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Saudi Manpower Solutions Soars on Strong Demand, Prices Shares at Offering Maximum

By
Shams
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SAUDI MANPOWER SOLUTIONS COMPANY FINAL OFFER PRICE SET AT UPPER END OF RANGE AS STRONG INVESTOR INTEREST DRIVES OVERSUBSCRIPTION

SAUDI MANPOWER SOLUTIONS COMPANY (“SMASCO” or the “Company” or the “Group”) the leading manpower solutions company in the Kingdom of Saudi Arabia (the “Kingdom”), announces the successful completion of the institutional bookbuilding process and the determination of the final offer price (the “Final Offer Price”) for its initial public offering (the “IPO” or “Offering”) on the Main Market of the Saudi Exchange. 

Following a highly successful bookbuilding process, the Final Offer Price has been set at SAR 7.5 per share, with a market capitalization of SAR 3 billion (USD 800 million) at listing. The price range for the Offering was set at SAR 7 to SAR 7.5. 

The institutional bookbuilding process generated an order book of around SAR 115 billion (USD 31 billion) and was 128x oversubscribed, indicating strong investor demand.  

FINAL OFFER PRICE OVERSUBCRIPTION PROCEEDS AND MARKET CAP
The Final Offer Price has been set at SAR 7.5 per share, at the top of the previously announced price range of the IPO of SAR 7 to SAR 7.5  The institutional book-building process generated an order book of SAR 115 billion and resulted in a subscription coverage of approximately 128x. The Offering raised gross proceeds of approximately SAR 900 million, implying a market capitalization for the Company of SAR 3 billion at listing.

The retail subscription period will take place from Sunday, 18/11/1445H (corresponding to 26/05/2024G) to Monday at 5:00 PM KSA time, 19/11/1445H (corresponding to 27/05/2024G). Individual investors will subscribe at the Final Offer Price. 

Abdullah Rakan Altimyat, Chief Executive Officer of SMASCO commented: “We are delighted to have secured strong institutional investor support for our IPO and to announce the final offer price following an exceptionally robust bookbuilding process. This support reflects the strong confidence investors have in our strategic direction, operational excellence and our role as a leader in the manpower solutions sector in the Kingdom and has resulted in an order book 128x oversubscribed. Our success in building a leading market share driven by constant innovation to take advantage of the expanding market in which we operate positions us  for further future growth and as the preferred choice for both corporate and individual manpower solutions across the Kingdom.“

CONFIRMATION OF OFFER DETAILS

  • The Final Offer Price for the Offering has been set at SAR 7.5 per share, indicating the Company’s market capitalization of SAR 3 billion (USD 800 million) at listing.
  • The total size of the Offering is SAR 900 million (USD 240 million). 
  • The Offering will consist of a secondary offering of 120,000,000 ordinary shares (the “Offer Shares”) representing 30% of the Company’s total issued share capital). 100% of the Offer Shares have been provisionally allocated to certain institutional investors (the “Participating Parties”) that took part in the book-building process. The Financial Advisor may, in coordination with the Company, reduce the number of Offer Shares allocated to Participating Parties to 108,000,000 Offer Shares, representing 90% of total Offer Shares to accommodate individual subscriber demand. The final number of Offer Shares allocated to the Participating Parties will be clawed-back accordingly based on subscriptions from individual investors.
  • Following completion of the Offering, the current shareholders will collectively own 70% of the Company’s share capital. 
  • Following listing, the Company will have a free float of 30% of its shares.
  • A maximum of 12,000,000 Offer Shares, representing 10% of the total Offer Shares, will be allocated to individual subscribers.
  • The Company’s shares will be listed and traded on the Saudi Exchange’s Main Market following the completion of the Offering and listing formalities with both the CMA and the Saudi Exchange.
  • The net proceeds of the Offering will be received solely by the selling shareholders. 

OFFERING TIMETABLE

IPO Milestone Date
Retail Offering Commencement  Sunday, 18/11/1445H (corresponding to 26/05/2024G) 
Retail Offering Closing Monday at 5:00 PM KSA time, 19/11/1445H (corresponding to 27/05/2024G)
Deadline for Payment of the Subscription Amount by Participating Entities Based on their Provisionally Allocated Offer Shares On Thursday 15/11/1445H (corresponding to 23/05/2024G)
Announcement of the Final Allocation of the Offer Shares On or before Monday 26/11/1445H (corresponding to 03/06/2024G)
Refund of Excess Subscription Monies

(if any)

 On or before Monday 04/12/1445H (corresponding to 10/06/2024G)
Expected Commencement Date for Trading the 

Shares 

 Trading of the Company’s shares on the Saudi Exchange is expected to start after the completion of all of the relevant legal requirements and procedures. The trading commencement date of the shares will be announced in local newspapers and Saudi Exchange’s website (www.saudiexchange.sa).

 

For more information about the IPO, please visit: https://ipo.smasco.com/

Drive Finance Issues Securitization Bonds Worth 1.4 Billion EGP

By
Shams
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Drive Finance Issues Securitization Bonds Worth 1.4 Billion EGP

Drive Finance, a subsidiary of GB Capital, the financial arm of GB Corp, has announced the closure of its fifth securitization bond issuance worth 1.4 billion EGP. This issuance is the second in the fifth securitization program by Capital Securitization, totaling five billion EGP.
This issuance follows shortly after the previous issuance, completed in December last year, reflecting the rapid growth of the company’s portfolio and the increasing confidence of investors.
In this context, Ahmed Osama, Managing Director of Drive Finance, expressed his delight with the significant investor interest in this issuance. The demand from investors exceeded double the issuance amount. He stated, “The strong investor interest reflects the great confidence in our company and our ability to maintain our creditworthiness and achieve success in a challenging economic environment.”
Remon Gaber, Head of Treasury at Drive Finance, expressed his pride in the success of this issuance, emphasizing that the continuous diversification of the company’s funding sources has enhanced its ability to achieve its goals, expand its financing services, and increase its geographical reach. This, in turn, has contributed to increasing the company’s market share in consumer finance and factoring activities.
The issuance was offered in three different tranches:
The first tranche is worth 546.8 million EGP, with a 13-month duration and an AA+(sf) credit rating.
The second tranche is worth 644.9 million EGP, with a 36-month duration and an AA(sf) credit rating.
The third tranche is worth 210.3 million EGP, with a 58-month duration and an A(sf) credit rating.
It is noteworthy that the Commercial International Bank, CIB, acted as the financial advisor, manager, arranger, and promoter for the issuance. The Arab African International Bank served as the custodian, underwriter, and subscription recipient. El-Derini Law Office acted as the legal advisor for the issuance, and Sherif Mansour Dabus – Russell Bedford served as the auditor. The issuance was rated by the Middle East Rating & Investors Service (MERIS).

About Drive Finance: Drive Finance is a leading company in consumer finance and factoring for both companies and individuals in Egypt, operating under the umbrella of GB Capital, the financial arm of GB Corporation. Established in 2012, Drive specializes in factoring, providing necessary financing and credit to all customers, whether individuals or companies. Since its inception, the company has successfully grown its business and market share, establishing a prominent position among competitors in the Egyptian auto finance sector. Drive is also the owner of the “Forsa” application, a digital platform based on the “buy now, pay later” model for individuals.
About GB Capital: GB Capital is the non-banking financial services arm of GB Corp, offering a range of financial services to various customer segments. The company provides a suite of financing products and services to large, medium, and small enterprises, as well as microfinance-compliant retailers and individuals. GB Capital’s strategy is based on adopting the highest standards in its operations while developing a diverse range of services in line with best practices of financial institutions globally.

WIZZ AIR ABU DHABI LAUNCHES THE REGION’S FIRST FLIGHT SUBSCRIPTION SERVICE

By
Shams
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WIZZ AIR ABU DHABI LAUNCHES THE REGION’S FIRST FLIGHT SUBSCRIPTION SERVICE

Wizz Air Abu Dhabi, the ultra-low-fare national airline of the UAE, has announced the expansion of Wizz MultiPass, a pioneering and innovative flight subscription service that enables adventurous travellers to travel multiple times and rewards loyalty. The Wizz MultiPass enables passengers to enjoy a fixed price for their ticket and baggage for the entire year and travel every month on international flights from, and to, the UAE for a fixed monthly fee.

The monthly MultiPass fare remains consistent, unaffected by seasonal changes or last-minute bookings, to ensure great memories year-round. The subscription includes all taxes and fees, ensuring stress-free and budget-friendly travel. The customised plan enables greater flexibility with additional services, such as WIZZ Priority and/or a 20 kg checked-in bag.

By purchasing a subscription, UAE travellers will be able to build the travel plans that best suit their needs. Passengers can select between one-way or return flight options, and choose whether to add the Wizz Priority service and/or baggage allowance. As with a regular Wizz Air ticket, additional services can be purchased and added to the booking before the flight via the “Check-in & bookings” page.

Johan Eidhagen, Managing Director of Wizz Air Abu Dhabi, said: “As the flagbearer for ultra-low-cost travel in the region, we are proud to introduce Wizz MultiPass to our customers. The MultiPass is a smart innovation that provides more flexibility for our most loyal and savvy customers, ensuring they can access our best fares year-round. We are proud to offer products that enable our customers to tailor their own experience and we look forward to welcoming them on board soon.”

With the ticket only fare, WIZZ MultiPass can help passengers save up to 40% on tickets between even the most popular summer destinations this year. This is a wonderful opportunity ahead of the summer peak season, especially for passengers who need to commute frequently from the UAE to any chosen international route.

Customers will have an opportunity to book a flight right away when their subscription starts and have their first trip just five days later. When choosing the following month as the starting month of the subscription, customers will be able to take a flight starting from the sixth day of the month and during the following 29, 30 or 31 days, depending on the month. The subscription will renew every first day of the month.

It is also possible to purchase the WIZZ MultiPass in the middle of the month, if there are more than 5 days left until the end of that month. A customer will be charged immediately and will be able to board their flight of choice in only 5 days. In this case, however, the passenger agrees to a shorter travel window for the first month: the subscription plan will continue to be renewed every first day of the month. Find more information about WIZZ MultiPass on Wizz Air’s official website.

Strategically located in the UAE, Wizz Air Abu Dhabi provides ultra-low-fares and efficient travel options to Alexandria (Egypt), Almaty (Kazakhstan), Amman (Jordan), Ankara (Turkey), Aqaba (Jordan), Athens (Greece), Baku (Azerbaijan), Belgrade (Serbia), Bishkek (Kyrgyzstan), Cairo (Egypt) and Dammam (Saudi Arabia). As well as routes to Kuwait City (Kuwait), Kutaisi (Georgia), Larnaca (Cyprus), Male (Maldives), Madinah (Saudi Arabia), Muscat (Oman), Nur Sultan (Kazakhstan), Salalah (Oman), Santorini (Greece), Samarkand (Uzbekistan), Sarajevo (Bosnia), Sohag (Egypt), Tashkent (Uzbekistan), Turkistan (Kazakhstan), Tirana (Albania) and Yerevan (Armenia) among others.

TiE Dubai announces fifth edition of TiE Women MENA to empower women entrepreneurs in the region

By
Shams
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TiE Dubai announces fifth edition of TiE Women MENA to empower women entrepreneurs in the region

The Dubai chapter of The Indus Entrepreneurs (TiE) has officially launched the fifth annual TiE Women MENA Program 2024, an empowering initiative designed to support and elevate women entrepreneurs across the MENA region. The program expands its reach to include 5 categories UAE, Emirati, the Kingdom of Saudi Arabia, Egypt, and the rest of the Middle East, underlining its commitment to fostering gender parity in entrepreneurship in line with government efforts.

The competition kicks off with an application phase open until June 1st, 2024. Through several rounds of screening, an unbiased jury with TiE Dubai Charter members will select the top innovative ideas from each of the five categories. The selected finalists will showcase their ventures in five rigorous pitch competitions. The winners of these competitions prep for the MENA finals, previously hosted at the North Star Expand at GITEX. At every stage, the program will include mentorship sessions with renowned and experienced industry leaders, financial advisory services, strategy coaching, workshops on practical business planning, an online global accelerator program and tips to nail the perfect investor pitch. The competition will conclude with the Global Finals in December 2024.

World Bank stated that women entrepreneurs had equal access to finance, and the growth of the companies could generate a $5-6 trillion expansion in global GDP. Additionally, nearly half of the women in the UAE alone face significant barriers in accessing capital, with 8 out of 10 women tapping into their personal savings. This highlights the essential role of initiatives like The TiE Women MENA Program, which offers funding, mentorship, and community support for entrepreneurs of all industries.

Rohit Dev, President at TiE Dubai stated: “Through time, entrepreneurs have been the biggest changemakers and have contributed tirelessly to the world economy, progress, and human sustenance. Despite this, women-led businesses in the region make up less than 5% of all businesses and 2023 saw a significant drop in fund-raising for these companies. For over 21 years, TiE has promoted entrepreneurship in the UAE, and since 2020, its TiE Women MENA initiative has been empowering female entrepreneurs. Supporting regional governments’ mission to increase female business owners, we aim to equip women founders with the tools, knowledge, and networks necessary to thrive in today’s competitive business environment.”

The program seeks to create equal opportunities for women entrepreneurs to excel and contribute significantly to their economies. This year’s theme continues to highlight the role of women in business, with a focus on nurturing their skills through a structured framework. Participating startups undergo several stages of development, from initial application, through intensive 1:1 mentorship, to pitching their ideas in front of a seasoned panel of judges at the MENA and Global finals.

Being a mission-driven organization TiE Women MENA Program 2024 works with over 15 accelerators, incubators, VC funds, and members of the angel investor community in the startup ecosystem to harness each other’s strength and specialities to uplift women entrepreneurs. Some partners include in5, DBWC, Flat6labs (MENA), Plug and Play, StartAD, Wamda, Female Angels 2022, AngelSpark, Astrolabs (Saudi), LIVINC (Jordan), Women Spark (Saudi).

TiE charter members like Ashish Panjabi, CEO, Jacky’s Electronics; Mahesh Jaishankar, Head of Strategic Negotiations MENA, Google; and Sanjay Babur, Founder of Bestinsurance.ae; Veena Munganahalli, serial entrepreneur and investor; Shabana Karim, Founder/CEO of House of Enspa and Shameema Parveen CEO of Edutech are some of the judges for the program.

Global and regional winners will receive prizes and recognition for their accomplishments. In the past, winners have received equity-free cash prizes of up to $50,000 at the Global finals and up to $25,000 at the MENA finals in Dubai, and have gone on to achieve much more. Last year’s UAE winner was Lara Hussein, Co-founder & CEO of The Waste Lab, dedicated to transforming food scraps and waste into compost for the regeneration of soil. After her win and mentoring journey with TiE Women MENA she has gone on to garner more accolades and wins including at COP28, SEF by Sheraa etc. The TiE Women 2023 Emirati winner was IZI Health from Abu Dhabi, an integrative preventive care, that offers high end technological solutions to doctor’s consultations, healthy meal planning, fitness training and holistic medicine. Besides TiE Women’s support along with her Emirati win, she has been selected for other programs by ADIO and the STARTAD in her entrepreneurial journey. 

The other region’s winners were Playbook from Saudi Arabia who also won runner up position at the TiE Women Global Finals in Singapore, Warrd from Egypt and Khateera from Rest of ME. 

Women founders or co-founders from any industry who hold at least 33% equity, either individually or jointly, in businesses up to seven years old that operate from or for the MENA region are encouraged to apply. Application details and submission can be accessed through the official TiE Dubai website, https://dubai.tie.org/, with an easy-to-use QR code also available for direct access.

EZDubai Charts MENA E-Commerce Growth: $18.4 Billion Market Driven by Omnichannel Shift and Digital Payments Surge

By
Shams
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EZDUBAI LAUNCHES FOURTH E-COMMERCE REPORT, HIGHLIGHTS KEY TRENDS SHAPING MENA E-COMMERCE MARKET

EZDubai, the fully dedicated e-commerce zone in Dubai South, has launched the fourth edition of its ‘E-Commerce Report in the MENA Region 2023’ in collaboration with Euromonitor International, the world’s leading provider for global business intelligence, market analysis and consumer insights. The report revealed that the UAE’s total e-commerce market size reached AED 27.5 billion in 2023, and is expected to surpass AED 48.8 billion in 2028.

The rapid surge in e-commerce adoption in the UAE is fueled by the tech-savvy Gen Z and millennial population, empowered by strong government support in regulations and backed by substantial investments in digital infrastructure. The top three verticals by value in 2023 were apparel and footwear, consumer electronics and media products.

In the UAE, consumers prefer mobile-based shopping, prioritising convenience and cost-effectiveness. Credit and debit cards are the dominant payment methods for online purchases, as reported by 93.2% of respondents in Euromonitor International’s 2023 survey, showing strong confidence in traditional banking. Smartphones are a widely preferred medium for online shopping, indicating a growing reliance on seamless, mobile-centric shopping experiences, and emphasising the importance of social media.

Meanwhile, E-commerce in the MENA region continued its rise in 2023, with a year-on-year growth of 11.8% to reach nearly AED 106.5 billion after reflecting strong online adoption over the historic period, with a CAGR growth of 25% since 2018.  The e-commerce market size in the MENA is expected to reach AED 183.6 billion in 2028.

Key trends shaping MENA e-commerce include increased omnichannel adaptation, as consumers demand seamless shopping experiences, alongside a rise in digital payments and a shift towards payment apps. The popularity of membership programs and the expansion of online grocery shopping also mark significant changes. Furthermore, mobile commerce in the UAE and Saudi Arabia has seen a substantial surge, with its value nearly quadrupling from 2018 to 2023, reaching approximately AED 14.3 billion and AED 16.1 billion, respectively.

In his comments, Mohsen Ahmad, CEO of Logistics District, Dubai South said: “We are pleased to launch the fourth e-commerce report in partnership with Euromonitor and share the latest insights on the sector with our stakeholders. The region’s e-commerce industry has been witnessing impressive growth, and is primed for further robustness in the future, due to the widespread high-speed internet connectivity, and favorable policies mainly focused on development of digital payments and logistics infrastructure. The UAE has also introduced a new e-commerce law in 2023 to enhance its digital economy by encouraging investment, protecting consumer rights, and fostering innovation. At EZDubai, our mandate is to contribute to the government’s vision and cement the emirate’s position as a hub for regional e-commerce.”

EZDubai was designed to attract leading e-commerce companies and create a benchmark with its infrastructure. The e-commerce zone, launched in January 2019 by HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, is strategically located in the heart of the Logistics District of Dubai South.

Outer Edge l Riyadh Wraps Up Web3 Forum Connecting Tech Enthusiasts, Creators and Creatives from All Over the World in the Kingdom of Saudi Arabia

By
Shams
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Outer Edge l Riyadh Wraps Up Web3 Forum Connecting Tech Enthusiasts, Creators and Creatives from All Over the World in the Kingdom of Saudi Arabia

As the Kingdom of Saudi Arabia emerges as a global hub for innovation without limits, Outer Edge, founded by the Edge of Company, made its first regional appearance in the Kingdom of Saudi Arabia on April 23. The monumental event took place at The Garage, an incubator and accelerator for regional and global tech-centric start-ups, disruptors, and SMEs. As Saudi Arabia emerges as a catalyst for innovation, initiatives like Outer Edge – Riyadh, in partnership with Animoca Brands and The Garage, play a pivotal role in ushering in the future of technology in the region and beyond. The “edutainment” forum welcomed over 700 guests from all around the world. It was a day filled with thought-provoking panel discussions, fireside chats and priceless networking opportunities.

The opening keynote speech, given by his H.R.H Prince Faisal bin Bandar Bin Sultan, Chairman of the Saudi Esports Federation, was an accolade to gamers, creatives and tech enthusiasts everywhere. H.R.H spoke to the transformation that gaming has undergone in the last couple of years, stating, “We recognize gaming not just as entertainment but as a powerful platform for social cohesion, innovation, and empowerment. Through strategic initiatives and investments, we are laying the foundation for Saudi Arabia to become a global hub for gaming and esports. Let us not underestimate the transformative power of gaming to affect positive change. Let us harness its potential to inspire creativity, foster collaboration, and build bridges across borders.”

Panel discussions focused on the implications of decentralized Web3 and AI technology on economic systems and society. With the goal of raising awareness and recognizing human potential, discussions revolved around the future of smart cities, esports and gaming, spatial computing and extended reality, financial services and their future impact in the region. In addition, topics touched upon the creative shifts within culture in terms of art, collectibles and entertainment. The summit was adorned by unique artworks by Saudi emerging artists curated by Nuqtah, Saudi’s first NFT marketplace, and ended with an energetic musical performance by Saudi emerging artists, brother duo DISH DASH, one of the most successful DJs in the country.

Joshua Kriger, co-founder of Edge of Company and Outer Edge, and co-host of Edge of NFT podcast said in the opening ceremony, “The soul of innovation lives within the DNA of the population of the Kingdom and those of you in the room. This is not a conference, this is not a summit, this is a forum. A forum is a gathering where ideas and views are exchanged”.

Minh Do, COO of Animoca Brands added, “It is clear to me that the Kingdom of Saudi Arabia is at this point, without a doubt, among the most ambitious countries in the world, and I really look forward to working with our local partners to further Web3 and human development in the region.”

Animoca Brands has already made significant progress in driving Web3 initiatives with strategic regional partners, in line with theSaudi Vision 2030 plan. These initiatives fit perfectly with the purpose of Outer Edge – Riyadh. Future plans of this vision include, but are not limited to, the development of a physical Web3 hub in Ryadh to amplify research and development in the fields of esports, gaming, blockchain, Web3 and AI.

One of the key speakers at the forum was Co-Founder and Executive Chairman of Animoca Brands, Yat Siu. A veteran technology entrepreneur and investor, Yat Siu commented about the vibrant economic landscape of Saudi Arabia, made up mostly of digitally native youth, many of which are avid gamers and have a strong appreciation for digital culture. Outer Edge – Riyadh, being one of the first gatherings in the Kingdom to showcase the promise of Web3 and the opportunities that exist within, provides a glimpse into decentralization, blockchain and digital economies.

Some of the forum’s notable guests included representatives from the Saudi Ministry of Culture and Ministry of Communications and Information Technology.   In addition, showcased speakers included Paul Pacifico, CEO of The Saudi Music Commission, Malak Alqhtani, CEO and Founder for Valar Club, the first licensed women’s club from the federation’s electronic sports, Michael Figge, Chief Creative Officer of Yuga Labs, Krista Kim, Artist & CEO of Krista Kim Studio and 0Studio.ai, Pierina Merino, Founder and CEO of Flickplay, Yat Siu, Co-Founder and Executive Chairman of Animoca Brands, Calvin Zhou, Co-Founder of Shrapnel, Salwa Radwi, Founder of Nuqtah, Erick Pulier, Vatom Founder and CEO, Amanda Cassat, Founder and CEO of Serotonin, Yasser N Al Obaidan, Chairman of Jawraa, Sebastien Borget, Co-Founder and COO of The Sandbox, and the list goes on.

Global key partners taking part in the conference included myco, a Web3 video streaming, funding, production and distribution platform, READYgg, operating the world’s leading blockchain gaming ecosystem, and Orbit Startups, a Global VC firm focused on breakthrough tech startups from emerging markets. Regional partners include Takadao, offering Shariah-Compliant community-owned savings and community-owned life insurance solutions, Tharawat Technology, a Riyadh-based computer security service company, Nuqtah, a Saudi based NFT marketplace and start-up with a growing presence in the MENA digital creative economy space. Additional partners and sponsors also included WNDR, a platform that transforms any device into a portal to an exceptional console, Motorverse, bringing the experience of vehicle ownership to the digital age, and Flickplay, the destination to unlock your favorite digital characters. The latest additions to this illustrious list of partners included Hadera, offering performance, security and compliance for tokenized economies, GOQii, cutting-edge tech and expertise in fitness and wellness, Detecon, a leader in tech consultancy, ApeChain, driving web3 culture and innovation; Slingshot Dao, the epitome of community-governed innovation, droppTV, a pioneer in Web3 solutions, and global accelerator VC for Web3 startups Foundership.

Agility Global PLC Reports Q1 2024 Net Profit of $30.5 Million

By
Shams
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Agility Global PLC Reports Q1 2024 Net Profit of $30.5 Million

Agility Global PLC, a multi-business owner and operator and long-term investor in global and regional businesses, today reported Q1 2024 earnings of $30.5 million, or 0.58 cents per share. EBITDA grew 34% to $169.5 million, and revenue increased 5.6% to $979.4 million. (Note that figures for the comparable period are carved-out financials).

About Agility Global PLC

Agility Global PLC was listed on the Abu Dhabi Securities Exchange (ADX) on May 2, 2024. Agility Global operates under two segments.

The controlled-business segment holds the company’s operating entities, whose financial performance is consolidated and reflected in the company’s income statement. This segment include Menzies Aviation, the world’s largest aviation services provider by number of countries; Tristar, a global leader in fuel and chemicals storage, shipping and logistics; and Agility Logistics Parks, a leading owner and developer of industrial real estate in the Middle East, Africa and South Asia.

The investment segment holds the company’s minority investment stakes, mainly a 9% stake in DSV, the world’s third-largest freight forwarder; and its stake in Abu Dhabi’s Reem Mall.

“Agility Global’s results reflect a strong start to the year. We are seeing double-digit growth in EBITDA generated by our businesses.” said Agility Global Chairman Tarek Sultan. “Over the past few years, we have been refocusing the business and investing for future growth. Today, we are well positioned to take advantage of growth in promising segments, and our results are an indication that we are on the right track.”

Interim Dividends

Agility Global’s board has approved the distribution of $65 million as interim cash dividends. Shareholders registered on the company’s registrar as of the settlement date 24 May 2024 are entitled to the dividends.

Q1 2024 Performance

Controlled Businesses

For Q1 2024, the consolidated EBITDA of the controlled businesses was $160.8 million and revenue $979.4 million. This reflects increases of 40.1% and 5.6%, respectively, over the same period in 2023.

The results have been mainly driven by the following:

Aviation Services: Menzies

Menzies Aviation reported EBITDA of $87.6 million and revenue of $576.9 million for the first quarter of 2024, increases of 32.4% and 14.4% over the same period a year earlier.

Menzies’ growth is largely the result of improved organic performance in key markets, including Europe, the Middle East, and the Americas. Menzies continues to witness a post-COVID recovery in the OSEAA (Oceania, SE Asia, and Asia) region, where there are increased flight and cargo volumes. In the first quarter, several new projects also contributed positively to the results, among them launches of operations in Chile, South Africa, India/Bangalore cargo, Spain, and Belgrade, along with an expanded scope of operations in Iraq/Baghdad. The overall growth, combined with a continued focus on cost discipline, has resulted in margin improvement.

Fuel Logistics: Tristar

Tristar, a global leader in fuel and chemicals storage, shipping, and logistics, had a good start to the year. Although revenue declined by 8.4% in the first quarter due to winding down of some contracts and the sale of some ships, however, EBITDA grew by 48.2% to reach $64.3 million. This growth is driven by strong performance across Tristar’s diversified portfolio of services.

Industrial Real Estate: Agility Logistics Parks

Agility Logistics Parks (ALP), a leading developer of warehouse parks and light industrial facilities, reported EBITDA of $9.4 million on revenue of $12.7 million, increase of 32.2% and 22%, respectively. ALP’s growth was driven mainly by its Saudi Arabia operations, which experienced increased demand for warehousing space. ALP has operations in Saudi Arabia, UAE, Africa, and India with 3.65 million SQM of land.

Investments Segment

Agility Global holds non-controlling minority stakes in a number of businesses, both listed and non-listed. As of 31 March 2024, the carrying value of those stakes was roughly $4.2 billion with a net asset value of $3.1 billion. The main investments in this segment are in DSV and Reem Mall.

DSV is a Copenhagen-based logistics company and a global top three freight forwarder. Agility Global owns a 9% stake in DSV, making it one of the largest shareholders in DSV. The carrying value of this investment as of March 31, 2024, was $3.1 billion. DSV share price has been volatile this year. Declines have been partially offset by hedging 73% of this investment through a funded equity collar. Due to the accounting treatment, DSV’s share price movement is reflected through the company’s equity. Thus, the financial performance of DSV is not reflected in the Agility Global Profit & Loss statement.

Reem Mall – Agility Global is also an investor in Abu Dhabi’s Reem Mall on Reem Island. Agility Global’s investment in Reem Mall is through equity and convertible debt. The mall had a soft opening to the public in February 2023. To date, 163 units are trading, and almost 74% of Gross Leasable Area (GLA) is committed. More tenants are expected to announce openings in coming months. The mall is the region’s first, fully integrated omnichannel retail ecosystem with digital, e-commerce, and logistics capabilities. It brings together all consumer and retail services to ensure a seamless customer experience.

Recap of Agility Global Q1 2024 Financial Performance

Net profit stood at USD 30.5 million equivalent to 0.58 cents per share.

EBITDA increased 34% to USD 169.5 million, and margins stood at 17.3%.

Revenue increased 5.6% to USD 979.4 million.

Agility Global enjoys a healthy balance sheet with USD 10.4 billion in assets and USD 5.1 billion in Equity.

Reported operating cash flow was USD 46.2 million for the first quarter 2024. Agility Global spent a total of USD 44.6 million in CAPEX and investments.

Al-Mashat Discusses Preparations for Investment Conference with EU

By
Sahfy Sahfy
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Al-Mashat Discusses Preparations for Investment Conference with EU & Calls for EBRD to Expand Private Sector Financing
Al-Mashat Discusses Preparations for Investment Conference with EU & Calls for EBRD to Expand Private Sector Financing

Dr. Rania Al-Mashat, Minister of International Cooperation and Governor of Egypt at the European Bank for Reconstruction and Development (EBRD), held a discussion session with Ms. Odile Renaud Basso, President of the EBRD, to discuss developments in the strategic partnership and the efforts made to advance development efforts, especially in light of enhancing relations between Egypt and the EU, reflecting on the the visit of the President of the European Commission to Egypt last March.

At the beginning of the meeting, the Minister of International Cooperation thanked the President of the EBRD for her efforts and fruitful cooperation over the past four years, to strengthen the relationship between the Bank and member states in a way that enhances development efforts, noting the vital role that the Bank plays as an active member in the system of multilateral development bank, , especially in light of the challenging global environment.

The two sides discussed the ongoing preparations for the investment conference scheduled to be held next June with the European Union within the framework of efforts to upgrade relations between the two countries. In this regard, the President of the EBRD applauded the national program that Egypt implemented with the IIMF to enhance macroeconomic stability and implement economic and structural reforms, and efforts to strengthen management of State-owned companies.

Al-Mashat, who holds the position of Vice President of the current session of meetings, confirmed that the Egyptian government appreciates the bank’s efforts and endeavors over the past years in supporting Egypt through the work team of the bank’s office in Egypt and its leaders, looking forward to more efforts and joint work to increase investments and implement many projects and providing support to the private sector, which is reflected in increasing job opportunities and improving citizens’ livelihoods through development.

She also indicated that the European Union will provide investment guarantees worth 1.8 billion euros to the private sector, and that the conference will represent a qualitative shift in Egyptian-European relations with the participation of all financial institutions as well as the private sector, which will encourage investment efforts in Egypt, calling on the EBRD to provide more financing tools to increase directed support to private sector companies in Egypt.

She noted that cooperation between Egypt and the EBRD has witnessed remarkable progress, as they worked closely at various levels, which supported the state’s efforts to achieve development and implement many priority projects, stressing the fruitful strategic relationship with the bank, as Egypt is a founding member. Since 2012, the relationship has developed continuously, bringing the investment portfolio to about 12 billion euros in 178 projects, more than 80% of these funds were directed to the private sector.

She stated that the most important characteristic of the bank’s investments in Egypt is that they are largely directed to the private sector, which is consistent with the state’s priorities and efforts aimed at increasing the involvement of the private sector in leading development efforts, developing small and medium enterprises, and supporting women entrepreneurs, explaining that during the past year, 1.3 billion euros were invested in 16 projects, 96% of which were directed to the private sector.

She pointed to Egypt’s appreciation for the partnership with the EBRD in implementing the energy axis within the country platform of the “NWFE” program, as a major development partner, as work is being done to mobilize the investments, financing, and grants necessary to implement renewable energy projects with a capacity of 10 gigawatts, and replace a number of traditional electric power stations. .

She stated that in light of global calls for the importance of cooperation between multilateral development banks and unifying efforts with member states to overcome development challenges and maximize the impact of the efforts made, the “NWFE” program is a model for this cooperation by creating constructive partnerships to enhance technical and financial cooperation in formulating and implementing it. The projects included within the program build on the comparative advantage of each partner.

Moreover, the meeting discussed efforts to expand the scope of the EBRD’s work to include more member states, especially on the African continent, as part of its efforts to support development efforts in various countries of the world. The Minister of International Cooperation pointed out the importance of establishing an institutional framework for tripartite cooperation between the Bank, member states, and newly-member states to enhance benefit from development efforts and exchange experiences on implemented projects.

Aramex Appoints Arqaam Securities as Liquidity Provider

By
Shams
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Aramex Appoints Arqaam Securities as Liquidity Provider

 Aramex (DFM: ARMX), a global leader in comprehensive logistics and transportation solutions, announced today that the Company has appointed Arqaam Securities LLC, a leading regional financial institution regulated by the Securities and Commodities Authority (SCA) of the UAE, as Liquidity Provider for its shares listed on the Dubai Financial Market (DFM).

Under the terms of the one-year agreement, Arqaam Securities will begin trading Aramex shares independently, by entering two-way daily quotes into the market trading system within the defined parameters of the mandate, and in compliance with the regulations and controls set by Dubai Financial Market (DFM) and SCA.  Arqaam Securities’ ownership of Aramex shares shall not exceed, at any time, 5% (five percent) of the total number of the Company’s listed shares. All regulatory approvals have been secured.

The decision to appoint a licensed liquidity provider as approved by the Board on December 8th, 2023, aims to enhance market liquidity for market participants and to reduce the spread between the bid and ask prices. By engaging a top licensed financial institution to provide liquidity services, Aramex demonstrates its dedication to facilitating smoother trading experiences for investors while reinforcing its position as a responsible and responsive participant in the DFM. Aramex shares have 50% free float and are 100% open to foreign investment. Aramex has two strategic shareholders, with Geopost owning 28% and Abu Dhabi Ports owning 22% in the Company’s shares.

Nicolas Sibuet, Chief Financial Officer, Aramex, said: “At Aramex, we are committed to exploring avenues that drive shareholder value, enabling greater flexibility and adaptability in navigating dynamic market conditions, while continuously striving for sustainable, long-term value creation for our shareholders.”

Veselin Tilev, Head of Market Making of Arqaam Securities, thanked the leadership team at Aramex for their trust and commented: “We are delighted to offer our liquidity provision services on the Dubai Financial Market to Aramex, further strengthening our commitment to fostering liquidity and promoting efficient trading in the region. With our extensive expertise and comprehensive understanding of the local market, we are confident that Arqaam Securities will provide a valuable contribution and facilitate efficient trading activity on the shares of Aramex in the DFM.”

Ardian announces QIA’s intent to anchor an investment commitment to Ardian Semiconductor

By
Sahfy Sahfy
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Ardian announces QIA's intent to anchor an investment commitment to Ardian Semiconductor
Ardian announces QIA's intent to anchor an investment commitment to Ardian Semiconductor

Qatar Investment Authority (QIA) has announced today its intent to anchor an investment commitment in Ardian Semiconductor, reflecting QIA’s commitment to a world-leading private investment house with a first-of-its-kind thematic fund, aiming to enhance the semiconductor industry in France and Europe. This investment demonstrates QIA’s position as the financial partner of choice in key technology sub-sectors, including semiconductor & semiconductor supply chain.

As a long-term, disciplined investor in technology, this intent to anchor this investment commitment also aligns with QIA’s efforts to work with diverse businesses at the forefront of innovation.

This investment commitment is rooted in a shared goal of advancing innovations in the semiconductor industry, driving the adoption and commercialization of semiconductor-related innovations globally.

This intent to anchor an investment commitment to Ardian Semiconductor demonstrates QIA’s belief in the pervasiveness of semiconductors in the world economy, and their impact on digital and green transformations across key sectors such as artificial intelligence, mobility or consumer technology.

Semiconductor & Semiconductor Supply Chain remain an important investment area for QIA across all regions. Other notable recent investments by QIA in this value chain include Kokusai Electric Corporation, a leading semiconductor manufacturing company with world-class technology, playing a key role in the evolution of semiconductor devices. In June 2023, QIA announced it took a minority stake in Kokusai Electric Corporation.

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