IS Morning Report Tuesday, April 10, 2018

Transcription

1 Global & Regional Benchmarks UAE Trading Summary Indices Close 1Day 1Mnth 3Mnth YTD 1Y (AEDm) BUY SELL NET ADX 4, % 3.1% 1.9% 6.1% 2.0% ADX DFM 3, % -2.4% -11.9% -8.5% -12.8% Local 25% 67% -42% TASI 7, % 5.5% 9.2% 10.4% 12.9% Foreign 75% 33% 42% KWSEI 6, % -2.1% 1.7% 3.5% -5.3% Institutional 68% 64% 4% EGX 17, % 8.7% 17.8% 15.9% 32.9% Retail 32% 36% -4% Dow Jones 23, % -5.4% -5.5% -3.0% 16.1% DFM S&P 500 2, % -6.2% -4.9% -2.3% 10.9% Local 59% 50% 10% Nasdaq 6, % -8.1% -2.8% 0.7% 18.2% Foreign 41% 50% -10% FTSE 100 7, % -0.4% -7.1% -6.4% -2.1% Institutional 60% 69% -9% DAX 12, % -0.7% -7.7% -5.1% 0.5% Retail 40% 31% 9% CAC40 5, % -0.2% -4.4% -0.9% 3.1% Total Nikkei225 21, % 1.8% -8.1% -4.0% 16.2% Local 44% 57% -13% HIS 30, % -1.4% -1.6% 2.2% 26.0% Foreign 56% 43% 13% Upcoming Corporate Actions & Events Date Company Event 10-Apr Deyaar Board Meeting 11-Apr DXBE Board Meeting 11-Apr Dana Gas Annual General Assembly Meeting 12-Apr ADIB Board Meeting 16-Apr Arabtec General Assembly 19-Apr AMAN General Assembly 22-Apr Eshraq Properties Annual General Assembly

2 23- April DSI Annual General Assembly Meeting (AGM) Key Stories Dana Gas to Challenge Court Order on Restricting Dividends Mubadala Is Said to Near Hiring Rothschild for Cepsa Stake Deal Economy Minister: UAE s new investment law to be ready by fourth quarter Saudi Aramco to sign $10 bln of deals in France United Electronics surges on Q1 earnings National Bank of Kuwait reports 9.6 pct Q1 profit jump BP to develop second phase of Oman's Khazzan gas field Egypt to raise a maximum of 2 billion euro with planned bond Global Markets Wrap: U.S stock futures rallied, Asian equities bounced and the safe haven yen fell on Tuesday as Chinese President Xi Jinping promised to lower import tariffs on products including cars, helping soothe investor jitters over an escalating U.S.-China trade row. U.S. 10-year Treasuries fell, pushing their yields up 2 basis points to percent. Oil markets added to strong gains from the previous session on Tuesday on hopes that a trade dispute between the United States and China could be resolved without greater damage to the global economy. Yet prices remain within recent ranges as oil markets still face an abundance of supplies that puts pressure on producers to keep their prices competitive in order not to lose market share. Brent crude futures were at $69.02 per barrel at 0225 GMT, up 37 cents, or 0.5 percent, from their last close. WTI crude futures were at $63.84 a barrel, up 42 cents, or 0.7 percent, from their previous settlement. UAE: Dana Gas will challenge an order by a U.K. court not to declare or pay any cash dividend on its share capital unless it has made full provisions for payments due to holders of its mudarabah sukuk, a company spokeswoman said in an . Order by the High Court of Justice of England and Wales was part of interim injunction and interim anti-suit injunction obtained April 4 by Putnam SPV 4 LLC, a special purpose vehicle managed by U.S.-based Contrarian Capital Management Abu Dhabi s financial holding company Mubadala Investment Co. is close to hiring Rothschild & Co. to help divest a stake in Cepsa Trading SA, a Spanish oil company valued at about 10 billion euros ($12 billion), according to people with knowledge of the matter. The UAE will issue its long-awaited investment law by the last quarter of this year, and expects it will boost foreign investment by up to 15 per cent, with most inflows coming from Asia and Europe, the Economy Minister, Sultan Al Mansoori, told The National on Monday on the sidelines of Annual Investment Meeting in Dubai. The new investment law will liberalise sectors ranging from the manufacturing industry, including pharmaceuticals, to the services sector, the minister said.

3 GCC/ MENA: Saudi Aramco will sign eight deals worth $10 billion with French firms on Tuesday, the chief executive of the staterun oil giant said on Monday - the main contracts expected to be sealed during Crown Prince Mohammed bin Salman's visit to France. Shares in Saudi Arabian retailer United Electronics surge 3.1 percent to riyals in active, early trade. Company reported 66 percent year-on-year jump in estimated first-quarter net profit as sales rose 7.5 percent. It said that in addition to higher sales, which occurred despite introduction of 5 percent value-added tax at start of this year, it increased profit margins on some products and services. Stock faces technical resistance at March peak of riyals. National Bank of Kuwait reported a 9.6 percent rise in first-quarter net profit on Monday. The bank made a net profit of 93.6 million dinars ($312.2 million) in the three months to March 31, compared to 85.4 million dinars a year earlier, it said in a statement. BP to develop second phase of Oman's Khazzan gas field. BP says ghazeer development to bring khazzan production to an estimated 1.5 bcf/d gas. The Ghazeer project is expected to come onstream in 2021 and deliver an additional 0.5 bcf/d and over 15,000 bpd condensate production. Drilling on the first three development wells has begun, following appraisal drilling on Ghazeer last year. Initial construction work has already started at Khazzan to accommodate a third gas train and associated infrastructure. Egypt will raise up to 2 billion euro with its planned dual-tranche bond, which is expected to price later on Monday, a document from one of the banks arranging the debt offering showed. The debt sale - Egypt's first public bond denominated in euro - received orders in excess of 7.2 billion euro, split evenly across the proposed eight-year and 12-year tranches. Final price guidance for the bonds was set at percent for the eight-year paper, and at percent for the 12-year, with the notes expected to price within those ranges. (Source: ADX, DFM, Bloomberg, Reuters, Gulf News, The National, Arabian Business) Daily Foreign Ownership Increase Company Name Foreign Ownershp (%) (%) Shares Mcap (AED) Islamic Arab Ins % , ,443 Union Properties 24.60% ,286,862 1,114,301 FAB 11.24% ,255,214 40,534,454 Manazel 20.02% , ,953 Gulf Nav 20.03% , ,247 Eshraq 35.52% , ,362 DXBE 31.54% ,599, ,716 Bank of Sharjah 21.32% , ,349 RAK Properties 28.59% , ,971

4 Dana Gas 60.20% ,395,325 1,325,414 Daily Foreign Ownership Decrease Company Name Foreign Ownershp (%) (%) Shares Mcap (AED) Dar Al Takaful 21.82% (180,000) (125,086) Dubai Investments 15.83% (4,677,222) (9,680,794) Amanat 21.63% (2,750,000) (3,794,587) AXA Green C 16.21% (439,933) (593,844) Emaar Properties 36.94% (3,579,869) (20,009,291) Amlak Finance 20.67% (590,000) (501,545) Dubai Isl. Ins 12.68% (67,725) (48,350) Arabtec 18.27% (450,000) (989,892) Methaq Takaful Ins % (45,000) (35,096) GGICO 19.59% (358,267) (102,811) (Source: ADX, DFM, Bloomberg, Reuters)

5 Institutional Sales and Trading Team Harshjit Oza Direct Line: Disclaimer This report was prepared by Integrated Securities ( IS ) in and for the United Arab Emirates ( U.A.E. ). IS is a securities brokerage company regulated by the Emirates Securities and Commodities Authority (and neither an investment nor a financial advisory firm). The information contained in this report is given in summary and does not purport to be complete. All securities and financial product or instrument transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments and, in international transactions, currency risk. Content of this report is provided solely for informational purposes and private circulation and should not be construed as advice or a recommendation to investors or potential investors in relation to holding, purchasing or selling securities or any other financial product or instrument, or adopting any hedging or investment strategy and does not take into account your particular investment objectives, financial situation, tax implications or any other needs. Before acting on any information you should consider and confirm the appropriateness of the information having regard to these matters, any relevant offer document and in particular, you should seek professional financial advice. While based on information believed to be reliable, we do not guarantee and make no express or implied representation as to the accuracy of this report or complete description of the securities markets or developments referred to in this report. The information, contained in this report are as of the date indicated and are subject to change at any time without prior notice. This report may provide the addresses of, or contain hyperlinks to, websites. IS has not reviewed any such site and takes no responsibility for the content of the same. Such address or hyperlink is provided solely for your convenience and information and the content of any such website does not in any way form part of this document. Accessing such website or following such link through this report or IS s website shall be at your own risk. The stated price of any securities mentioned in this report is as of the date indicated and is not a representation made by IS that any transaction can be effected at this price. This report is for UAE distribution and only under such circumstances as may be permitted by applicable law. The information contained in this report is not intended nor can it be construed as intended to be directed to any US persons (being any US Citizens, US Green Card Holders, or Resident Aliens subject to US income taxes for IRS purposes) unless stated otherwise. Neither IS nor its officers, directors or shareholders or other persons shall be liable for any direct, indirect, incidental or other damages including loss of profits arising in any way from the information contained in this report. This report is a mere update intended solely for the use by the intended recipients and the content of it may not be reproduced, redistributed or copied in whole or in part for any purpose without IS s prior express consent.