Good morning, wonderful people. We kick off the workweek with a busy issue, with big M&A news from the ADQ and Abu Dhabi Investment Authority.

ADQ has agreed to acquire a minority stake in Sotheby’s, in a move that could see the fine arts collector open up a branch in Abu Dhabi; while an Abu Dhabi Investment Authority consortium has received the greenlight for the GBP 5.41 bn takeover of British investment platform Hargreaves Lansdown. We have more in the news well, below.

BUT FIRST- We’re getting two new anti-money laundering (AML) and counter-terrorism financing (CFT) committees, in line with new government amendments to provisions related to AML and CFT, Wam reports. The amendments will see a National Committee for AML/CFT and Combating the Financing of Illegal Organizations established, as well as a Supreme Committee for the Oversight of the National Strategy for AML/CFT, tasked with assessing and overseeing the effectiveness of strategies and measures rolled out.

REMEMBER- The UAE has been boosting its anti-money laundering efforts in recent years in a bid to get marked off the Financial Action Task Force (FATF) ’s graylist, and it finally did so in February of this year. The government also said it would roll out a national AML / CFT strategy until 2027 in the coming months.

WEATHER- Temperatures have cooled down in Dubai, with the mercury peaking today at 38°C, before cooling to an overnight low 35°C. Abu Dhabi will hit a high of 37°C, and an overnight low of 34°C.

WATCH THIS SPACE-

#1- GulfNav’s Brooge acquisition could take place this month: Nasdaq-listed Brooge Energy will hold an extraordinary general assembly on 26 August to appoint a new board of directors that will initiate signing procedures for its merger with maritime and shipping company GulfNav, Al Bayan reports. An undisclosed financial firm was hired to evaluate the transaction, while Hadef & Partners and Middle East Alliance Legal Consultancy (ME-Alliance) are handling legal affairs.

REMEMBER-Gulfnav submitted a proposal earlier in the year for the structure of the acquisition of oil storage outfit Brooge Petroleum and Gas Investment Company to the Securities and Commodities Authority, after submitting a proposal to fully acquire the company from Brooge Energy back in October 2023. The acquisition was initially expected to close in 4Q 2023. GulfNav said last month it aims to complete the evaluation within the coming weeks.

#2- Petrobras dials back expectations of a potential buyback of Mataripe refinery from Mubadala: Brazil’s state-controlled oil firm Petrobras said re-acquiring the Mataripe refinery from Abu Dhabi’s sovereign wealth fund Mubadala is “not a priority,” Bloomberg quotes Petrobras CEO Magda Chambriard as saying. The transaction is “a business like any other proposed to Petrobras,” Chambriard said, adding that the company is currently analyzing a proposal from Acelen, the company Mubadala set up to run the refinery. It has yet to set up the corporate model for a potential repurchase, Petrobras CFO Fernando Melgarejo said, emphasizing that any transaction depends on economic viability.

REFRESHER- Petrobras was said to be finalizing due diligence last month to re-acquire the Mataripe refinery from Mubadala, after selling it for USD 1.65 bn in 2021. Rumors of a potential buyback began circulating earlier this year, when Mubadala signed an MoU with Petrobras to partner on a USD 13.5 bn biofuels project in Brazil.

#3- The UAE is set to participate in the Turkmenistan Investment Forum on 19-20 September, Al Bayan reports. The event will focus on investment prospects in the country’s oil and gas, energy, construction, and agriculture sectors and will feature high-level discussions on the fuel and energy sectors and smart agriculture. Turkmenistan will showcase the ongoing expansion of the Galkynysh gas field as well as the Turkmenistan-Afghanistan-Pakistan-India gas pipeline project, which transports 33 bn meters of gas annually.

UAE energy firms have a foothold in Turkmenistan: Petrofac’s UAE-based engineering & construction unit Petrofac Emirates landed a USD 200 mn contract to manage the Galkynysh Gas Field, marking one of the largest engineering, procurement, construction and commissioning (EPC) projects for Turkmengas. Meanwhile, state-owned Dragon Oil has plans to develop oilfields in the country.

DATA POINTS-

#1- The national in-country value (ICV) program has redirected over AED 48 bn to the national economy in 1H 2024, Wam reports. Currently including 31 federal and local entities and national companies, the program saw investments made by ICV certified companies hit nearly AED 205 bn by mid-2024, a 20% y-o-y increase from 1H 2023. National spending on local procurement surged to AED 67 bn in 2023, marking a 25% y-o-y increase

ICV certification? ICV certificates are issued as part of the UAE’s in-country value program, which rewards companies that prioritize localizing supply chains and attracting foreign investments. The certificate hands them an advantage in tenders and contracts.

#2- Public transport users in Dubai grew 6% y-o-y in 1H 2024 to 361.2 mn, with the daily average number of riders reaching near 2 mn during the six-month period, Dubai’s Roads and Transport Authority (RTA) said in a statement. The Dubai Metro saw the lion’s share of users with 133 mn passengers (37%), followed by taxis (27%) and public buses (24.5%). Shared mobility transport methods — including e-hail vehicles, rental vehicles, and on-demand buses — transported some 27.8 mn passengers.

Looking ahead: The RTA aims to increase the share of public and shared transport journeys to 25% by 2030, up from 20.9% by the end of 2023.

THE BIG STORY ABROAD-

The international business press is having another slow morning without one unifying story taking the lead. A few of the stories getting top billing this morning:

From the campaign trail: Kamala Harris is more trusted among American voters to handle the country’s economy than Donald Trump, coming in one percentage point above the former US president in a recent survey, the Financial Times reports. Although Harris’ edge over Trump is narrow, the current vice president polled seven percentage points higher than US President Joe Biden’s performance in US voter sentiment.

Israel is doubling down on its defenses and shoring up resources such as alternative fuel supplies as it expects a retaliatory attack from Iran could be imminent. Iran has vowed to respond to Israel for the assassination of Hamas political leader Ismail Haniyeh in Tehran last month. Meanwhile, Israel is also ordering more displaced Palestinians in Khan Younis to evacuate the area, which it declared a “dangerous combat zone.” (Bloomberg | Reuters)

OLYMPICS-

The 2024 Paris Olympics closing ceremony wrapped overnight at Stade de France, marking the end of the summer games after two and a half weeks of action. The end of the Games earned plenty of attention (New York Times | BBC | The Guardian)

The ceremony featured performances by French band Phoenix, an iconic jump of Tom Cruise from the roof of the stadium, H.E.R., Red Hot Chilli Peppers, Billie Eilish, Snoop Dogg, and Dr Dre.

While Team USA tied with China for gold medals, USA topped the charts for overall medal count as they gear up to host the next 2028 summer games in Los Angeles. The US team is going home with a total of 125 medals, leaving one behind after gymnast Jordan Chiles was stripped of her bronze medal from last week’s floor final after the International Olympic Committee (IOC) ruled against her in a score dispute.

Not leaving the city of love just yet: As the Olympics wind down, the Paralympics are gearing up to kick off. Taking place in Paris as well, the Paralympics will start on Wednesday, 28 August and continue for 11 days.

New games, new boss: Thomas Bach’s 12-year stint as IOC president is coming to an end, as per IOC governance rules limiting each person’s term to 12 years, AP reports.

The medal table:

  • USA (40 gold,125 overall)
  • China (40 gold, 91 overall)
  • Japan (20 gold, 45 overall)
  • Australia (18 gold, 53 overall)
  • France (16 gold, 64 overall)

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.

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CIRCLE YOUR CALENDAR-

Dubai is set to host the UAE-Russia Investment Forum on 1 October at the Millennium Dubai Hotel, a press release reads. The one-day event will explore new investment opportunities and address business challenges amid geopolitical changes.

Startup exhibition Gitex Global is scheduled to be held on 14-18 October in Dubai at the World Trade Center, bringing together over 6k startups across the AI, cybersecurity, mobility, edtech, and sustainable tech sectors, among others.

Abu Dhabi will host the International Union for Health Promotion and Education (IUHPE) World Conference on 13-16 May 2025, marking the first time the event is held in the Middle East, Wam writes. Organized by the Abu Dhabi Public Health Centre (ADPHC), the conference will focus on global health challenges, promoting health education, and international collaboration.

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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