ADNOC Distribution shines in Abu Dhabi, Saudi drops

Cars are seen an ADNOC petrol station in Abu Dhabi, United Arab Emirates July 10, 2017. (Reuters)
Updated 07 April 2019

ADNOC Distribution shines in Abu Dhabi, Saudi drops

  • ADNOC Distribution jumps 8 pct
  • Union Properties rises in heavy trade

DUBAI: ADNOC Distribution lifted the Abu Dhabi stock market on Sunday and Dubai continued its winning streak, while Saudi Arabia lagged behind.

The Abu Dhabi index was up 0.4 percent, as ADNOC Distribution rose 8 percent to a one year high of 2.7 dirhams ($0.7351).

Last week, the company’s shareholders approved an increase in the firm’s dividend policy. The company also won shareholder approval to buy back up to 62.5 million shares, equivalent to 5 percent of its free float during a 12-month period, should it choose to do so.

Separately, Reuters reported that the firm was considering a secondary listing overseas. The Dubai index increased 0.2 percent, rising for its seventh straight session. Union Properties was by far the stock with the highest trading volume, gaining 0.8 percent. Emirates NBD Bank — which Dubai-based Arqaam Capital on Sunday called its “top buy” — added 1.3 percent after saying last week that it will buy Denizbank.

Heavyweight Emaar Properties was down 0.4 percent, while Shuaa Capital was up 4.3 percent. The firm is set to merge with Abu Dhabi Financial Group soon in a reverse takeover.

Dana Gas and Eshraq Properties were among the stocks registering the highest trading volumes in Abu Dhabi, and they went up 0.5 percent and 0.7 percent, respectively.

Saudi Arabia’s Tadawul index was down 0.6 percent, ending a previous 9-day gain streak pulled down by Al Rajhi Bank which was down 1.1 percent. “Being a Sunday, foreigners were absent (from the Saudi market) and we suspect local investors are booking some of the recent profits,” said Vrajesh Bhandari, senior portfolio manager at Al Mal Capital in Dubai. Saudi Almarai was down 0.5 percent in thin trading volume, after what Arqaam capital called “uninspiring results” in a report on the company’s first quarter.

Led by Ahli United Bank, which was up 2.5 percent, Bahrain’s stock market added 1.5 percent. On Wednesday, the bank said due diligence for a merger with Kuwait Finance House was in progress.

Egypt’s stock market was down 0.7 percent on Sunday, weighed down mainly by Orascom Investment Holding , which lost 7.1 percent after reporting last week a drop in standalone net profit.

SAUDI ARABIA The index fell 0.6 pct to 9,011 points ABU DHABI The index rose 0.4 pct to 5,052 points DUBAI The index added 0.2 pct to 2,781 points QATAR The index gained was little changed at 10,192 points EGYPT The index was down 0.7 pct at 15,135 points BAHRAIN The index was up 1.5 pct at 1,440 points OMAN The index added 0.8 pct to 3,970 points. KUWAIT The index rose 1.4 pct to 6,222 points. ($1 = 3.6728 UAE dirham)

Huawei warns US patent curbs would hurt global tech

Updated 27 June 2019

Huawei warns US patent curbs would hurt global tech

  • US senator’s proposal comes amid mounting American action against Huawei
  • Huawei’s US sales of network gear evaporated after a congressional panel labeled the company a security threat in 2012

SHENZHEN, China: Chinese tech giant Huawei warned Thursday a US senator’s proposal to block the company from pursuing damages in patent courts would be a “catastrophe for global innovation.”
The proposal comes amid mounting US action against Huawei, the biggest maker of switching gear for phone carriers, amid tension over Beijing’s technology ambitions. The company has been devastated by the Trump administration’s decision to impose restrictions on its access to American chips for smartphones and other components and technology.
Disrupting Huawei’s access to US patent courts would threaten the intellectual property system that supports technology development, said Song Liping, the company’s chief legal officer.
The proposal by Sen. Marco Rubio, a Republican from Florida, followed reports Huawei Technologies Ltd. is asking for $1 billion from American phone carrier Verizon for use of the Chinese company’s patents.
“If such a legislative proposal were to be passed, it would be a catastrophe for global innovation. It would have terrible consequences,” Song said at a news conference. He said it would “break the foundation of IP protection.”
American officials accuse Huawei of facilitating Chinese spying, a charge the company denies, and see it as a growing competitive threat to US technology industries.
Huawei’s founder, Ren Zhengfei, said this month it has cut its project sales by $30 billion over the next two years due to curbs on access to American chips and other components. He said smartphone sales outside China will fall 40 percent.
Huawei’s US sales of network gear evaporated after a congressional panel labeled the company a security threat in 2012 and told phone carriers to avoid it. But the Chinese company has a patent portfolio it licenses to manufacturers and carriers.
Song gave no confirmation of how much Huawei wants from Verizon or the basis of its claims.
“Intellectual property litigations are matters that should be heard and ruled on by courts. They should not be politicized,” he said.
Huawei, founded in 1986, has China’s biggest corporate research and development budget at $15 billion in 2018. The company is a leader in developing next-generation telecoms technology.
On Wednesday, a US federal court jury in Texas ruled Huawei stole trade secrets from a Silicon Valley company but awarded no damages, saying the Chinese company didn’t benefit.
The jury rejected Huawei’s claims that Cnex Labs Inc. co-founder Yiren Huang stole its technology while he worked at a Huawei subsidiary.
Huawei’s head of intellectual property, Jason Ding, said the company was studying the verdict and deciding what to do next.
Asked about a report by Bloomberg News that some Huawei researchers had published papers with Chinese military personnel over the past decade, Song said the company wasn’t aware of its employees publishing research as private individuals.
“We don’t customize products or do research for the military,” said Song. “We are not aware of employees publishing papers. We don’t have projects of that kind.”