IS Morning Report Monday, April 09, 2018

Transcription

1 Global & Regional Benchmarks UAE Trading Summary Indices Close 1Day 1Mnth 3Mnth YTD 1Y (AEDm) BUY SELL NET ADX 4, % 1.7% 0.2% 4.6% 0.2% ADX DFM 3, % -2.7% -12.3% -8.9% -13.6% Local 51% 61% -10% TASI 7, % 5.4% 9.3% 10.3% 12.9% Foreign 49% 39% 10% KWSEI 6, % -2.1% 1.8% 3.5% -5.4% Institutional 53% 31% 22% EGX 17, % 8.7% 17.8% 15.9% 32.9% Retail 47% 69% -22% Dow Jones 23, % -5.5% -5.7% -3.2% 15.9% DFM S&P 500 2, % -6.5% -5.3% -2.6% 10.6% Local 66% 48% 17% Nasdaq 6, % -8.5% -3.5% 0.2% 17.6% Foreign 34% 52% -17% FTSE 100 7, % -0.6% -7.1% -6.6% -2.3% Institutional 37% 48% -11% DAX 12, % -0.9% -8.5% -5.2% 0.1% Retail 63% 52% 11% CAC40 5, % -0.3% -4.8% -1.0% 2.4% Total Nikkei225 21, % 1.1% -9.0% -4.7% 16.3% Local 60% 54% 6% HIS 30, % -2.0% -2.1% 1.5% 25.2% Foreign 40% 46% -6% Upcoming Corporate Actions & Events Date Company Event 9-Apr UAB Board meeting 10-Apr Deyaar Board Meeting 11-Apr Dana Gas Annual General Assembly Meeting 16-Apr Arabtec General Assembly 19-Apr AMAN General Assembly 22-Apr Eshraq Properties Annual General Assembly 23- April DSI Annual General Assembly Meeting (AGM) Key Stories

2 UK injunction restricts Dana Gas dividends in $700 mln sukuk dispute ADNOC Distribution to open three stations in Dubai this year, eyes Saudi Amanat Seeks New Opportunities in Healthcare, Education Investments Beyond GCC Saudi taps France to develop multi-billion dollar open air museum Foreigners bought net $229 mln Saudi stocks last week Saudi exchange counting on foreign funds to aid Aramco IPO Saudi to focus foreign debt issues on dollar for now, official says Almarai First-Quarter Profit Tops Estimates, Sales Miss Global Markets Wrap: Asian shares crept higher on Monday as a bounce in U.S. stock futures soothed sentiment even as U.S. President Donald Trump kept up his twitter war with China just a couple of days before President Xi Jinping gives a keynote speech. Oil markets stabilised on Monday after slumping around 2 percent last Friday on concerns over an intensifying trade dispute between the United States and China, as well as increased U.S. drilling activity. Markets on Monday were also eyeing the situation in Syria after reports - denied by the Pentagon - that U.S. forces had struck a major air base there. WTI crude futures were at $62.34 a barrel at 0355 GMT, up 28 cents, or 0.45 percent, from their previous settlement. Brent crude futures were at $67.43 per barrel, up 32 cents, or 0.5 percent UAE: Dana Gas said on Sunday it had received a new injunction from the English High Court restricting its ability to pay dividends or increase its debt. The injunction is the latest salvo in a complex legal battle in the UAE and Britain which began last year when Dana halted payments on its $700 million of Islamic bonds, arguing the sukuk had become unlawful because of changes in Islamic finance. The latest order was obtained by Putnam SPV 4 LLC, a special purpose vehicle managed by Contrarian Capital Management, Dana said in a statement. Abu Dhabi's ADNOC Distribution ADNO.AD will make its debut in the Dubai market this year by opening three fuel retail stations, and is looking for a partnership to enter Saudi Arabia, a senior executive said on Sunday. "We don't have a presence in Dubai, therefore if you are an ADNOC customer, you don't have that optionality in Dubai," deputy chief executive John Carey told Reuters after the company's shareholder meeting. The new sites in Dubai will be among 13 that the company plans to open in the United Arab Emirates this year, he said, compared to 24 in Amanat Seeks New Opportunities in Healthcare, Education Investments Beyond GCC. Amanat holdings says co s refreshed investment strategy is built on investing in healthcare and education sectors, complementary geographic markets, active investing style GCC/ MENA: Saudi taps France to develop multi-billion dollar open air museum. Saudi Arabia and France are set to agree on the initial development of a huge area of the Gulf kingdom to create a tourism project that showcases Saudi history,

3 officials said. The agreement, to be signed on Tuesday during the visit of Saudi Crown Mohammed bin Salman to France, is part of the kingdom's efforts to develop new industries to wean his country off its dependency on oil exports. Foreign investors bought a net $229 million of Saudi Arabian equities last week, exchange data showed on Sunday, indicating overseas demand remained strong despite a pull-back by the market index in the early part of the week. Buying by all types of foreign investor totalled $441 million and selling $213 million, with investors using swaps buying almost twice as much on a net basis as qualified foreign institutions, which invest directly. Saudi Arabia's stock exchange expects an influx of foreign funds to smooth the listing of national oil firm Saudi Aramco, despite concern among some analysts about whether the market can absorb the huge offer, the exchange's chief executive said on Sunday. "Foreign investors are putting in more money -- every day we have improved liquidity capacity," Khalid al-hussan said in an interview. Almarai reported profit for the first quarter that beat the analysts estimates. 1Q profit 344 million riyals, estimate million (range million to million) (BD) (3 estimates). 1Q profit rose 4.8% due to improvement in poultry segment, turnaround of infant nutrition segment, improved performance of arable operations in Fondomote North and South America, cost rationalization efforts. (Source: ADX, DFM, Bloomberg, Reuters, Gulf News, The National, Arabian Business)

4 Daily Foreign Ownership Increase Company Name Foreign Ownershp (%) (%) Shares Mcap (AED) RAK Properties 28.57% ,600,000 1,104,000 Al Salam Group KW 15.69% , ,937 GGICO 19.61% ,074, ,460 DXBE 31.52% ,199,965 1,443,184 DSI 16.13% , ,124 Air Arabia 23.58% ,400,010 1,680,012 Marka 14.26% ,000 70,950 Al Khazna Ins. 5.12% ,000 30,240 Arkan Building 0.80% , ,500 RAK Bank 18.01% , ,548 Daily Foreign Ownership Decrease Company Name Foreign Ownershp (%) (%) Shares Mcap (AED) Arabtec 18.30% (900,000) (2,034,000) Islamic Arab Ins % (595,151) (254,100) Deyaar Dev 10.79% (2,889,000) (1,380,942) National Marine Drg 0.27% (100,000) (350,000) Amlak Finance 20.71% (590,000) (499,200) Al Ramz 16.29% (164,975) (239,213) KHCB 7.50% (191,871) (176,004) Gulf Nav 20.00% (183,842) (189,357) Dubai Investments 15.94% (850,404) (1,768,840) DIB 16.63% (986,401) (5,238,720) (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.