Sony’s first major deal under new CEO Kenichiro Yoshida, who noted the music business has enjoyed a ‘resurgence’ in recent years. (AFP)
Updated 39 min 39 sec ago
0

Sony buys EMI Music Publishing in $1.9 billion deal

  • The deal adds a catalogue of more than two million songs — including some of the greatest hits from the first half of the 20th century — to Sony’s already huge repertoire
  • Judy Garland’s “Over the Rainbow” continues to be a top-10 money-spinner even today, more than 75 years after its initial release

TOKYO: Japanese entertainment giant Sony on Tuesday unveiled a $1.9-billion deal to buy industry titan EMI Music Publishing, which has the rights to songs by the likes of Queen and Pharrell Williams.
The deal adds a catalogue of more than two million songs — including some of the greatest hits from the first half of the 20th century — to Sony’s already huge repertoire.
The agreement is Sony’s first major deal under new CEO Kenichiro Yoshida, who noted the music business has enjoyed a “resurgence” in recent years due to streaming services provided by companies such as Spotify and Apple.
With this purchase, Sony “is becoming one of the biggest music publishing companies, both in name and reality,” Yoshida told reporters.
“We are thrilled to bring EMI Music Publishing into the Sony family and maintain our number-one position in the music publishing industry,” Yoshida said in an earlier statement.
“I believe this acquisition will be a particularly significant milestone for our long-term growth,” added Yoshira, who took the Sony helm last month.
Sony said it had signed a deal with Abu Dhabi-based investment firm Mubadala to buy its 60-percent holding, giving the Japanese firm an indirect stake of approximately 90 percent.
The agreement values EMI Music Publishing at $4.75 billion, the Sony statement said, adding that “the closing of the transaction is subject to certain closing conditions, including regulatory approvals.”
Yoshida also Tuesday unveiled Sony’s latest strategic plan, which aims to bolster its content business — pursuing the direction his predecessor Kazuo Hirai had taken to revitalize one of Japan’s best-known firms.
“We are a technology firm, but the technology means not only electronics but also entertainment and content-creation” in today’s world, Yoshida said.
Sony will continue to build up its content services — as shown by Tuesday’s deal — and also invest heavily in cutting-edge technologies including image sensors, he said.
“This is part of Sony’s strategy under Yoshida to beef up its entertainment businesses,” noted Hideki Yasuda, an analyst at Ace Research Institute in Tokyo.
“In the music business, copyrights are crucial. So, the deal is meaningful, and its price appears practical and reasonable,” the analyst said, adding that success would depend on the quality of the content Sony creates in the future.
The electronics and entertainment behemoth last month reported record annual profits of $4.5 billion, a roaring recovery supported by better sales across the board and helped by box office blockbusters like its Jumanji reboot.
Those figures were seen as a fitting send-off for Hirai, who recently stepped down as the firm’s chief executive after spending the past six years pulling the firm out of deep financial troubles.
Hirai led an aggressive restructuring drive at Sony, cutting thousands of jobs while selling business units and assets.
EMI is the second-largest music publishing company by revenue and either owns or administers some two million songs, including classics by the likes of Queen, Sam Smith and Pharrell Williams.
As for Sony, it already owns 2.3 million copyrights, including the Beatles catalogue, as well as being a massive player in IT, communications, film and gaming.
EMI holds a “comprehensive and diverse collection of copyrights for music and lyrics” from a “wide variety of iconic and popular songwriters,” the statement said.
Judy Garland’s “Over the Rainbow” continues to be a top-10 money-spinner even today, more than 75 years after its initial release, it added.
Current songwriters under its banner include Kanye West, Alicia Keys, Drake, Pink, Fetty Wap and Hozier.
Investors appeared dubious about the acquisition and the new strategic plan however, with Sony stock down around 1.2 percent in the afternoon, underperforming the wider Japanese market, which was fractionally weaker.