PHDC to finalize Maccor s acquisition in January 2010
Palm Hills Development (PHDC) is expected to officially finalize the acquisition of Maccor by January 2010 according to Ihab Swellem, PHDC s CFO. Maccor owns a group of hotels in Sharm El-Sheikh, Ismailia and 6th of October under the brand names of Accor/Novotel.
Swellem denied further news linking financing Maccor s acquisition with bonds that PHDC is expected to issue in the near future, clarifying that the cost of the acquisition is small relative to the Bond issue (LE 500-LE 1 billion).
Swellem further clarified that an extraordinary general meeting is expected to be held in the first quarter of 2010 to approve the Bonds issuance. In addition, he said that the reason behind issuing bonds is to raise liquidity required for financing its residential and touristic projects, which includes Golf View in 6th of October, Golf extension and Palm Sokhna with total investment cost LE 4.5 billion. – Mubasher
Middle East to invest $86 billion in aviation industry until 2015
According to a report by research company Frost & Sullivan, the aviation industry in the Middle East has expanded and is expected to grow further with region s airports set to invest $86 billion as part of their large expansion projects until 2015. The figure is estimated to double after 2025, with major airports in the region pursuing their aim of becoming global hubs, the report said adding that the emerging dominance, coupled with an A 380 order backlog of 50 percent of global deliveries, will drive the aviation industry as a whole in the Middle East. Passenger traffic, cargo traffic and aircraft movement across major airports in the region is expected to grow at a compound annual growth rate of 8.7, 8.5 and 4.8 percent respectively from 2008 to 2015, the report said. – IntelliNews
Some 140 million Arabs live below poverty line: UN
About 140 million Arabs live below the poverty line in the Arab world with no decrease in the rates of poverty in the region over the past 20 years, a report published by the United Nations Development Program (UNDP) and Arab League said. The report also indicated youth unemployment was the highest in the world in Arab countries and suggested that oil-rich Arab countries should devote more money to creating jobs and boosting food security among their poorer Arab neighbors to help the region meet development goals by 2015. Though rich in labor and fertile land, much of the Arab world is plagued by malnutrition, joblessness and a big gap between rich and poor, the report said. – IntelliNews
Algeria s trade surplus narrows to $4.2 billion in Jan-Nov
Algeria s trade surplus narrowed to $4.2 billion in the first eleven months of 2009 from $36.3 billion in the same period last year on lower global oil prices, state-run APS news agency reported. The country s exports stood at $39.5 billion, down from $72.4 billion in the first eleven months of last year while imports declined 2.2 percent to $35.3 billion, APS said pointing out that the value of oil and gas sales abroad, which accounted for 97.4 percent of total exports, dropped by $38.5 billion. In 2008, Algeria s trade surplus rose to $39.1 billion from $32.5 billion in the previous year. – IntelliNews
ABC to increase capital by 50 percent to $31 billion
Bahrain-based Arab Banking Corporation (ABC) plans to increase its paid up capital by about 50 percent to $3.1 billion by way of apriority rights offering to existing shareholders, the group said in a statement.
ABC s current capital base remains strong with a capital adequacy ratio based on the Basel II capital adequacy regime, of 16.9 percent at Sep. 30, predominantly Tier 1 which totaled 13.6 percent after a capital increase in 2008 of $1 billion. The group s principal shareholders are Kuwait Investment Authority with 29.7 percent stake; Central Bank of Libya (29.5 percent) and Abu Dhabi Investment Authority (27.6 percent).
Last year, ABC engaged an internationally reputed consultancy company to perform a critical review of the strategic objectives of the Group to enhance shareholder value.
Saudi Arabia to store millions of oil barrels in Japan
Saudi Arabia s oil minister, Ali Al-Naimi, signed a deal to store millions of barrels of oil in commercial storage in Japan, news agencies reported. Al-Naimi, who was addressing reporters ahead of an OPEC meeting, said state oil company Saudi Aramco had been offered the commercial storage for no charge. – IntelliNews
UAE s telecoms company Etisalat eyes further expansion
UAE s telecoms company Etisalat plans further expansion in its operations in the country during 2010, the company said in a statement noting that growth would, however, be slower than in the previous three years. Etisalat disclosed it has bid for a mobile phone service contract in Libya and was conducting negotiations to enter new markets, adding that an announcement about the talks would be made within three weeks. A company official said the company is banking on its strong financial position to push into new foreign markets without the need for borrowing.
Etisalat, established in 1976, is 60 percent owned by the UAE federal government. The company currently has about 10 million subscribers, including 7.5 million in mobile phone services, 1.6 million infixed lines and the rest in broadband. – IntelliNews
