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GCC News Roundup – September 8, 2009

News & Views General

  • UAE’s Ministry of Finance announced that banks in the emirate may abide by guidelines issued by the Central Bank in Aug-09, as opposed to the tougher requirements stated by the government in 2008. The Central Bank had earlier announced that banks must achieve a Tier 1 capital-adequacy ratio of 7% by Sept-09.
  • Etisalat DB Telecom and its subsidiary signed a Letter of Intent with India based Tech Mahindra for its IT applications and infrastructure requirements for its proposed roll-out of its telecom services across 15 circles in India.
  • Islamic KD Ijara Fund II of NBK was fully subscribed on the first day of its offering period with a fund size of KD30 Mn.
  • Egypt’s net foreign reserves surged to $32.91 Bn in August 2009, as compared to $31.63 Bn in the previous month.
  • Abu Dhabi based Advanced Technology Investment Co. made an offer of $1.8 Bn for acquiring Singapore based contract chipmaker, Chartered Semiconductor as part of its strategy to be a global leader in semiconductor technology.
  • Abu Dhabi Investment Authority is in talks to acquire a 46% stake in Kuwait based Zain.
  • Central Bank of Saudi Arabia has ruled out the possibility of buying the troubled assets of Saad Group and Ahmad Hamad Algosaibi & Brothers.
  • Zamil Air Conditioners bagged $13.6 Mn worth contract to supply window type air conditioning unit to the Ministry of Education.
  • Qatar Airways may introduce daily flights to Tokyo in early 2010 to expand its destination network.

Real Estate and Private Equity

  • TNI and KAMCO would be setting up a $150 Mn shariah-compliant fund over the next 3 months that would invest in mid-sized, family-owned companies with an average investment size of $25 Mn.
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