Gulf IPO market on course for record first half
No IPO winter in the GCC, thanks to rising oil prices: Gulf IPOs are on course for a record first half as surging oil prices and foreign inflows protect the energy-rich region from the turbulence that has threatened listing in other parts of the world, Bloomberg reported. Companies in the region have already raised USD 11.4 bn so far this year, beating out any other first-half in just the first five months, according to data compiled by the business newswire.
This is set to rise further: Abu Dhabi-based petrochemicals firm Borouge will start trading on the ADX on Monday after raising USD 2 bn in its IPO this week.
Thank the international investors, too: “IPOs have held up very well in the GCC due to high interest from international and regional investors in recent offerings and in the upcoming ECM pipeline,” said Citigroup’s Rudy Saadi. “We’ve seen continuous net foreign inflows across all GCC exchanges, even during the recent selloff.”
|
|
EGX30 |
10,084 |
-0.7% (YTD: -15.6%) |
|
|
USD (CBE) |
Buy 18.58 |
Sell 18.66 |
|
|
USD at CIB |
Buy 18.60 |
Sell 18.66 |
|
|
Interest rates CBE |
11.25% deposit |
12.25% lending |
|
|
Tadawul |
12,766 |
-1.2% (YTD: +13.2%) |
|
|
ADX |
9,895 |
-1.6% (YTD: +16.6%) |
|
|
DFM |
3,407 |
+1.8% (YTD: +6.6%) |
|
|
S&P 500 |
4,101 |
-0.8% (YTD: -14.0%) |
|
|
FTSE 100 |
7,533 |
-1.0% (YTD: +2.0%) |
|
|
Euro Stoxx 50 |
3,759 |
-0.8% (YTD: -12.5%) |
|
|
Brent crude |
USD 115.90 |
+0.3% |
|
|
Natural gas (Nymex) |
USD 8.70 |
+6.8% |
|
|
Gold |
USD 1,848.70 |
0.0% |
|
|
BTC |
USD 29,564 |
-6.7% (YTD: -35.8%) |
THE CLOSING BELL-
The EGX30 fell 0.7% at yesterday’s close on turnover of EGP 653 mn (22.6% below the 90-day average). Foreign investors were net sellers. The index is down 15.6% YTD.
In the green: Palm Hills Development (+5.5%), Cleopatra Hospital (+4.6%) and Rameda (+1.9%).
In the red: Ibn Sina Pharma (-4.3%), MM Group (-3.8%) and GB Auto (-3.7%).