Kuwait lender KFH gets Central Bank nod to acquire Bahrain’s Ahli United for $12bn

Kuwait lender KFH gets Central Bank nod to acquire Bahrain’s Ahli United for $12bn
KFH plans to offer one share per 2.695 shares of Ahli United. (Supplied)
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Updated 20 July 2022

Kuwait lender KFH gets Central Bank nod to acquire Bahrain’s Ahli United for $12bn

Kuwait lender KFH gets Central Bank nod to acquire Bahrain’s Ahli United for $12bn

RIYADH: Kuwait Finance House said it has received the Central Bank of Bahrain approval for its acquisition of Bahrain's Ahli United Bank.

As of July 6, JFH has agreed to fully acquire Ahli United Bank for $11.6 billion, according to Bloomberg.

 KFH seeks to offer one share per 2.695 shares of Ahli United, implying a $1.04 offer price

 Through the merger, the Gulf will have its seventh-largest lender worth $115 billion, a rare cross-border acquisition.

KFH states that the final decision must be approved by both banks' general assemblies.


Green bond sales drop 19-month low to $24bn amidst tight issuance windows: Bloomberg 

Green bond sales drop 19-month low to $24bn amidst tight issuance windows: Bloomberg 
Updated 11 sec ago

Green bond sales drop 19-month low to $24bn amidst tight issuance windows: Bloomberg 

Green bond sales drop 19-month low to $24bn amidst tight issuance windows: Bloomberg 

RIYADH: Global sales of green bonds, the largest category of sustainable debt by amount issued, fell to a 19-month low in July. 

According to data compiled by Bloomberg, green bond sales fell to about $24 billion in July from more than $45 billion the previous month. 

This is the lowest since December 2020, when companies and governments issued about $7.7 billion in green debt.

This happened as opportunistic borrowers have also preferred traditional bond offerings that are faster to complete, Bloomberg reported. 

This is also because July, August and December are historically considered the slowest issuance months for green bonds.

 


India In-Focus — Shares inch higher; Bajaj Housing Finance to issue 3-year bonds; DLF Cyber City to issue 2-year bonds

India In-Focus — Shares inch higher; Bajaj Housing Finance to issue 3-year bonds; DLF Cyber City to issue 2-year bonds
Updated 43 min 42 sec ago

India In-Focus — Shares inch higher; Bajaj Housing Finance to issue 3-year bonds; DLF Cyber City to issue 2-year bonds

India In-Focus — Shares inch higher; Bajaj Housing Finance to issue 3-year bonds; DLF Cyber City to issue 2-year bonds

RIYADH: Indian shares edged higher on Wednesday — led by the consumer goods and banking sectors — while losses in tech stocks kept gains in check as traders looked ahead to US inflation data for clues on the pace of rate hikes from the Federal Reserve.

The NSE Nifty 50 index was up 0.07 percent at 17,538.10, as of 0357 GMT, and the S&P BSE Sensex rose 0.09 percent to 58,904.24, having hit a near four-month high in the previous trading session. Indian markets were closed on Tuesday for a holiday.

Nifty’s private bank index was up 0.38 percent and the fast-moving consumer goods index advanced 0.34 percent.

India’s Bajaj Housing Finance to issue 3-year bonds

India’s Bajaj Housing Finance Ltd. plans to raise at least 100 million rupees ($1.26 million) through a sale of bonds maturing in three years, three merchant bankers said on Wednesday.

The housing finance company has invited bids from bankers and investors for the same on Thursday, they said.

The notes are rated AAA by CRISIL and the issue will close for subscription on Friday.

The issue has a greenshoe option to retain an additional 9.90 billion rupees and will mature on Aug. 12, 2025.

DLF Cyber City to issue 2-year bonds

India’s DLF Cyber City Developers Ltd. plans to raise 5 billion rupees ($62.86 million) through the sale of bonds maturing in two years, three merchant bankers said on Wednesday.

The real-estate company will pay a coupon of 7.80 percent on this issue and has invited commitment bids from bankers and investors for the same on Thursday, they said.

The notes are rated ‘AA’ by CRISIL and the issue has a call option at the end of one year and nine months.

The issue will close for subscription on Friday and will mature on Aug. 12, 2024.

(With input from Reuters)


Crypto Moves – Bitcoin and Ethereum fall; Coinbase posts loss amid crypto market turmoil

Crypto Moves – Bitcoin and Ethereum fall; Coinbase posts loss amid crypto market turmoil
Updated 57 min 52 sec ago

Crypto Moves – Bitcoin and Ethereum fall; Coinbase posts loss amid crypto market turmoil

Crypto Moves – Bitcoin and Ethereum fall; Coinbase posts loss amid crypto market turmoil

RIYADH: Bitcoin, the leading cryptocurrency internationally, traded lower on Wednesday, falling 3.69 percent to $22,981 as of 7:46 a.m. Riyadh time.

Ethereum, the second most traded cryptocurrency, was priced at $1,683 falling by 5.46 percent, according to data from Coindesk.

Coinbase posts loss amid crypto market turmoil

In response to this year’s rout in risky assets, Coinbase Global Inc. reported a bigger than expected quarterly loss after the bell on Tuesday, sending its shares down 6 percent, Reuters reported.

Retail trading fell by 68 percent at the cryptocurrency exchange in the second quarter, while institutional trading dropped by 46 percent.

The cryptocurrency exchange’s trading volumes also dropped more than half to $217 billion.

Despite the collapse of certain crypto ventures and a broad selloff in financial markets, Coinbase expects trading volumes to fall further in the current quarter.

The downturn in 2022 has sent Bitcoin 50 percent lower, forced Coinbase to cut jobs and raised fears of a drop in small-scale trading interest.

In the April-June quarter, Coinbase’s monthly transacting users decreased by 2 percent to 9 million.

Based on Refinitiv data, the adjusted loss for the quarter was $4.76 a share. Analysts had expected $2.65 a share. Market expectations were missed by 63 percent.

Despite a 37 percent increase in operating expenses, the company lowered its technology, development, and administration expenditure forecast to between $4 billion and $4.25 billion from $4 billion to $5 billion.

First cryptocurrency import order from Iran

Iran’s semi-official Tasnim agency reported on Tuesday that the Ministry of Industry, Mine and Trade has registered its first official order to import $10 million worth of cryptocurrency, Reuters reported.

Alireza Peymanpak, head of the country’s Trade Promotion Organization said: “This week, the first official import order registration worth 10 million dollars was successfully completed using cryptocurrency.

“By the end of September, the use of cryptocurrencies and smart contracts will be widely used in foreign trade with target countries.”

(With inputs from Reuters)

 


Saudi retailer BinDawood launches express stores in Jeddah, Makkah

Saudi retailer BinDawood launches express stores in Jeddah, Makkah
Updated 10 August 2022

Saudi retailer BinDawood launches express stores in Jeddah, Makkah

Saudi retailer BinDawood launches express stores in Jeddah, Makkah

RIYADH: BinDawood Holding Co., a Saudi-based grocery retail operator of hypermarkets and supermarkets, has opened two Danube Express stores at the Haramain High Speed Railway stations in Jeddah and Makkah.

The opening marks the first express stores with two more to follow in the city of Madinah as well as the King Abdullah Economic City in 2022, the company said.

“The Haramain railway is expected to carry over 60 million passengers annually, and we are thrilled to reach more customers across the Kingdom and introduce them to the Danube experience through the new ‘express’ model,” said Ahmad BinDawood, CEO of BinDawood.

Following the announcement, shares of the retailer rose 1.17 percent to reach SR86.6 ($23) in the early hours of Wednesday.


China In-Focus — Yuan weakens; Lenovo reports slowest revenue growth in eight quarters

China In-Focus — Yuan weakens; Lenovo reports slowest revenue growth in eight quarters
Updated 10 August 2022

China In-Focus — Yuan weakens; Lenovo reports slowest revenue growth in eight quarters

China In-Focus — Yuan weakens; Lenovo reports slowest revenue growth in eight quarters

RIYADH: The yuan eased on Wednesday, weighed down by signs that China’s COVID-19-hit economy is struggling to regain momentum and by lingering concerns over heightened Sino-US tensions over Taiwan.

The currency’s losses were limited, however, by caution ahead of US inflation data later in the global day, which could provide hints to the Federal Reserve’s plans for future monetary tightening and the direction of the dollar.  

The People’s Bank of China set the midpoint rate at 6.7612 per dollar prior to the market open, weaker than the previous fix of 6.7584. 

Factory inflation at 17-month low

China’s factory-gate inflation eased to a 17-month low in July, defying global cost pressures as slower domestic construction weighed on raw material demand, although consumer prices picked up pace, driven mostly by tight pork supplies.

The producer price index rose 4.2 percent year-on-year, the National Bureau of Statistics, said on Wednesday, after a 6.1 percent uptick in June and missing analyst forecasts for a 4.8 percent increase.

China’s producer price growth has slowed from a 26-year high hit in October last year, giving policy makers some leeway to stimulate the flagging economy even as central banks elsewhere scramble to hose down rampant inflation with aggressive interest rate hikes.

China’s Lenovo reports slowest revenue growth in eight quarters

Lenovo Group, the world’s biggest maker of personal computers, reported flat revenue for the April to June quarter when many Chinese cities were hit by COVID-19 lockdowns, marking its most subdued result in eight quarters.

Total revenue during the period was $16.96 billion, up 0.2 percent from the same quarter a year ago though it was in line with an average Refinitiv estimate of $16.87 billion drawn from seven analysts. That was the smallest quarter-on-quarter increase since the period ending in March 2020.

However, Lenovo has made big strides in expanding into other higher-margin businesses such as server operation, information technology services and mobile devices, with Lenovo’s non-PC business now accounting for 37 percent of the company’s revenue. For the quarter, net income attributable to shareholders rose 11 percent to $516 million.

Yang Yuanqing, Lenovo’s chairman and CEO, said the company is “diversifying from a pure PC business to a company that offers a broad range of intelligent products and solutions.”

(With input from Reuters)