Dubai’s Parkin to sell 24.99% stake in IPO 

Dubai’s Parkin to sell 24.99% stake in IPO 
Parkin’s shareholder, Dubai Investment Fund, plans to sell all of the 749.7 million shares in the offering, the firm said, adding it expects to make its bourse debut next month. Shutterstock
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Updated 27 February 2024
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Dubai’s Parkin to sell 24.99% stake in IPO 

Dubai’s Parkin to sell 24.99% stake in IPO 

DUBAI: The Dubai government is selling a 24.99 percent stake in Parkin, which oversees public parking operations in the emirate, through an initial public offering in the emirate’s first privatization deal this year, Parkin said in a statement on Tuesday. 

Parkin’s shareholder, Dubai Investment Fund, plans to sell all of the 749.7 million shares in the offering, the firm said, adding it expects to make its bourse debut next month. 

The offering begins on March 5, with a price range announced on the same day, and the subscription period ends on March 12 for retail investors and on March 13 for qualified investors. 

Reuters was first to report in June last year that the Roads & Transport Authority was considering strategic options for its parking business and invited banks to pitch for roles in a potential IPO. 

Parkin operated about 179,000 paid public parking spaces across the Dubai emirate of the end of last year, of which 4,000 or so were at multi-storey car parks. It also manages an additional 18,000 spaces at developer-owned facilities, it said. 

The RTA is monetizing assets on behalf of the Dubai government as part of a wider privatization program to list state-linked companies and boost attention to its exchange. 

The RTA raised $1 billion from the sale of a 25 percent stake in toll-road operator Salik in 2022 and another $315 million in December from the sale of another 24.99 percent stake in Dubai Taxi Corp., its public taxi business. 

Both deals garnered strong demand from investors; books were oversubscribed multiple times. 

A post-COVID economic rebound, neutral political stance, ease of doing business, convenient time zones, and tax-free status have all contributed to Dubai's attracting droves of wealthy individuals in recent years. 

The number of residents in the city jumped by 100,240, official statistics show, reaching 3.65 million people at the end of last year, compared with 3.55 million people on Jan. 1, 2023. 

Rothschild was appointed as an independent financial adviser while Emirates NBD, Goldman Sachs and HSBC are acting as joint global coordinators and joint bookrunners. 

After the offering, Parkin plans to pay a semi-annual dividend in April and October, Chief Financial Officer Khattab Abu Qaoud said. He added that the minimum dividend payout for 2024 would be more than the net profit for the year, or exceed free cash flow to equity. 

Companies domiciled in the Gulf Cooperation Council raised $11 billion in IPO proceeds in 2023, down 45 percent from 2022. GCC IPOs accounted for 40 percent of proceeds raised in EMEA during 2023, down from 56 percent during 2022, LSEG data showed. 

Parkin reported revenues of 779 million dirhams ($212.11 million) in 2023, up 14 percent from a year earlier, while its core profit rose 23 percent to 414 million dirhams. 


Jordan’s new mining strategy is set to create a $2.9bn industry 

Jordan’s new mining strategy is set to create a $2.9bn industry 
Updated 12 sec ago
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Jordan’s new mining strategy is set to create a $2.9bn industry 

Jordan’s new mining strategy is set to create a $2.9bn industry 

RIYADH: Jordan’s mining sector is set to grow substantially, with projections indicating that its contribution to the nation’s gross domestic product will reach 2.1 billion Jordanian dinars ($2.9 billion) by 2033. 

Up from 0.7 billion dinars in 2023, this ambitious target is part of the government’s newly announced initiative to transform Jordan into a mining state by 2033, as outlined in the country’s National Mining Strategy. 

This strategic overhaul aims to elevate the sector’s workforce to 27,500 and boost the value of its exports to 3.5 billion dinars from 1 billion dinars, according to a report issued by the state-owned Jordan News Agency, also known as Petra.   

The strategy emerges from its Economic Modernization Vision and is backed by directives from Jordan’s King Abdullah, emphasizing the need to accelerate investment-stimulating procedures in mineral exploration.  

A cornerstone of this transformation was the formulation of the strategy, spearheaded by the global consultancy firm Wood Mackenzie.  

In 2023, the Jordanian Ministry of Energy and Mineral Resources completed initiatives and projects under the EMV for the mining sector and set priorities within the vision’s executive program.  

The vision’s main pillars revolve around expediting the nation’s full economic potential while improving the quality of life for its citizens and maintaining sustainable measures. 

Moreover, the ministry’s proactive engagement has led to the signing of 11 memorandums of understanding to bolster investment in Jordan’s extractive industries.  

An additional three memorandums of cooperation were signed with various companies to further these goals.  

According to statements made to Petra, the ministry plans to continue advancing these undertakings throughout 2024, pushing these MoUs toward value-added mining operations.  

These initiatives are part of the nation’s ongoing efforts to boost its standing in the mining and minerals industry. 

In a report carried by Petra earlier in January, the ministry said that it aims to position the country on the global mining map by capitalizing on positive mineral exploration results. 

Over the past two years, the country established several partnerships with international companies in mining exploration.  

Moreover, it recently launched an investment platform to showcase national resources and opportunities in the energy sector. 


Egypt to increase funds for health sector by 25% in upcoming budget

Egypt to increase funds for health sector by 25% in upcoming budget
Updated 43 min 52 sec ago
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Egypt to increase funds for health sector by 25% in upcoming budget

Egypt to increase funds for health sector by 25% in upcoming budget

RIYADH: Egypt will increase health sector allocations in the next general budget to 495.6 billion pounds ($10.4 billion), according to the country’s finance minister. 

The North African country’s upcoming fiscal year is set to begin in July. Mohamed Maait said in a statement that this reflects an annual growth rate of 24.9 percent compared to the funds allocated for the sector in the current fiscal. 

This is in line with the nation’s goal to improve medical services for citizens, which is also an objective of Egypt’s Vision 2030.

Moreover, the minister added that allocations for the education sector will also be raised to 858.3 billion pounds, with an annual growth rate of 45 percent. 

Scientific research reserves are also on track to increase to more than 139.5 billion pounds in the next budget, reflecting an annual growth rate of 40.1 percent.


Oman’s top 5 ports handle over 93.2m tonnes of cargo in 2023

Oman’s top 5 ports handle over 93.2m tonnes of cargo in 2023
Updated 50 min 24 sec ago
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Oman’s top 5 ports handle over 93.2m tonnes of cargo in 2023

Oman’s top 5 ports handle over 93.2m tonnes of cargo in 2023

RIYADH: Oman’s top five ports saw a 1.5 percent annual increase in cargo handling in 2023, surpassing 93.2 million tonnes, underscoring their growing significance in maritime trade.  

The terminals of Sultan Qaboos, Salalah Sohar and Khasab as well as Shinas, and A’Suwaiq handled approximately 91.8 million tonnes of general, liquid, and bulk cargo in 2022, according to the Oman News Agency. 

It also highlighted a significant increase in the number of berthed ships in 2023, reaching approximately 11,005 vessels compared to 10,553 watercraft in 2022, marking a 4.3 percent rise. 

Cruise ship passengers at the Sultan Qaboos, Salalah, and Khasab Ports have increased considerably. This achievement reflects the government’s collaborative efforts with tourism partners to enhance hospitality traffic to Oman. 

The news agency added that the government succeeded in attracting major cruise ship operators to several Omani connection points, including Salalah, Khasab, and Sultan Qaboos Port. 

It also reported that in 2023, 229 cruise ships brought 599,000 passengers to Omani terminals, compared to around 87 ocean liners carrying over 205,000 travelers in 2022. This represents an increase of over 190 percent in commuters. 


Saudi ADES secures $93.3m contract to operate jack-up rig in Qatar

Saudi ADES secures $93.3m contract to operate jack-up rig in Qatar
Updated 19 min 45 sec ago
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Saudi ADES secures $93.3m contract to operate jack-up rig in Qatar

Saudi ADES secures $93.3m contract to operate jack-up rig in Qatar

RIYADH: Saudi drilling firm ADES is set to operate a SR350 million ($93.3 million) jack-up rig in Qatar, having secured a contract from TotalEnergies.  

ADES noted in a statement to Tadawul that the letter of award from the French petroleum company includes a mandatory and optional extension period of up to 18 months. 

The project is expected to commence in the second half of 2024, utilizing the firm’s fleet of jack-up offshore drilling units. 

Additionally, ADES indicated that the contract will enable it to maintain its market share in Qatar by operating three drilling rigs. This comes after the relocation of its Emerald Driller platform to Indonesia, anticipated to take place in the second half of 2024. 

Commenting on the letter of award, Mohamed Farouk, CEO of ADES Holding, said: “We are very pleased with our ability to quickly market and secure new campaigns for the five recently suspended rigs in Saudi Arabia.”

Farouk added: “New capacities made available have allowed us to quickly find a technically suitable unit to maintain our three-rig presence in Qatar following the planned departure of our jack-up rig, Emerald Driller, from Qatar to Indonesia in the second half of 2024.”  

He added that the Emerald Driller had delivered an exceptional safety and operational performance during its operation in the Al-Khaleej field over the past few years, and “we look forward to continuing our journey in Qatar with our client and to providing exceptional safety and operational performance that has become synonymous with the ADES name.” 

In November, ADES Holding Co. secured three new contracts totaling $293 million, marking its entry into Indonesia and strengthening its presence in Algeria. 

The company announced its foray into Southeast Asia with a long-term contract valued at SR803 million with Pertamina Drilling Services Indonesia, according to a bourse filing. 

ADES will operate Pertamina’s existing jack-up drilling rig, Emerald Driller, located in the Java Sea. This contract, comprising a three-year firm period and a two-year option, is slated to commence in the second half of 2024.  

With this expansion, ADES now operates in eight countries. 

“We are pleased with the opportunity to enter the Indonesian market through our strategic partnership with Pertamina Drilling Servies Indonesia, who is a leading drilling contractor in Southeast Asia, to provide our best-in-class drilling service to Pertamina in Region 2,” said Farouk.   

With this award, he said ADES extends its geographical footprint to a promising and demanding market, namely Indonesia and Southeast Asia.


Najran Municipality introduces 20 investment opportunities in Yadamah governorate 

Najran Municipality introduces 20 investment opportunities in Yadamah governorate 
Updated 14 April 2024
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Najran Municipality introduces 20 investment opportunities in Yadamah governorate 

Najran Municipality introduces 20 investment opportunities in Yadamah governorate 

RIYADH: Saudi Arabia’s Najran Municipality has unveiled 20 diverse investment opportunities across the governorate of Yadamah, encompassing commercial, sports, recreational, shopping, and event activities. 

These prospects are dispersed across various locations within the locale, including parks, squares, main roads, and public walkways, as reported by the Saudi Press Agency. 

The municipality clarified that the investment opportunities range from temporary agreements to investment deals spanning five to 25 years in various activities. It invited interested investors to review the possibilities and details of the competition through the Forsah platform, which translates to “opportunity” in English.