LuLu prepares for biggest retailer IPO in the MENA region
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 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.
Emirates NBD Capital, HSBC Holdings, Abu Dhabi Commercial Bank, and Citigroup have been hired to manage the offering, Zawya said.
Saudi Arabia cuts hotel fees to stimulate its tourism industry
Saudi Arabia is tearing down barriers to entry when it comes to tourism.
Having poured billions into developing its Red Sea spas, historical desert sites and sporting events, the kingdom has decided to scrap municipal licensing fees for hotels, hotel apartments, and residential resorts.
The move reflects the country’s efforts to transform the economy away from its longtime dependence on oil and develop industries such as tourism, finance and manufacturing.
Saudi Arabia has been determined to strike a balance between making foreigners feel welcome while guarding the Islamic country’s conservative ideals.
Emirates Development Bank to provide billions in new financing to private sector
Emirates Development Bank (EDB) is loosening the purse strings, aiming to massively increase financing to the private sector by 2026.
The bank announced it will provide financing worth AED 30 billion ($8.2 billion) by 2026, targeting the 13,500 companies operating in key sectors for the UAE’s diversification efforts, including renewable energy, industry, advanced technology, healthcare and food security, according to Shaker Zainal, Business Finance Director at EDB.
On the sidelines of the Make it in the Emirates Forum on Monday, he said the bank has allocated $1.36 billion in financing for industrial projects so far this year.
Access to financing is one of the top hurdles for small- and medium-sized enterprises looking to grow in the Gulf. To address the access to credit or equity financing gap, development banks across the region have cropped up in the last decade, with EDB launching in 2015.
World Future Energy Summit brings industry, investors to UAE
Corporate executives and investors are gathering in Abu Dhabi this week for the World Future Energy Summit, where the global response to climate change will top the agenda.
Dr. Sultan Al Jaber, UAE Minister of Industry and Advanced Technology and President of COP28, called the conference, which starts on Tuesday, a “crucial platform” for governments and the private sector. Dr. Al Jaber, who is also Chairman of alternative energy company Masdar and CEO of the Abu Dhabi National Oil Co., or ADNOC, said he hopes the conference will drive investments into the world energy transition from carbon-based fuels.
The UAE is set to put its green bona fides forward as it aims to triple its renewable energy capacity to 30% by 2030 and establish a hub for hydrogen fuel production and distribution in the coming decades.
TAQA, the energy company backed by sovereign wealth fund ADQ, is an anchor partner of the Abu Dhabi summit and will be joined by speakers including Abdulnasser Bin Kalban, CEO of Emirates Global Aluminum; Ali Tahir Jaffery, Director of Standard Chartered Bank; and Amy Lehoczky, Director of ESG at Abu Dhabi’s AI firm G42. Also appearing will be executives from German giant Siemens and Saudi Arabia’s Acwa Power.
Masdar, which last month bought a 50% stake in Terra-Gen, one of the largest private renewable energy producers in the U.S., is also set to host a parallel conference focused on hydrogen.
Former U.K. Prime Minister Boris Johnson will visit Abu Dhabi on Tuesday to address the conference amid increasing cooperation between the UAE and the UK on developing alternative energies. Masdar is looking to develop or acquire an energy portfolio of at least 100 GW capacity by 2030.
