All you need to know before Tadawul opens Jan. 27

All you need to know before Tadawul opens Jan. 27
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Updated 27 January 2022

All you need to know before Tadawul opens Jan. 27

All you need to know before Tadawul opens Jan. 27

RIYADH: The Saudi stock exchange extended gains on Wednesday as investors reacted to a strong rebound in the energy market, where Brent crude oil crossed $89 per barrel.

TASI, the main index, registered gains standing at 0.6 percent, reaching 12,183 points, and the parallel market Nomu inched up by 0.5 percent to close at 25,688 points.

Elsewhere in the Middle East, bourses of Dubai, Abu Dhabi, and Bahrain edged up in line with Saudi, up 0.5, 0.1, and 0.4 percent, respectively.

The Qatari index QSI, Oman’s MSX30, Kuwait’s BKP, and the Egyptian EGX30 index all fell between 0.2 and 0.5 percent.

In early trading, Brent crude oil reached $89.6 per barrel, and US benchmark WTI crude oil rose to $86.7 per barrel as of 9:07 a.m. Saudi time.

Stock news

  • Saudi stock market regulator, the Capital Market Authority, has approved the listing of IT firm Saudi AZM for Communication and Information Technology on the parallel market Nomu
  • The Saudi Industrial Investment Group, or SIIG, has experienced a tremendous increase in its 2021 net profit, up by 1,134.8 percent
  • Saudi Kayan Petrochemical Co. turned from losses into profits of SR2.39 billion ($640 million) in 2021, buoyed by an increase in selling prices and a drop in costs
  • Telecommunication firm Etihad Atheeb has reduced its accumulated losses to 12 percent of capital
  • The Saudi National Bank, known as SNB, has awarded a SR215 million insurance contract to Arabian Shield Cooperative Insurance Co.
  • Saudi insurer Wataniya Insurance Co. got its S&P rating revised from BBB, altering the positive outlook to stable
  • National Petrochemical Co., better known as Petrochem, saw its profits surge almost fivefold in 2021, hitting SR1.4 billion
  • Saudi Arabia Refineries Co. announced the retirement of its board member Ali bin Saleh Khabti effective Jan. 26, 2022
  • Baazeem Trading Co. has appointed Salem Baazeem as board chairman and Fawzia Baazeem as vice chairman of the board of directors

Calendar

Jan. 27, 2022

End of Gas Arabian Services’ IPO book-building

End of Scientific and Medical Equipment House’s IPO book-building

Jan. 28, 2022

End of Elm Co.’s IPO book-building

 


Lucid Motors to establish its first overseas factory in Saudi Arabia

Lucid Motors to establish its first overseas factory in Saudi Arabia
Updated 11 min 27 sec ago

Lucid Motors to establish its first overseas factory in Saudi Arabia

Lucid Motors to establish its first overseas factory in Saudi Arabia

JEDDAH: US-based Lucid Motors has signed agreements on Wednesday to build a production factory in Saudi Arabia with an annual capacity of 155,000 zero-emission electric vehicles.

The deals are estimated to provide financing and incentives to Lucid up to $3.4 billion in total over the next 15 years to build and operate the manufacturing facility in the Kingdom.

To be located in King Abdullah Economic City, AMP-2 is the electric vehicle manufacturer’s first production facility outside the US, according to a statement. 

The project is expected to create over 4,500 jobs in KAEC, said Cyril Piaia, CEO of Emaar The Economic City, master developer of KAEC. 

Saudi government and Lucid Motor’s officials at a ceremony to sign agreements for the development of a production facility in the Kingdom. AN photo

“Attracting a global leader in electric vehicles such as Lucid to open its first international manufacturing plant in Saudi Arabia reflects our commitment to creating long-term economic value in a sustainable, enduring, and globally integrated way,” Saudi Investment Minister Khalid Al-Falih said. 

“This project demonstrates the confidence investors have in Saudi Arabia’s competitiveness, its ability to create opportunity, and serve global demand for a highly complex product such as electric vehicles,” Al-Falih added. 

The agreements were signed between the Saudi Investment Ministry, the Saudi Industrial Development Fund, Emaar, The Economic City, at King Abdullah Economic City and the Gulf International Bank.


Investing in Metaverse is a waste of time: Futurist-in-Chief at Dubai Future Foundation

Investing in Metaverse is a waste of time: Futurist-in-Chief at Dubai Future Foundation
Updated 18 May 2022

Investing in Metaverse is a waste of time: Futurist-in-Chief at Dubai Future Foundation

Investing in Metaverse is a waste of time: Futurist-in-Chief at Dubai Future Foundation

DUBAI: As the business world is increasingly fascinated by the Metaverse, Noah Raford, futurist-in-chief and chief of Global Affairs at Dubai Future Foundation, claimed that investing in this advanced technology is just a waste of time. 

While speaking at the Top CEO Forum, Raford argued that people should invest in video games, as it is the only successful digital economy so far. 

However, Fady Kassatly, partner of Enterprise Solutions and Cloud, KPMG, said the Metaverse is nothing but the next evolution, which will make people live differently. 

He also added the Metaverse is going to evolve quickly in different directions, and this is just the beginning of the journey. 

On his part, Philippe Blanchard, founder of Futurous, stated the Metaverse will change the relationship between humans and nature. 

Predicting an inevitable Metaverse future, Valerie Hawley, Director of Sorbonne Center for Artificial Intelligence, said every business will look at the Metaverse space and consider using it in the coming years. 

She also added the Metaverse is a projection of the world that humans would like to live in. 


Blockchain creating ‘Internet of value’: Crypto Oasis co-founder

Blockchain creating ‘Internet of value’: Crypto Oasis co-founder
Updated 18 May 2022

Blockchain creating ‘Internet of value’: Crypto Oasis co-founder

Blockchain creating ‘Internet of value’: Crypto Oasis co-founder

DUBAI: Blockchain technology is transforming “internet of information into internet of value,” according to Saqr Mashhor Ereiqat, the co-founder of Crypto Oasis. 

While speaking at a session in the Top CEO Forum, Ereiqat also noted that the majority of the people use the Internet, but do not know how it works.

Ereiqat added that he used to advise governments on how they can use blockchain to benefit them. He, however, made it clear that governments like to control the network they offer.  

Ereiqat also noted that blockchain provides a way to trace a value from beginning to end. 

Franck Mandon, chief operating officer of Nujumz, during the session told that blockchain is going to transform the way humans trusted each other. 

However, Paritosh Ghambir, partner audit KPMG, noted that most clients need education about blockchain. 

Gambhir added: “Just because it is a blockchain does not mean it could be fully trusted.” 


China In-Focus: Goldman Sachs revised China’s GDP downwards to 4% amid COVID-19 control 

China In-Focus: Goldman Sachs revised China’s GDP downwards to 4% amid COVID-19 control 
Updated 18 May 2022

China In-Focus: Goldman Sachs revised China’s GDP downwards to 4% amid COVID-19 control 

China In-Focus: Goldman Sachs revised China’s GDP downwards to 4% amid COVID-19 control 

RIYADH: Tight Covid-19 controls are seen exacerbating China’s economic stance. America’s Goldman Sachs revised the Asian country’s gross domestic product downwards to 4 percent. The country’s stocks also fell on Wednesday due to the lockdown consequences. On top of this, several factories and plans are expected to leave the country in light of rising labor costs, worsening trade tensions with the US, and Covid-19 impacts. Meanwhile, some buyers are eyeing liquified natural gas demand rebound as covid-19 is expected to unwind soon.

·      American multinational investment bank and financial services company Goldman Sachs Group Inc. has revised China’s GDP downwards to 4 percent, down from 4.5 percent previously, Bloomberg reported, citing economic data from April. In addition to this, the investment banking company also cut forecasts for the second quarter to 1.5 percent year-on-year, down from 4 percent originally. 

·      China’s stocks dropped on Wednesday amid fears that government stimulus and policies will not be enough to help the economy recover from COVID-19 repercussions. This comes as China’s blue-chip index, also referred to as CSI300, lost 0.4 percent while the Shanghai Composite Index lost 0.3 percent.

·      Several factories and plants might leave China amid rallying labor costs, exacerbated US-China trade tensions, and tight Covid-related controls, CNBC reported, citing multiple firms and analysts. However, the issue that prevails is that supply chain diversification is difficult to implement, CNBC reported, citing Nick Marro, global trade leader at The Economist Intelligence Unit.

·      Some Chinese buyers are contemplating the purchase of LNG cargoes from August onwards on the hopes that virus restrictions will ease thus raising demand for the fuel once again in the process, Bloomberg reported. Nevertheless, spot prices will still have to further drop before any deals are sealed. 

 


MBC-backed Al Arabia more than doubles profit to $17m on strong client base

MBC-backed Al Arabia more than doubles profit to $17m on strong client base
Updated 18 May 2022

MBC-backed Al Arabia more than doubles profit to $17m on strong client base

MBC-backed Al Arabia more than doubles profit to $17m on strong client base

RIYADH: Outdoor advertising provider Arabian Contracting Services Co., known as Al Arabia, has more than doubled its profits during the first quarter.

Profits of the Riyadh-based firm, partly owned by media giant MBC group, soared to SR64.9 million ($17.3 million) in the first quarter from SR29.6 million during the same period last year, a bourse filing revealed.

Economic recovery, along with a continued digitization push in the Kingdom, led to a 93 percent increase in revenues year-on-year to SR287 million.

Al Arabia said that digital transformation led to an expansion in its client base in the current year to include new sectors, which in turn propelled solid first-quarter figures.