Good morning, lovely people. We have a tight issue for you this morning, with an update on e&’s acquisition of PPF’s assets in Europe, news of new feeder funds launched in DIFC, a new trade and economic pact with Chile, and of course, more earnings.

If you’re tuning into the Olympics today, keep an eye out for Emirati swimmer Yousef Al Matrooshi, who will compete in 100 meter freestyle swimming, kicking off at 1:17pm GST.

IN OTHER SPORTS NEWS- Iranian striker Sardar Azmoun, who plays for Bundesliga champions Bayer Leverkusen, is joining Emirati side Shabab Al Ahli, his club announced on X yesterday.

MEANWHILE- Are you planning to be in Egypt on 24 September? You may be interested in attending our 2024 Enterprise Finance Forum. Seating is strictly limited at our flagship, invitation-only forum for C-suite executives and other senior leaders.

Why attend? We’re in the early days of a generational realignment of power in our industry — in our region and beyond — and on the cusp of the biggest intergenerational transfer of wealth the world has ever seen. With that as the backdrop, we’re going to take stock of where we stand six months after the float of the EGP and ask what’s next for finance in Egypt and the wider region. Among the questions we’ll be asking:

  • What roles will Egypt, Saudi and the UAE play in the regional industry going forward?
  • What are foreign investors looking for right now?
  • Is real estate the only asset class in Egypt?
  • What does the next generation of leaders think as they take over established family businesses?

Do you want to request an invitation? Tap or click the image below.

HAPPENING TODAY-

#1- President Sheikh Mohamed bin Zayed Al Nahyan arrived in Egypt yesterday at El Alamein International Airport for an official multi-day visit, the Egyptian National Media Authority reports. Al Nahyan is set to hold discussions with President Abdel Fattah El Sisi and other officials, Egyptian state-owned media outlet Extra News reported (watch, runtime: 1:32). Discussions will likely cover economic investments, regional security, as well as exploring new avenues for cooperation, according to Egypt’s State Information Service.

#2- Trade negotiations between GCC + Turkey kick off: The Gulf Cooperation Council launched talks with Turkey for a trade agreement yesterday, with negotiations set to continue through to tomorrow, Saudi state news agency SPA reports. Saudi Arabia is heading the first round of negotiations, which will focus on the exchange of goods, services, and investment, as well as technical barriers to trade. The discussions aim to outline the framework for future rounds, and set goals for concluding an agreement. The GCC inked a joint statement with Turkey to initiate trade liberalization talks back in March.

Next up: The UK? UK Trade Secretary Jonathan Reynolds reiterated plans to resume trade talks with the GCC, continuing the Tory’s push for trade agreements abroad, in statements to the Financial Times. “Boosting trade abroad is essential to deliver a strong economy at home,” FT cites UK Trade Secretary Jonathan Reynolds as saying, adding that a trade agreement with the GCC would provide “substantial” economic benefits for the government, with some GBP 19 bn already invested between the UK and GCC countries by 2021. Six rounds of talks between the UK and GCC have taken place so far, the last in February 2024.

WEATHER- The mercury peaks at 42°C in Dubai, with an overnight low of 36°C, while temperatures in Abu Dhabi will hit a high of 36°C before cooling to an overnight low of 33°C.

PUBLIC SERVICE ANNOUNCEMENT-

#1- Dubai launched two new marine transport lines connecting Dubai Creek Harbour with key areas in the emirate, Wam reports. For a flat fare of AED 2 per stop, one line will operate during weekends from Creek Harbour to Dubai Festival City from 4-11:55pm, while the second line will run on weekdays from Creek Harbour to Al Jaddaf Marine Transport Station and Al Khor Metro Station from 7:30-10:50am and 4-9:50 pm.

#2- Registered tax agents can now obtain accreditation for their accounting services through the Federal Tax Authority’s online platform, EmaraTax, the authority announced.

#3- Over 240 phishing pages have been replicating official Dubai government repayment websites like DubaiPay and Salik using the Digital Dubai Authority website’s interface to steal users’ financial information, cybersecurity firm Kaspersky warned, stating that the scam campaign has been active since April.

WATCH THIS SPACE-

#1- Fujairah eyes investments in Egypt: The government of Fujairah discussed potential investments in Egypt’s petroleum sector during a visit by Egyptian Petroleum Minister Karim Badawi to Fujairah, according to a statement by the Egyptian Petroleum and Mineral Resources Ministry. Discussions included the emirate partnering with Egypt to develop joint projects aimed at enhancing petroleum storage and handling infrastructure in Egypt, as well as cooperation on ship bunkering.

Fujairah Ruler Sheikh Hamad bin Mohammed Al Sharqi received Badawi at Al Rumaila Palace, where he was briefed by the Egyptian minister on the country’s energy sector, its future growth plans, and ongoing efforts to advance the industry, Wam reports. The discussions followed the minister’s visit to the Port of Fujairah, the Fujairah Oil Industry Zone, Fujairah Natural Resources Corporation, and Brooge Energy.

#2- Pakistan is set to secure a USD 7 bn bailout from the International Monetary Fund, pending final approval by the end of August, Bloomberg reports. The financial cover will aid the South Asian country in managing its foreign debt obligations by facilitating the implementation of fiscal reforms.

ICYMI- Pakistan held talks with the UAE, Saudi Arabia, and China to secure financial support for three years in order for the IMF to approve reprofiling its USD 7 bn debt with extended maturities.

#3- Ewec launches gas turbine tender: Abu Dhabi’s utilities provider Emirates Water and Electricity Company (Ewec) has issued a request for proposals (RFP) for the development of an open-cycle gas turbine facility in the Madinat Zayed area, southwest of Abu Dhabi, according to a statement. Ewec expects to receive bids in 4Q 2024. The successful bidder will hold a 40% ownership stake in the facility, while the remaining 60% will be owned “indirectly” by the Abu Dhabi Government, while Ewec will be the sole procurer of the generated energy.

About the facility: The plant will have a backup generation capacity of up to 1.5 GW and is slated to be operational by 3Q 2027. The plant is set to boost the integration of renewable energy into the emirate’s power grid.

#4- Masdar seeks further investments in Europe after stake in Spain’s Endesa: Renewable giant Masdar is eyeing more acquisitions of both minority and controlling stakes in Europe’s green energy sector, with the continent set to be a crucial part of its plan to reach its 100 GW target capacity by 2030, its CFO Mazin Khan told Reuters.

Just the start of a wider plan for Europe: The acquisition of a stake in Endesa’s portfolio is just the start of Masdar’s ambitious plan for Europe, Khan said. His statements come days after Masdar secured a transaction that would see it acquire a 50% stake in Spanish power firm Endesa’s solar power installations subsidiary EPGE Solar for AED 3.3 bn. The acquisition will make Masdar a partner in 2.5 GW of renewable energy assets in Spain.

And there’s more to come: Masdar also signed an MoU with Endesa to potentially develop an additional 3 GW of solar capacity, Khan said, without providing further details. The Financial Times had reported earlier this week that the two companies are looking at potentially developing 5 GW of solar generation in Spain, along with stakes in projects by Enel in Brazil and the US, two sources told the Financial Times.

DATA POINTS-

#1- W Capital expects 30k residential units to be handed over in Dubai in 2H 2024 as developers push projects under development forward to address heightened demand, the Dubai-based real estate broker said in a note picked up by Zawya. This will take total handovers in 2024 to around 48k units, before potentially crossing 65k the following year and reaching 70k in 2026, according to W Capital estimates.

“The market has reached a state of maturity… It seems that that trend will continue and the pace of rise will not slow down soon” as more large-scale projects launch in the emirate, driven by rising investors’ confidence, W Capital CEO Walid Al Zarooni said.

ICYMI- Real estate services firm Cushman & Wakefield expected in January that 32k residential units will be delivered in Dubai this year.

#2- The UAE was the most targeted nation for M&A transactions in 1H 2024, followed by Saudi Arabia, and Egypt, according to a recent LSEG report picked up by Zawya. The value of M&As in the region — including inbound, outbound, and domestic transactions — went up 48% y-o-y to USD 46.6 bn, despite a 5% drop in the number of transactions.

The value of outbound MENA M&A transactions hit its highest since 2007 in 1H 2024 at USD 28.6 bn, with a 77% y-o-y increase — boosted by the state-run oil company Adnoc’s ongoing bid to acquire German chemicals company Covestro in a transaction that could value the latter at EUR 11.7 bn, setting it up to be the biggest acquisition from a Middle East buyer in Europe in 16 years.

Inbound M&A transactions from non-MENA investors jumped 55% y-o-y in value in 1H 2024 to USD 11.2 bn, while total inbound acquisitions came in at USD 17.6, up 22% y-o-y. Domestic M&As fell 12% y-o-y to 6.3 bn, its lowest in seven years.

#3- The Dubai Chamber of Digital Economy backed 3x more startups in 1H 2024 compared to the same period last year, supporting 215 digital startups, up from 69, Wam reports. The startups had a combined market value of around USD 7 bn. The Chamber also trained 243 Emiratis under its Create Apps in Dubai initiative, which aims to enhance digital skills and increase the number of app developers in Dubai.

THE BIG STORY ABROAD-

It’s another day dominated by politics, with little business news of which to take note.

Venezuela is getting prominent play on front pages this morning after longtime president Nicolás Maduro claimed victory despite the opposition candidate Edmundo González having had the lead in most polls and exit surveys. Venezuelans took to the streets in protest and a number of countries are expressing concern, the Financial Times reports.

The US is cautioning Israel against striking Lebanon’s capital or any major infrastructure following the strike on Golan Heights, Reuters reports. Airlines including Lufthansa, Aegean, and Air France have stopped flights to Lebanon, Bloomberg.

In business news, a single AI story and the first slump in Mcdonald’s sales since 2020 are getting attention.

The AI story in question? Apple revealed in a research paper that it has been using Google’s chips to build and train its new AI software infrastructure, the first real dent in the armor of Nvidia, which has an 80% share of the AI chip market, Reuters reports.

OLYMPICS-

It’s a relatively quiet day in the Olympics, with the highlight being rowing, tennis, and lots of rugby sevens. The men’s triathlon is also scheduled to take place today.

In tennis yesterday: Spain’s Rafael Nadal exited the tournament, losing to Serbia’s Novak Djokovic. The Olympics’ website has the rundown on the big names that have made it through to the third round of the men’s and women’s singles.

Surfing also made headlines in Tahiti’s Teahupo’o — also known as the End of the Road, as it is seen as one of the most deadly surfing spots in the world due to the size of its waves and the large, shallow reef at its bottom. The third round of surfing saw favorites exit the competition after a brutal set of eight heats in which two riders went head-to-head, with only one advancing from each run.

The medal standings now at the Paris Olympics:

  • Japan (6 gold, 12 overall)
  • France (5 gold, 16 overall)
  • China (5 gold, 12 overall)
  • Australia (5 gold, 9 overall)
  • South Korea (5 gold, 9 overall)

But Enterprise, US media says Amreeka is at the top of the table… US athletes have so far taken home more hardware (20 medals overall vs 16 for France), but the Olympics themselves ranks countries by the number of golds a country has picked up — not by total medal count.

Want to see when your favorite sport is on? Check out the official schedule here.

CIRCLE YOUR CALENDAR-

The annual jiu-jitsu tournament, the Abu Dhabi Extreme Championship, is returning to Abu Dhabi at the Mubadala Arena on 2 August, Wam reports.

Abu Dhabi will play host to a big night for mixed martial arts fans on 3 August at Etihad arena. The UFC Fight Night will see the return of MMA champion Nick Diaz, who has been out of the limelight since 2021, as he goes head to head with Tony Ferguson.

Also set to clash: Former flyweight champion Deiveson Figueiredo will face bantamweight title challenger Marlon Vera, while world number 2 bantamweight contender Cory Sandhagen will headline against Umar Nurmagomedov.

The World ESG Summit is scheduled to take place on 20-21 August at Dusit Thani in Dubai. The two-day business conference will gather public and private sector players from key sectors like energy, utilities finance, and manufacturing to explore ESG integration across all industries.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

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