RIYADH: Saudi Aramco said on Thursday it plans to sell 1.545 billion shares worth more than $10 billion, one of the biggest such offerings in recent years.
In a statement posted to the Saudi stock exchange, Aramco announced a “secondary public offering of 1.545 billion shares,” with an expected price range between 26.70 and 29 Saudi riyals ($7 to $7.70).
The sale on the local bourse, which represents approximately 0.64 percent of the company’s issued shares, will commence on Sunday, Aramco said.
It is the firm’s second listing after an initial public offering in December 2019 that raised $25.6 billion, the biggest flotation in history.
Saudi Arabia is the world’s largest crude oil exporter and, before the announcement on Thursday, the government owned about 82 percent of its shares.
Saudi Aramco says to offer shares worth over $10 billion on Saudi bourse
https://arab.news/6mjwx
Saudi Aramco says to offer shares worth over $10 billion on Saudi bourse
- It is the firm’s second listing after an initial public offering in December 2019 that raised $25.6 billion
Pakistan’s national airline attracts $36 million bid from real estate company
- Sole bidder Blue World City refuses to match government’s minimum price for Pakistan International Airlines
- Pakistan plans to sell over 51 percent of its stake in loss-making PIA as envisaged under an IMF deal this year
KARACHI: Pakistan’s national flag carrier received a Rs10 billion [$36 million] bid from real estate development company Blue World City on Thursday for sixty percent of its takes during a televised auction, much below the minimum price for the airline set by the government.
Pakistan plans to sell more than 51 percent of its stake in the loss-making Pakistan International Airlines (PIA) as part of economic reforms Islamabad agreed to with the International Monetary Fund (IMF) for a critical 37-month $7 billion bailout deal approved in September.
Pakistan’s government had pre-qualified six groups in June, but only real estate development company Blue World City met a Tuesday deadline to submit final documents to participate in the auction.
The state-owned Pakistan Television (PTV) broadcast the bidding process live, with Blue World City as the sole bidder. The bid for $36 million was read out in front of government officials and financial advisers. The government had set a minimum price of Rs85 billion [$305 million] for the airline.
“We have considered your match price option,” Blue World City Chairman Saad Nazir said during the event. “We have decided to stand with the price we have already submitted.”
Nazir refused to match the government’s offer of Rs85 billion, saying that as per the company’s assessment, “this was the best decision.”
“If the government doesn’t privatize [PIA], we wish the government all the best,” he said.
Pakistan’s privatization commission has allowed some time for potential bidders to see if any would outmatch Blue World City’s bid.
“The government couldn’t get the fair price of the PIA through the auction due to the single bidder,” Haroon Sharif, a former member of the cabinet committee on privatization, told Arab News.
“There was no competition to purchase stakes of the national carrier.”
The government’s initial plan was to finalize the deal to sell PIA on the country’s Independence Day, Aug. 14, but the plan was delayed following requests from bidders waiting for the airline’s latest audited accounts, aircraft lease agreements and clarity on flights to Europe, which are currently banned.
This auction was delayed to September and October but those also did not materialize.
Sharif said the government should have extended the auction’s deadline to involve more bidders in the process.
“Now it looks like the government is privatizing the PIA in desperation,” he noted.
Official data available with Arab News shows there are 88 commercially operated state-owned enterprises in Pakistan, with collective losses of up to Rs730.258 billion ($2.61 billion) in the fiscal year 2022 (FY22).
In its five-year privatization plan ending in 2029, the government has approved 24 state-owned enterprises for sale, including the PIA.
With a fleet of 34 aircraft comprising 17 Airbus A320s, 12 Boeing B777s and 5 ATRs, the PIA loses traffic to Middle Eastern carriers who have a market share of 60 percent, because of an absence of direct flights to destinations.
The carrier has air service pacts with 87 countries, and landing slots at key destinations such as London Heathrow.
The reorganization plan of the business will separate the aviation-related aspects from non-core components, so freeing the operating subsidiary of a large portion of legacy debt.
Hull, Babnik and Sobron lead Aramco Team Series Riyadh
- Hull came out at a blistering pace, with four birdies and an eagle wrapping up her front nine of six-under-par
- The Ladies European Tour’s rising star Chiara Tamburlini led her team to equal the record of 23-under-par
RIYADH: A strong opening day of the Aramco Team Series presented by PIF – Riyadh saw three players share the clubhouse lead as Charley Hull, Pia Babnik and Luna Sobron each finished at seven-under-par.
Hull came out at a blistering pace, with four birdies and an eagle wrapping up her front nine of six-under-par, as she began the hunt for her first win since 2022 at this week’s Golf Saudi organized event
The English star, who has been finished in second place twice on the series this year, added a further two birdies to her scorecard, before walking off with a bogey on the 18th, after just missing a short putt.
“It's a very, very scoreable golf course,” said Hull reflecting on her day. “You could shoot 60 – I was looking to shoot a 58 after the front nine - but yeah, I played well.
“It was a shame about my putt on the last, it just bobbled. It went straight down like a line on the green, but I played pretty decent.”
When asked about her increased length off the tee this year, adding 10 yards, Hull was unfazed – explaining this is just a biproduct of her own personal fitness drive.
“I don't train for golf,” she explained. “I have no interest in doing golf training like I just trained for me. In my mind that that's what's happened. I've hit it a bit longer, it's bit of a bonus.”
Also in the clubhouse at seven-under-par was Slovenian Pia Babnik, winner of the Aramco Team Series presented by PIF in Jeddah in 2021, aged just 17. After bursting onto the scene, Babnik finished 2022 ranked 67th in the world, but has since struggled for form, dropping as low as 512th.
Coincidentally, Babnik was introduced to her new coach, Matt Belsham, through Charley Hull – who has helped Babnik to rebuild both her confidence and her technique.
“I've been working with him since last August,” said Babnik. “It's just been amazing. He helped me a lot. I still have my dad as a coach, but it's just good to have Matt. He completely changed my swing to be more compact and, yeah, just more stable.
“My technique was just terrible, so we're still working on that, and then the power will come back as soon as I get the feel of the new technique.”
Spaniard Luna Sobron found herself at the top of the leaderboard early in the day, finishing the day at seven-under-par. Following a year battling injuries and losing her LPGA tour card, it’s a welcome return to form for Sobron – made all the more impressive by the fact it was her course debut.
“It’s a really good course,” said Sobron following her round. “I only had nine holes of practice on Tuesday and nine on Wednesday, but you can really score low with the right shots.”
“My putting was on fire, I made nearly all of them. I have changed up my putter, and now I’m using aimpoint – so I feel like everything has become much clearer to me.”
There was also a hole-in-one early in the day, as South Africa’s Cassandra Alexandra walked off with an ace on the sixth hole – a 165-yard par-three. The magical moment was actually missed by Alexandra, following on from some debate with her caddie on what club to use.
“I didn’t see it!” she admitted. “It was Anabel Fuller’s mum who told me, and I was like, ok cool! My caddie had a nine iron in mind, but I thought a chippy eight would be good… and chippy eight it was. I missed a few putts, if I could have made one or two more, I would have been even happier, but three under for the day, I’ll take it.”
In the team element, the Ladies European Tour’s rising star Chiara Tamburlini led her team to equal the record of 23-under-par, a single day scoring record for the series. After winning the team event in Shenzhen, Tamburlini is keen to become the first ever captain to win successive titles.
Tamburlini’s group is made up of Anne-Charlotte Mora, Mimi Rhodes and amateur Teniel Chu – who contributed with an incredible 11 net birdies to the team score.
“We had a great team again, and we all played well,” said Tamburlini. “But to be top again, it just shows as well how much I love this format and how well it suits my game and my mental game especially. Hopefully we'll get it done tomorrow.”
Day two of the tournament begins on November 1, at Riyadh Golf Club. For more information, visit www.aramcoteamseries.com.
Pakistan says IMF cut its inflation forecast for the country for this year to 9.5%
- No need for government to introduce mini-year budget, says finance minister
- Aurangzeb says IMF revised down import projections for Pakistan for current fiscal year
ISLAMABAD: The International Monetary Fund has lowered its inflation forecast for Pakistan for the current year by 3.2% points to 9.5%, the country’s finance minister said on Thursday.
The IMF’s revised projection bring it closer to Pakistan’s own projections, Finance Minister Muhammad Aurangzeb said.
He said there was no need to introduce a mid-year budget, responding to local media reports saying the government needed to revise its budget to stay on track with an ongoing $7 billion, 37-month program with the IMF.
Aurangzeb said the IMF also revised down its import projections for Pakistan in the current fiscal year, which ends in June 2025.
Pakistan has been struggling with boom-and-bust economic cycles for decades, leading to 22 IMF bailouts since 1958. Currently the country is the IMF’s fifth-largest debtor, owing the Fund $6.28 billion as of July 11, according to the lender’s data.
The latest economic crisis has been the most prolonged and has seen Pakistan facing its highest-ever inflation rate, pushing the country to the brink of a sovereign default last year before an IMF bailout. Inflation has since eased.
Thousands displaced in Lebanon as Israel expands evacuation zones
- Short-term outlook ‘remains bleak,’ warns Mikati
- Israeli attacks intensified in south Lebanon and the Bekaa region
BEIRUT: Israel expanded its evacuation warnings to new areas of Lebanon on Thursday as Caretaker Prime Minister Najib Mikati warned that the short-term outlook for his country “remains bleak.”
His comments came as US envoys Amos Hochstein and Brett McGurk met Israeli Prime Minister Benjamin Netanyahu in Jerusalem.
Israeli orders for Lebanese civilians to evacuate large areas of Tyre and Baalbek were condemned by Mikati as an “additional war crime,” adding to the “series of crimes of killing, destruction and sabotage committed by the Israeli army.”
In response to Israel’s expansion of its air campaign, Mikati “requested increased pressure on Israel” from international and diplomatic bodies.
Hochstein reportedly told Mikati on Wednesday that he would urge Israel to end its campaign in return for a Lebanese commitment to implementing Resolution 1701.
As Lebanon awaited a diplomatic response, Israel’s Channel 12 said that the Israeli army is preparing to expand its ground operations in Lebanon “as negotiations might take time.”
Israeli attacks intensified in south Lebanon and the Bekaa region, with evacuation warnings extending to the Rashidieh Palestinian refugee camp in Tyre and civil defense centers in Baalbek.
The Israeli army warned residents of several southern towns, including the Rashidieh camp, to evacuate north of the Awali River.
The order sparked panic among the camp’s 323,000 residents, triggering mass displacement of people who had few options for shelter.
A similar event took place in the Baalbek region a day earlier as tens of thousands of Lebanese fled their homes following warnings of imminent Israeli bombardment.
This warning was repeated on Thursday, preventing the return of residents.
Many spent the night in their cars in harsh cold weather as nearby town shelters reached capacity from earlier evacuees.
Some residents sought shelter in the historic Baalbek Castle, assuming the site had international protection status, but Baalbek Gov. Bashir Khodr advised against this, warning that the castle fell within the “red zone” designated by Israel as a potential target.
Israeli army spokesperson Avichay Adraee, in a new warning posted on X to people in Baalbek, Ain Bourday and Douris, said that residents of the three areas “are staying in a combat zone in which the Israeli army intends to attack.”
Israeli strikes later hit border areas in northern Bekaa and across the Syrian border, a common route for illegal crossings.
An airstrike in Bodai destroyed a home and killed its four inhabitants.
About 10,000 airstrikes have hit Baalbek in the last two days, killing about 70 people and injuring more than 500 others.
Israeli raids targeted an Amal Movement ambulance in Zefta and a civil defense center affiliated with Hezbollah’s Islamic Health Organization on the highway between Dardagia and Arzoun in southern Lebanon.
The strike killed a paramedic and injured two others, bringing the death toll of health workers in Lebanon to 174, with 279 wounded.
Israeli drone attacks against cars and motorcycles in southern Lebanon and western Bekaa continued on Thursday.
A car on the Araya-Kahala road was struck, killing two and injuring one.
On Wednesday, an Israeli drone struck a car on the same road, killing its driver, who was transporting anti-tank missiles.
A drone also struck a car on the Al-Amariyeh-Naqoura road, killing its driver, a Lebanese Army soldier.
A motorcycle rider was killed in the town of Qaraoun located in the West Bekaa region.
Meanwhile, Israel’s air campaign escalated across south Lebanon, targeting residential homes and neighborhoods. A missile struck a man’s home in Ebel El Saqi, injuring his eight-year-old granddaughter.
The town of Chihine was hit with Israeli white phosphorous artillery shells, while the Israeli army blew up four houses in Alma Al-Shaab, a town adjacent to the Blue Line.
A residential building in Aita Al-Shaab was also struck from the air.
On Wednesday evening, the Israeli army destroyed the only mosque in the border town of Boustane, along with several houses in the border town of Al-Dahira.
A new video showing extensive destruction in the southern border town of Kfar Kila was shared. All of the town’s buildings and houses had been leveled.
In a statement, Catherine Russell, UNICEF’s executive director, warned: “At least one child is killed and 10 injured daily in Lebanon.
“Thousands more children who have survived the many months of constant bombings are now acutely distressed by the violence and chaos around them.”
Clashes on the ground between the Israeli army and Hezbollah continued on Thursday across the border region.
Hezbollah-affiliated Al-Manar TV reported that “violent clashes” took place east of Khiam, with militants repelling an Israeli incursion into the area.
Clashes near the border town have continued for three days following an Israeli assault.
UNIFIL spokesperson Andrea Tenenti said that the international force had been targeted more than 50 times since the beginning of the conflict.
Seven of these attacks were “carried out deliberately by Israel,” he added.
Israel claimed it had killed Mohammed Khalil Alian, the commander of the anti-tank force affiliated with Hezbollah’s Nasr unit, in Burj Qallawiyah.
On Wednesday, Israel’s air force claimed the elimination of a Hezbollah air defense cell that had launched a missile at an Israeli aircraft in the region north of Tyre.
Red Sea Global secures $1.5bn for AMAALA infrastructure project
JEDDAH: Red Sea Global has announced the financial closing of a multi-utility infrastructure development project for the AMAALA destination, totaling around $1.5 billion.
The initiative, led by a consortium including Electricite de France or the EDF Group and Abu Dhabi Future Energy Co., or Masdar, alongside their partners Korea East-West Power Co., or EWP, and SUEZ, is set to position AMAALA as a luxury wellness destination on the Red Sea coast of Saudi Arabia. It is expected to welcome its first guests in 2025.
The financial close was achieved with the support of local and international financial institutions, including First Abu Dhabi Bank, Emirates NBD, and Riyad Bank, as well as Saudi National Bank and Alinma Bank, according to a statement from RSG, adding that the milestone highlights the consortium’s dedication to realizing AMAALA’s promise of unparalleled luxury, sustainability, and cultural enrichment.
Group CEO of RSG, John Pagano, said that they have demonstrated that large-scale tourism destinations can be powered using 100 percent renewable energy while providing luxury experiences for guests and strong financial returns for partners.
“This agreement with EDF, Masdar, EWP, and SUEZ means that we are on track to making AMAALA our second destination powered by sunlight, day and night.”
This achievement comes after the awarding of a 25-year multi-utility concession agreement with RSG in September 2023, which includes an option for extension. The deal encompasses the financing, engineering, and development, as well as construction, operation, maintenance, and eventual transfer of a multi-utilities infrastructure facility to support the AMAALA destination, RSG clarified.
The facility includes a fully optimized and decarbonized off-grid renewable energy system designed to generate electricity from a 250-megawatt solar photovoltaic park, 700MWh battery energy storage, and transmission and distribution lines. Additionally, it features a desalination plant with a capacity of 37 million liters of drinking water per day and wastewater treatment plants to secure the necessary base load.
The project is expected to prevent nearly 350,000 tonnes of CO2e emissions annually compared to typical infrastructures of this nature. It will also serve as a pioneering infrastructure initiative, ushering in a new era of eco-friendly luxury tourism.
Masdar CEO Mohamed Jameel Al-Ramahi highlighted the project’s innovative solutions, including solar power, energy storage, and desalination systems.
Beatrice Buffon, vice president, international division, and chairwoman and CEO of EDF Renewables, described the financial close as a significant achievement enabled by RSG’s support and the dedication of their team and partners.
She added that this initiative sets new standards for the EDF Group and should be replicable in other geographies. She also highlighted that the off-grid project will supply 65,000 people with carbon-free electricity and uninterrupted water access.
Commenting on the announcement, Kim Young-Moon, CEO of EWP said: “We are excited to announce the financial close of our renewable energy project in Saudi Arabia, a significant step in our commitment to a sustainable future.”
Young-Moon added that the project will reduce carbon emissions, improve air quality, and create jobs, boosting local economic growth.
“As we aim to lead the global energy transition, this project is a key milestone, driving innovation in the renewable energy sector and advancing our ambitious goals,” the executive said.
Pierre Pauliac, chief operating officer and executive vice president at SUEZ, said: “We are delighted to contribute to this strategic project for the development of Saudi Arabia. SUEZ will be part of the construction of all the water utilities equipment. In addition, the group will operate during the 25 years the state-of-the-art desalination plant to secure AMALAA’s access to drinking water, as well as the water networks.”
AMAALA will go beyond sustainability to have a regenerative impact on the environment. By 2040, the project plans to achieve a 30 percent net conservation benefit for local ecosystems.
This will be accomplished by enhancing biologically diverse habitats such as mangroves, seagrass, corals, and land vegetation, promoting biodiversity while contributing to carbon sequestration, according to the statement.
Upon completion, the luxury destination will feature over 4,000 hotel rooms across 30 hotels, and 1,200 high-end residential villas, apartments, and estate homes. It will also host a vibrant community of more than 15,000 residents and workers, creating a dynamic and sustainable living environment.
