Category: entreprenuership

After setting its price at the top of the range, Dubai Taxi Company reported that it raised Dh1.2 billion (roughly $315 million) in its initial public offering.

Following the book building and public subscription process, DTC said in a statement on Wednesday that the final offer price was set at Dh1.85 per share, resulting in an offering size of approximately Dh1.2 billion for a total of 624.75 million shares, or 24.99 percent of the company’s total issued share capital.

The market capitalization of Dubai Taxi Company upon listing is anticipated to be Dh4.6 billion ($1.26 billion) based on the final offer price.

The initial public offering (IPO) price range was previously set at Dh1.80 to Dh1.85 per share.

The donation In addition to local and foreign institutional investors, the IPO attracted “tremendous demand” from UAE retail investors.
The offering received over Dh150 billion ($41 billion) in demand overall, indicating a 130-fold oversubscription level overall. The company stated that this represents the “highest oversubscription level achieved by an IPO on the DFM [Dubai Financial Market]”.

The offering for qualified investors was nearly 135 times oversubscribed.

Mansoor Alfalasi, CEO of Dubai Taxi Company, stated, “The exceptionally strong demand for the IPO, which was 130 times oversubscribed, reflects the high-quality investment opportunity provided by DTC, anchored in Dubai’s robust economic, population, and tourism growth and world-leading mobility and sustainability vision.”

After deducting any offering-related costs, the Department of Finance, acting on behalf of the Dubai government, will receive a total of about Dh1.2 billion in gross proceeds from the IPO, DTC continued.
The Department of Finance will retain ownership of 75.01 percent of DTC’s share capital after the IPO is completed.

Subject to approvals, the offering and listing are anticipated to be completed on December 7.

In order to bring the size of its financial market to Dh3 trillion ($816.8 billion), Dubai announced plans in November 2021 to list ten state-owned companies. In addition, the city planned to establish a Dh2 billion marketmaker fund to encourage the listing of more private companies from industries like energy, logistics, and retail.

Last year, four of the ten state-owned businesses that were announced were listed on the Dubai Financial Market.

The approximately 7,000 cars in the fleet of the 1995-founded Dubai Taxi Company serve the city-state’s expanding population. With a market share of roughly 44%, it is the largest taxi operator in the emirate.

In the first half of this year, approximately 96 million trips were taken on Dubai’s fleet of taxis, of which more than 70% were hybrids.

The IPO’s joint lead managers, Emirates NBD Capital, First Abu Dhabi Bank, and EFG Hermes UAE, have been named.

The Emirates NBD is the primary receiving bank.

Adnoc has established the first “high-speed” green hydrogen pilot refueling station in the area to test a fleet of hydrogen-powered vehicles. Data from the project will be used to evaluate the long-term viability of hydrogen vehicles in the UAE.

The company announced on Friday that the Adnoc Distribution-run facility in Masdar City will use an electrolyser driven by clean grid electricity to create green hydrogen from water.

Musabbeh Al Kaabi, executive director of low carbon solutions and international growth at Adnoc, stated, “We are pleased to launch this unique high-speed green hydrogen refuelling station, which supports the UAE’s National Hydrogen Strategy.”

“Adnoc is still working with national and international businesses to develop cutting-edge technology and low-carbon solutions that can hasten the decarbonization process.”
An international certification body called the International REC Standard will certify the hydrogen supplied to the pilot station as coming from solar energy, making it “green.”

According to the company, data on the long-term viability of hydrogen vehicles in the UAE will be gathered through this project.

Starting with B2B [business-to-business] clients is the idea here. At the event, Adnoc Distribution CEO Bader Al Lamki told The National, “We are going to start with cars, taxis, and buses.”

“We’re going to collect data, analyze, and comprehend consumer behaviors and operation parameters over the course of three months, and hopefully this becomes a basis for us to even further extend the solution.”

According to Mr. Al Lamki, a second station in Dubai Golf City will open “very soon” and “provide another refuelling point in the emirate of Dubai.”

The Abu Dhabi-based Integrated Transport Center is lending support to the project. The engineering and industrial gases company Linde supplied the refueller.

The hydrogen-powered cars, which are being supplied by Toyota, Al Futtaim Motors, and BMW, will undergo testing by Tawasul and other taxi companies.

Due to its ability to be produced from both conventional and renewable energy sources, hydrogen is predicted to become an increasingly important fuel as economies and industries shift toward a low-carbon future.

There are several colors of hydrogen, such as blue, green, and grey. Green hydrogen is created when water molecules split through an electrolysis process, whereas blue and grey hydrogen are created from natural gas.

Adnoc plans to invest $15 billion in various projects by 2030 in order to meet the objectives of its low-carbon growth strategy.

By 2031, the UAE hopes to produce 1.4 million tons of hydrogen annually, and by 2050, 15 million tons.

“We are happy to be working with Adnoc to pilot hydrogen in the United Arab Emirates. About 20% of the world’s carbon emissions come from transportation at the moment, so in order to reach net zero, we must utilize every technology available, according to Masdar City Chairman Abdulla Balalaa.

Wafik Ben Mansour is appointed acting CEO by Dubai Investment Bank.
Over the course of more than eighteen months, Fawad Khan, the head of the investment bank Shuaa Capital located in Dubai, has resigned.

Mr. Khan resigned for “personal reasons,” the company said in a statement to the Dubai Financial Market, where its shares are traded, on Monday. “Shuraaa will provide support and ensure smooth continuity of business activities” during Mr. Khan’s three-month notice period.

Wafik Ben Mansour has been named acting chief executive by Shuaa’s board to oversee business operations in the interim.

“Wafik will lead the next phase of Shuaa capital’s optimisation process to create a growth platform and capitalise on market opportunities in the UAE and wider region,” the organization stated.

Prior to joining Shuaa in May of this year, Mr. Ben Mansour worked for 15 years as a managing director at Credit Suisse. He now leads the advisory and capital markets platform of the company, which caters to institutional clients in the Middle East and North Africa.

As per Mr. Khan’s LinkedIn profile, he worked at Shuaa for over six years, holding various positions such as head of investment banking.

In June 2022, he became the managing director of Shuaa Capital, succeeding Jassim Alseddiqi, who left to become a managing director and join the board.

One of Shuaa Capital’s largest shareholders, Mr. Alseddiqi, also repositioned his ownership of the Dubai-based investment banking and asset management firm and resigned as managing director in August.

At the time, Mr. Alseddiqi wrote on LinkedIn that the company that oversees $5 billion in assets is going through a big transition that will allow for new investors.

During the past few years, Shuaa has undergone a business transformation. At its peak, the company managed over $13 billion in assets under management (AUM).

In an August interview with The National, Mr. Khan stated that Shuaa is assessing multiple investment deals throughout the wider GCC and hopes to double its AUMs to $10 billion in the next five years.

The business is considering possible investment opportunities, especially in the real estate and hospitality industries in Saudi Arabia and the United Arab Emirates, the two largest economies in the Arab world.

As it continues to develop and restructure its asset base, the investment manager is also looking for opportunities for its portfolio companies to divest, including public listings and partial exits through strategic investors. Mr. Khan,

Shuaa stated that in terms of possible investments, he is focusing on target businesses that have “real assets,” such as asset-backed real estate transactions, as well as deals in the shipping, industrial, and hospitality sectors.

The Dubai Integrating Economic Zones Authority (DIEZ), under the auspices of His Royal Highness Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and the Prime Minister of the United Arab Emirates and the Ruler of Dubai, has announced the opening of a US$136 million venture capital (VC) fund. AETOSWire/Dubai creates a US$ 136 a million venture capital firm to support technology entrepreneurs.

The fund was introduced in front of His Excellency Sheikh Ahmed bin Mohammed bin Rashid Al Maktoum, The second Deputy Ruler of Dubai. Its purpose is to support the growth of SMEs in various emerging sectors and finance technology startups, in line with the goals of the Dubai Economic Agenda, D33.

Under the guidance of HH Sheikh Mohammed bin Rashid Al Maktoum, Dubai Chambers organized the Dubai Business Forum, at which the new fund was introduced. The fund of funds is an initial investment initiative to be introduced under the Oraseya Capital brand, which is the venture capital division of DIEZ that specializes in startup venture investment activities. It will be essential in helping entrepreneurs from the pre-seed phase all the way through to the Series B funding stage.

The Honorable Chairman of DIEZ Sheikh Ahmed bin Saeed Al Maktoum has stated that the establishment of Oraseya Capital and a US$136 million venture capital fund for tech startups is a calculated action in line with His Highness’s instructions. Mohammed Sheikh

For the forthcoming Dubai Trade Forum, which will be held at Madinat Jumeirah in November, Dubai Chambers has developed The transactions Hub, a fresh impact-driven platform that delivers an innovative environment for multinational corporations and investors to announce collaborations and transactions.
The Dubai Business Forum, which is being held under the leadership of His Highness Sheikh Mohammed bin Rashid Al Maktoum, the Vice President and the Prime Minister of the United Arab Emirates and Ruler of Dubai, will bring together significant figures from the public and private sectors from around the world to discuss strategic business alliances, build global networks, and uncover new opportunities for trade, business, and investment.

With the introduction of The Deals Hub, a dedicated venue has been created to establish and announce significant commercial initiatives, collaborations, and investments. Signings will take place in front of senior government officials, well-known individuals from both the private and public sectors, and members of the international media.

“The Dubai Economic Forum creates an innovative forum for deals and investment that will provide novel possibilities and promote sustainable economic growth,” said H.E. Abdul Aziz Abdulla Al Ghurair, Chairperson of Dubai Chambers. The introduction of The Transactions Hub highlights Dubai’s rising status as a major economic hub and demonstrates the emirate’s success in luring foreign capital and encouraging company growth.

The Deal Hub will host a wide range of agreements, including significant joint ventures, partnerships, and merger and acquisitions; public offerings, substantial investments, and financing campaigns; contracts with the government, international trade agreements, and Memoranda of Understanding.

According to Economy Minister Abdulla bin Touq, it also intends to finance new projects and generate 20,000 employment over the following five years.
In order to increase food security in the nation, the UAE plans to increase the economic contribution of food and agriculture by $10 billion and generate 20,000 new employment over the course of the next five years, according to the Minister of Economy.

Abdulla bin Touq said at the Future Food Forum in Dubai, “With a growing population, food security assuming the highest priority, the UAE is doing well on this front and was on top of the global food security index 2022 compared to other Mena counterparts, but the challenges for food in these uncertain times are real and present.

However, he claimed that the sector’s “resilience and adaptability” enable it to successfully deal with these difficulties.

Additionally, Mr. bin Touq unveiled seven key pillars to transform the food and agriculture industries, emphasizing domestic innovation, a UAE-first mindset in society and the food supply chain, and providing farmers with the support and tools they need to make their nation a global leader in sustainable agriculture.

Through initiatives to foster talent and innovation, the first pillar aims to ensure that the next generation of agricultural disruptors is local.

The second goal is to establish the UAE as a global regulatory powerhouse to guarantee that goods are of a higher caliber and are acknowledged on a global scale.

The third prioritizes domestic production and lessens reliance on imports in order to foster a UAE-first culture throughout the entire food value chain, while the fourth focuses on providing adequate finance to industry participants.

“Access to funding is why people grow, industries evolve, and our strategy will look into securing funding and support,” Mr. bin Touq added.

This takes us to our fifth pillar, which is to nurture innovation with top-tier R&D innovation because it is the basis of advancement. To spur transformation, we will offer top-notch research and development programs.

By establishing pathways for all stakeholders in agriculture, the UAE will also concentrate on helping players to diversify and get access to new markets.
The UAE is encouraging the expansion of a number of businesses, including food and agriculture as well as other non-oil sectors, in an effort to diversify its economy away from the oil sector.

By 2051, the UAE should be ranked first in the world for food security, according to the National Food Security Strategy.

The strategy also intends to develop the following generation of farmers.

It lays out strategies for creating a comprehensive national system focused on advancing local production while permitting sustainable food production using contemporary technologies.

A significant portion of the UAE’s overall trade is made up of food items, making it one of the most significant hubs for global food logistics.

Food commerce reached Dh130 billion ($35.4 billion) in 2022, an increase of 24% from 2021.

The government-owned lender Emirates Development Bank, which finances the UAE’s key industries, launched its AgTech loans program earlier this year with a budgetary commitment of Dh100 million to the nation’s food security sector.

According to EDB at the time, the program aims to expand the country’s agricultural industry in line with the UAE’s aspirations to lead the world in agricultural innovation.

It will target farmers, regional producers, technology companies, equipment manufacturers, and other players in the ecosystem that supports agriculture.

The program offers medium-term loans or working capital sums of up to Dh5 million with “competitive rates” and a long tenor of 10 years. It also offers capital expenditure and working capital financing.

Yahsat, also known as Al Yah Satellite Communications, announced on Friday that the UAE has given its government services arm a Dh18.7 billion ($5.1 billion) 17-year services mandate to offer satellite capacity and managed services.

The agreement includes services currently covered by a different contract for ground segment satellite systems and terminal operations, maintenance, and technology management.

Two current agreements will be replaced by the mandate when they expire in November and December of 2026, respectively.

Multi-mission satellite services are provided by Yahsat, a subsidiary of Mubadala Investment Company, the sovereign investment arm of Abu Dhabi, in more than 150 nations in Europe, the Middle East, Africa, South America, Asia, and Australasia.

As part of the new contract with the UAE government, Yahsat will continue to operate its two existing satellites, Al Yah 1 and Al Yah 2, as well as two further satellites, Al Yah 4 (AY4) and Al Yah 5 (AY5), which are scheduled to be launched in 2027 and 2028, respectively.

“This award is a testament to our long-standing cooperation with the government because it will allow us to provide the government with innovative, cutting-edge technologies that will complement our current fleet of Al Yah 4 and Al Yah 5 satellites. are not currently possible.

According to the company, “The performance of the new satellites is expected to significantly surpass current industry capabilities, including capacity, coverage, and flexibility, allowing us to offer a wide range of next-generation applications to our end user.”

The new mandate stretches backlog well through 2040 and raises Yahsat’s contracted future revenue to Dh25.7 billion, more than 16 times its 2022 annual revenue. It also improves the company’s future cash flow.

Yahsat’s group chief executive Ali Al Hashemi declared, “This is a new chapter in Yahsat’s momentous journey… our financial position has never been stronger.”

“We remain optimistic about offering the government and our customers a broader, more diverse, and cutting-edge solutions portfolio.”

Yahsat, which is listed on the Abu Dhabi Securities Exchange, stated last month that the success of its infrastructure sector had helped it increase first-half earnings by 5%. According to the corporation, normalized earnings for the six-month period ending in June increased to $48 million.

Yahsat and Airbus agreed to build AY4 and AY5 in June after signing a contract.

According to the firm, Yahsat will use its own funds, as well as other possible funding methods and a $1 billion government advance payment to be received in 2024, to pay for the AY4 and AY5 procurement, which includes the spacecraft, ground segment infrastructure, launch, and insurance.

With its current fleet of five satellites, the company can now reach more than 80% of the world’s population, making it possible to provide mobility solutions, broadcasting, and other vital communications services.

A national satellite remote sensing and Earth observation capability-building space initiative was launched in May by Yahsat and Bayanat, a producer of geospatial data goods and services.

In a statement to the ADX at the time, Bayanat stated that the space program will search for revenue opportunities in the regional and international Earth observation market.

All phones offered for sale in the UAE, according to a statement from the telecommunications department, “adhere to the highest international safety and security standards.”

According to the news agency Reuters, the declaration followed France’s announcement that it will prohibit the sale of Apple’s iPhone 12 owing to radiation exposure leaks.

The phone’s specific absorption rate, measuring the rate of radiofrequency energy absorbed by the body from a piece of equipment, was beyond the permitted limit, according to an announcement made on Tuesday by France’s Agence Nationale des Frequences (ANFR).

On Thursday, it was announced that Belgium was starting its own investigation into the phone’s safety. Member states of the European Union have been given three months to respond after receiving notification from the French regulator on Wednesday.

According to France’s ANFR, it recently performed arbitrary tests on 141 phones, including the iPhone 12, that were purchased from stores. Two iPhone 12s failed two independent lab tests to meet EU requirements, the office of the digital minister claimed, according to Reuters.
Following news that China intended to extend a ban on the use of iPhones to state-owned businesses and organizations, Apple shares dropped about 3% last week, wiping off about $190 billion in market value in only two days.

The Cupertino, California-based company’s shares experienced their worst two-day decline in a month, falling 6.4%.

The iPhone 15 model will go on sale next Friday, September 22.

A Dubai-based startup is creating powerful computer software models to create 3D-printed space rocket engines.

The Computational Engineering Model, a piece of software that generates algorithms for the design and building of spacecraft systems, was created by LEAP 71, which established its headquarters in the UAE this year.

Recently, the business established a relationship with The Exploration Company of Europe in order to create propulsion system designs for TEC’s rocket.

According to LEAP 71 founder Josefine Lissner, the engine is anticipated to be tested at some point in 2019.

We have created an algorithm that can produce rocket engines, Ms. Lissner said on Wednesday to The National.

You may tell it, for instance, that you require a rocket engine and how much thrust and propellant it has to have. It’s like a code library.

It will produce a whole rocket engine in five to ten minutes.

If the engine performs as expected, LEAP 71’s work could revolutionize the way spacecraft systems are created, lowering costs and accelerating the development of those technologies.

In its quest to win over new customers in the space industry, LEAP 71 considers the contract with TEC a major victory.

The Nyx reusable spacecraft is being created and manufactured by TEC.

In order to establish freight transportation services for a commercial space station it is creating, it last week signed a contract with Axiom Space.

Co-founder and CEO of TEC Helene Huby said that employing computer models like those created by LEAP 71 could hasten the construction of engines.

“The conventional approach to engineering is one of the challenges for reducing the cost of space exploration,” she stated.

“Complex items, like rocket engines, are challenging to design, and each iteration with conventional CAD-based [computer-aided] tools can sometimes require a large amount of human rework.

We want to engineer more quickly using computational models so that we can print and test more quickly, expediting the development and verification of our engines.

The UAE’s objective of making its nation the regional center for spacecraft system development is furthered by LEAP 71’s new location in Dubai.

In order to foster the growth of the commercial space industry, the Emirates has focused heavily on luring space corporations to establish operations here.

In a prior interview with The National, Sarah Al Amiri, Minister of State for Advanced Technology and Chairwoman of the UAE Space Agency, stated that the space sector would play a part in Operation 300bn, a plan to establish the nation as a worldwide industrial centre by 2031.

“It’s very evident that we need to establish a private sector and, therefore, an industry in space as we move forward with Operation 300bn,” she said.

The majority of the UAE’s present space industry is devoted to local and federal government spending and initiatives.

“Today, we’re discussing a segment of the space industry that indirectly affects the economy. We want the space industry to have both a direct and indirect impact on the economy in five years, as well as on society.

Access to locally made space technologies would result from the industry’s eventual growth.

Thursday saw a 25% increase in Arm Holdings stock as the business raised $4.87 billion in its IPO, making it the year’s largest listing.

After making their Nasdaq debut, the UK chip designer’s shares shot up as much as 30%. At the closing of trading, they were trading at $63.59, significantly above Arm’s offer price and valued at more than $65 billion. In after-hours trading, the shares continued to rise, gaining 7%.

Arm, a provider of circuit designs used in chips around the world, sold 95.5 million American depository shares for $51 each after initially pricing them at $47 and $51.

For 30 days following the date of the final prospectus, SoftBank has given the underwriters the option to buy up to an additional seven million American depository shares to meet over-allotments, if any.

Following the IPO, SoftBank, which paid $32 billion for Arm in 2016, will own around 90% of the company’s shares.

According to customary conditions, the IPO is anticipated to close on September 18, the business stated in a statement on Wednesday.

The growth of artificial intelligence, which is anticipated to produce 21% more revenue this year, or $53.4 billion, than in 2022 as firms continue to implement AI capabilities, has benefited Arm and other chip-related businesses like Nvidia.

Revenue growth is anticipated to pick up speed, increasing by almost 25% to $67.2 billion next year and more than doubling to around $120 billion by 2027.

According to Arm, its processing architectures and software platforms power more than 250 billion chips that enable sophisticated computing, which is used in everything from sensors to smartphones and supercomputers.

In all markets, according to the business, about 70% of the global population uses Arm-based technology. Nvidia, Samsung, Apple, Google, and Intel are a few of Arm’s clients.

Regarding Arm’s IPO, Raine Securities is serving as financial advisor. For the offering, Barclays, Goldman Sachs, JP Morgan, and Mizuho are working together as joint book-running managers.

Business usage of AI has existed for some time, but generative AI, popularized by Microsoft-backed Open AI’s ChatGPT, which can generate a variety of data types including audio, code, photos, text, simulations, 3D objects, and videos, has gained pace.

Following a spike in interest in 2019, investors invested more than $4.2 billion into generative AI start-ups through 215 deals in 2021 and 2022, according to latest CB Insights data.

According to Goldman Sachs, global AI investment is anticipated to reach $200 billion by 2025 and may have a greater effect on GDP.

According to Goldman Sachs, generative AI might increase global labor productivity growth by more than 1% per year over the next ten years.

The US investment bank stated in a report in July that the biggest growth is anticipated to come from simple labor and time savings which allow higher production, suggesting that AI might be a “economically significant” driver of technology investment as adoption develops .Long-term investment in AI could account for 4% of US GDP and 2.5% of GDP in other countries that are at the forefront of the field in the next ten years, according to the report.