The Weekly Circuit
👋 Hello from the Middle East!
This week, we’re looking at Saudi-backed Lucid Motors’ plan to increase production in the kingdom, the Saudi PIF’s efforts to buy a stake in EuroLeague basketball, TAQA’s $41 million wastewater project in Abu Dhabi and another step forward to hailing electric air taxis in Dubai. But first, AI tech cements partnerships between the U.S. and UAE.
The UAE is teaming up with Microsoft, Nvidia and BlackRock to build data centers with the enormous heft to develop artificial intelligence technology and establish guardrails to protect trade secrets from leaking.
The financial partnership, which BlackRock is launching with its new infrastructure investment unit, Global Infrastructure Partners, would be one of the biggest investment vehicles ever raised on Wall Street, the Financial Times reports.
Microsoft and Mubadala-backed investment company MGX are general partners in the fund while AI chipmaker Nvidia will advise on factory design and integration, according to the FT.
Microsoft and UAE government-owned G42, meanwhile, said they will open two development centers in Abu Dhabi to work on “responsible” AI initiatives. The move comes amid U.S. concerns about deepening Gulf-China ties and potential tech transfers to Beijing.
Welcome to The Weekly Circuit. Read on for the stories, deals and players at the top of the news across the MENA business landscape. Please send comments and story tips to [email protected]
CASH HUB
Travelex eyes lucrative expansion into Saudi Arabia’s airports
As Saudi Arabia opens its doors wider to international tourism, visitors have discovered that it pays to keep some riyals in their wallets,The Circuit’s Omnia Desoukie reports.
That’s an opportunity that Travelex, the U.K.-based currency exchange firm, couldn’t miss out on.
Travelex CEO Richard Wazacz tells The National his company is intrigued by the opportunity of dotting the kingdom’s airports with his company’s currency booths.
RETALER FUNDRAISING
The UAE’s mega-retailer and supermarket chain LuLu Group is preparing to launch an IPO that could be as much as five times larger than any previous IPO for the industry in the MENA region, The Circuit reports.
The offering, scheduled for late October or early November, will be a dual listing aiming to raise between $1.5 billion and $1.85 billion, Zawya reports.
The stock will be traded on both the Abu Dhabi Securities Exchange and Saudi Arabia’s Tadawul.
💲 Sovereign Circuit
Public Investment Fund: Lucid Motors, the PIF-backed U.S. maker of electric vehicles, plans to increase production within Saudi Arabia and export a significant share of its vehicles to both regional and global markets, Ali Rizvi, Lucid Middle East’s Director of Business Operations said on Tuesday at the EV Auto Show in Riyadh.
Qatar Investment Authority: The Qatari sovereign wealth fund is considering raising its 8.8% stake in Spanish power company Iberdrola, Expansion reports.
Abu Dhabi Investment Authority: GIP Aurea, a Singapore-based joint venture between Global Infrastructure Partners and ADIA, has bid on a 30% stake of Malaysia Airports Holdings.
ADQ: Abu Dhabi-based investment firm Lunate, backed by ADQ, has introduced a new exchange-traded fund, the Chimera S&P Germany UCITS ETF, that tracks the top 30 most liquid publicly traded companies in Germany and will be listed on the Abu Dhabi Securities Exchange Sept. 26.
↪↩ Closing Circuit
🏭 Metal Maker: Saudi Arabia’s Maaden mining company, said it acquired SABIC’S 21% stake in Bahrain’s Alba aluminum for $960 million.
📈 Investment Campaign: Oman has introduced 10 new investment opportunities worth $430 million and is offering tax incentives to attract foreign capital, focusing on converting industries, building materials and industrialization technology.
⚡ VC Expansion: U.S.-based venture capital firm Sultan Ventures has acquired Egypt’s Acasia Group, a multi-incubator operator and angel investment syndicate, to expand its presence in the Middle East and Africa. The value of the deal was not disclosed.
🎱 Risky Business: Datricks, an Israeli startup whose AI platform assesses business risk and customer compliance, raised $15 million in a Series A funding round led by Team8 and with participation from SAP.
🇨🇳 China Partners: Saudi Aramco signed agreements with China’s Rongsheng Petrochemical and Hengli Group, in which the world’s largest oil company acquired a 10% stake in Hengli’s petrochemical unit.
🗣 Circuit Chatter
🇯🇵 Free Traders: The UAE and Japan have started formal negotiations on a free trade pact known as a Comprehensive Economic Partnership Agreement, UAE President Sheikh Mohamed bin Zayed announced in a posting on X.
💸 ETF Duet: Saudi Arabia’s first exchange traded funds, or ETFs, investing in Hong Kong’s equities market, will be listed on Riyadh’s Tadawul stock exchange before the end of the year, the Financial Times reports.
🎤 IPO Ambition: Abu Dhabi’s flagship Etihad Airways plans to launch an IPO in 2025 aimed at making the UAE’s capital a global travel hub, Reuters reports.
🏛️Market Relocation: Bahrain’s Manama Central Market is set to be relocated within the next six years, though the exact location is still under review.
🛰️ Startup Growth: Hub71, an Abu Dhabi center for cultivating startups, has added 21 companies in its latest cohort, which have collectively raised a total of $130 million, bringing the number of ventures it supports to 243.
🌍 Power Circuit
UAE President Sheikh Mohamed bin Zayedheld a meeting with Jasem Mohamed Albudaiwi, Secretary-General of the GCC on Monday to discuss a regional strategy for fighting illegal drugs.
Sheikh Mohammed bin Rashid, Vice President and Prime Minister of the UAE, and Ruler of Dubai, visited a cultural district project located within Dubai South’s Azizi Venice community, touring the gallery with Mirwais Azizi, Founder and Chairman of Azizi Developments.
Sheikh Khalifa bin Tahnoon, Chairman of the Abu Dhabi Crown Prince Court, attended the opening ceremony of the World Utilities Congress 2024 this week, meeting with participants to discuss new technologies to address water and air sustainability.
Sheikh Hamdan bin Mohammed, Crown Prince of Dubai, Deputy Prime Minister, Minister of Defense, and Chairman of the Dubai Executive Council, issued an executive order clarifying the conditions of council members’ terms in office.
➿ On the Circuit
Hend Al Otaiba, the first woman to serve as UAE Ambassador to France, announced on X that she is stepping down after three years in the post.
Suhail Al Mazrouei, the UAE Energy Minister, said during the World Utility Congress that clean energy made up 28% of the UAE’s energy mix last year, a significant step toward its 2030 goal of 30% clean energy.
British actor Idris Elba touts the UAE as a comfortable base for companies and investors in a video clip produced for the government’s “Invest in the Emirates” campaign.
Abdulkarim Al-Ghamdi, an Aramco executive vice president, said during the GasTech energy conference in Houston on Tuesday that the world’s largest oil company is taking steps to become a major LNG player as well, pointing to the $500 million stake it purchased this week in U.S.-based MidOcean Energy.
Supermodel Naomi Campbell and fashion entrepreneur Umar Kamani, announced the launch of their new UAE-based talent agency, KC Global Partnerships, which is set to open its headquarters later this month in the Dubai Hills Business Park.
🎶 Culture Circuit
🛕Temple Welcome: The new Baps Hindu temple in Abu Dhabi has produced a 3D film welcoming visitors to the massive shrine that was dedicated by Indian Prime Minister Narendra Modi in February. “The Fairy Tale” captures the efforts of hundreds of sculptors in Indian villages as they carved the temple’s pink sandstone pillars for months before it was shipped to Abu Dhabi.
🎞️Colonial Battles: Egyptian artist Wael Shawky’s “Drama 1882” – a video installation about the struggle against colonialism that was one of the highlights of this year’s Venice Biennale – is going global. After marking its North American premiere at the Toronto International Film Festival on Friday, the piece is heading to the International Documentary Film Festival in Amsterdam. In November, it will be screened at the Public Art Abu Dhabi Biennial.
📷 Photo of the Day
More than 1,900 martial arts athletes took part this week in the Asia Continental Jiu-Jitsu Championship in Abu Dhabi. (Emirates News Agency)
🗓️ Ahead on The Circuit
Sept. 19-20: Abu Dhabi, UAE: Healthcare Leaders Summit. Conference sponsored by Forbes Middle East and PureHealth will draw hospital directors, government health officials, pharmaceutical executives. St. Regis Saadiyat Island Resort.
Sept. 24-25, Dubai, UAE: ACT Middle East Treasurers Summit. Corporate treasurers and financial professionals from across the region gather for policy discussions on issues ranging from cash management to sustainability. Grand Hyatt Dubai.
Sept. 24-26, Dubai, UAE: Arablab 2024. Researchers, investors and government officials gather for conference focused on developments in science, chemicals and the environment. Dubai World Trade Center.
Sept. 24-26, Dubai, UAE: Ru’ya (Emirati Career Fair). Event provides a central platform organized by the Dubai government for job seekers to find private sector jobs.. Dubai World Trade Center.
Sep. 30-Oct. 2, Dubai, UAE: Future Hospitality Summit. Hotel executives, tourism industry leaders and investors converge in Dubai for global industry conference. Madinat Jumeirah.
