Sreekumar Brahmanandan’s Post

Saudi Tadawul Group has completed the acquisition of a 32.6 per cent stake in Dubai Mercantile Exchange (DME), a $28.5m (SAR107m) deal that makes the stock exchange operator the joint largest shareholder along with US-based CME Group. Under the deal, GME is set to undergo a transformation. It will be rebranded as the Gulf Mercantile Exchange (GME) and will expand in energy, metals, and agricultural products. Tadawul also has the option to take majority control of the exchange after four years, paving the way for a promising future. Founded in 2007, GME lists the Oman crude oil futures contract and counts Oman Investment Authority and Dubai Holding among its shareholders. Tadawul’s investment represents a significant opportunity to leverage world-class capabilities and expertise, accelerating GME’s growth as a regional commodities leader that is well-positioned to capture global commodities demand. Saudi Tadawul Group | Dubai Mercantile Exchange (DME) | #Commodities | #Oil | #Omancrude

MUSCAT: Saudi Tadawul Group Holding Company (the Group), a leading diversified capital markets group in the MENA region, has announced that it has completed the acquisition of a 32.5 per cent in DME Holdings Limited, one of the leading international commodities exchanges. As a result of the transaction, the Group is the joint largest shareholder in DME Holdings Limited alongside CME Group, with other shareholders including the Oman Investment Authority and Dubai Holding as well as global financial and commercial industry leaders. Read more: https://lnkd.in/dUbB_5t9 Dubai Mercantile Exchange (DME) Ministry of Energy and Minerals Saudi Tadawul Group CME Group Oman Investment Authority #DME #DMEHoldings #CapitalMarket #Oman #OmanBiz

Dubai Mercantile Exchange Welcomes Saudi Tadawul Group as New Strategic Shareholder Further to the announcement made on 18 January 2024 with respect to a binding agreement to acquire a 32.6% strategic stake in DME Holdings Limited, Saudi Tadawul Group Holding Company (the Group), a leading diversified capital markets group in the MENA region, is pleased to announce that it has completed the acquisition in DME Holdings Limited, one of the leading international commodities exchanges. As a result of the transaction, the Group is the joint largest shareholder in DME Holdings Limited alongside CME Group, with other shareholders including the Oman Investment Authority and Dubai Holding as well as global financial and commercial industry leaders. Consequently, DME will be rebranded as the GME.   The investment from the Group represents a significant opportunity to leverage world-class capabilities and expertise, accelerating GME’s growth as a regional commodities leader that is well-positioned to capture global commodity demand. It will support a strategic move towards leveraging the Middle East’s geographic proximity to both key commodity production hubs and end-markets, with GME serving as a bridge between production and end-markets. Furthermore, the partnership will enable GME to capture demand for energy, metals, and agricultural commodity markets and support the ongoing global transition to a sustainable economy through the launch of next-generation derivatives contracts.

Dubai Mercantile Exchange (DME) to rebrand as Gulf Mercantile Exchange after Saudi Tadawul Group becomes joint largest shareholder, alongside CME Group. Derek Sammann, Senior Managing Director, Global Head of Commodities, Options and International Markets, CME Group, "Building on DME's successful benchmark Omani Crude Oil futures contract, Saudi Tadawul Group's participation in the exchange will unlock new opportunities for developing regionally relevant trading products to help global market participants gain exposure or manage energy, metals or agriculture price risk." #exchanges #dubai https://lnkd.in/eYEnpyHe

The Kingdom of Saudi Arabia is poised to raise at least $11.2 billion from the ongoing secondary offering of shares in Saudi oil giant Aramco, Bloomberg reported on Friday, citing anonymous sources with knowledge of the matter. The Saudi government is expected to sell the 1.545 billion shares of Aramco on offer, or about 0.64% of the company’s issued shares, at $7.27 (27.25 Saudi riyals) per share, according to Bloomberg’s sources.

The owner of Saudi Arabia’s stock market has acquired a 32.6% stake in the Dubai Mercantile Exchange as it seeks to diversify its revenue and gain access to oil, metals and agricultural trading. Saudi Tadawul Group bought the holding in the DME, as the Dubai exchange is known, for 107 million riyals ($28.5 million), according to a statement on Thursday, making it the joint largest shareholder along with US-based CME Group. As part of the agreement, the DME will be renamed the Gulf Mercantile Exchange and will expand in energy, metals and agricultural products. The Tadawul also has the option to take majority control of the exchange after four years. The investment comes as Saudi Arabia spends billions of dollars to become a hub for the production and processing of metals and minerals. Its sovereign wealth fund is the majority owner of Tadawul, and a key investor in the kingdom’s broader commodities strategy. #saudiarabia #saudivision2030 #mining #commodities #commoditiestrading

Dubai Mercantile Exchange, the international energy futures exchange in the Middle East, is pleased to announce an increase in its  trading volume and physical delivery in the 1st quarter of 2024. This growth is attributed to new participants joining the DME Oman Crude Oil Futures (OQD) price discovery mechanism to better manage their risk. DME Oman Crude Oil Futures increasing liquidity enables market participants to utilize more specific price points, with a fair and transparent mechanism, creating arbitrage opportunities across all Middle East Crude Oil Barrels. A total of volume of 321 million barrels were traded on the exchange during the first 3 months of 2024 compared to 284 million in Q4 2023, an increase of 12% while front month trading activities witnessed an increase of 17% and reaching 236 million barrels in Q1 2024 and a high since 2017. DME delivered a total of 57 million barrels in Q1 2024 – an increase of 2% compared to the previous quarter. DME Oman saw physical exposure increased to 78 million barrels in Q1 2024, up 8% from the previous quarter. DME Oman continues to grow as the world’s largest physically delivered crude oil futures contract. As the market environment continues to evolve, DME remains committed to providing a transparent and efficient marketplace for the East of Suez market. #crudeoil #crudeoilprice #crudeoiltrading #benchmark #oman #opec #crude #energynews #energyindustry #energytrading #commodity #commodities #commoditymarkets #commoditiestrading #commodityprices #commoditytrader #economics #trading #hedging #middleeast #eastofsuez #markets #oil #future #marketanalysis #oilandgas #energysector

Saudi Aramco is preparing to place Islamic bonds in dollars. The Saudi state oil company has become a frequent buyer of dollar bonds: in the summer, Saudi Aramco made its first placement in 3 years, and is now preparing a second one. Saudi Arabia's state-owned company Saudi Aramco is preparing a new issue of dollar-denominated bonds. The Islamic bonds, called "sukuk", will be organized by a pool of banks, including Al Rajhi Bank, Citigroup, JPMorgan and Standard Chartered. Recall that Aramco has not initiated bond issues for the last three years. In the summer of 2024, for the first time in three years, the company issued bonds, and it managed to attract $6 billion. This placement generated high demand among investors for the securities of the Saudi oil company. Saudi Aramco is participating in an ambitious program to diversify the Saudi Arabian economy. The country's authorities, together with state-owned companies, are attracting large funds to finance the development of various industries in the country. https://lnkd.in/emtF5YMY

𝐒𝐭𝐚𝐲 𝐮𝐩𝐝𝐚𝐭𝐞𝐝 𝐚𝐧𝐝 𝐫𝐞𝐜𝐞𝐢𝐯𝐞 𝐢𝐧𝐝𝐮𝐬𝐭𝐫𝐲-𝐬𝐩𝐞𝐜𝐢𝐟𝐢𝐜 𝐢𝐧𝐬𝐢𝐠𝐡𝐭𝐬 𝐰𝐢𝐭𝐡 𝐗𝐩𝐲𝐥𝐨𝐧! 📈🔍 Saudi Aramco Aims to Raise Up to $3 Billion Through Dollar Bonds 🏦💰 Saudi Aramco, the world’s leading oil exporter, is set to raise up to $3 billion through the issuance of U.S. dollar-denominated sukuk (Islamic bonds). The two-tranche bond offering will feature five and 10-year maturity options, according to sources familiar with the deal. Investor calls for the offering are expected to begin on Tuesday. 📞📊 This marks another step in Saudi Aramco's strategy to secure funding as part of the kingdom's Vision 2030 initiative, which aims to diversify the Saudi economy beyond oil. 🛢️🌍 In July, Aramco successfully raised $6 billion from its first bond sale in three years, signaling robust investor interest. Aramco is expected to pay out $124.3 billion in dividends in 2024, with the majority going to the Saudi government, which owns 81.5% of the company. The Public Investment Fund holds an additional 16% stake. 🏛️ Several major banks are involved as bookrunners for the sukuk offering, including Citigroup, Goldman Sachs, HSBC, and JP Morgan. These bonds are expected to attract strong interest from investors, given Aramco’s reputation and the global demand for energy-related securities. 📈 Saudi Arabia’s current oil production stands at around 9 million barrels per day, which is approximately 25% below its full capacity. The country is focusing on generating additional revenue to support its long-term economic goals, including investments in new sectors and reducing its reliance on oil. 🌱 Stay updated with the latest insights by visiting xpylon.com. https://lnkd.in/d8j7-SaB #Energy #EnergyNews #SaudiEnergyNews #Aramco

Saudi Tadawul Group (Tadawul) has agreed to purchase a 32.6 percent stake in Dubai Mercantile Exchange (DME) for $28.5M (SAR 107M), becoming the joint largest shareholder alongside US-based CME Group. #uae #saudiarabia #gcc #mergersandacquisitions #tadawul #dme #financeworld #financeworldmagazine