Aabar Investments will discuss the possibility of raising more debt at a board meeting tomorrow.
Aabar would use the meeting to "consider refinancing opportunities for existing indebtedness ? and the company's future projects and investment opportunities", the company said in a statement to the Abu Dhabi Securities Exchange.
One possibility is that Aabar, an investment vehicle controlled by the Abu Dhabi Government, may consider increasing its recent US$800 million (Dh2.93 billion) loan to $2bn. The company last month obtained a three-year, $800m club loan for general corporate purposes.
"Banks are working on upsizing the recent loan to $2bn that could be used for paying maturing loans and probably investments," Reuters quoted an unnamed banker as saying. The loan would be finalised "within weeks", another banker said.
National Bank of Abu Dhabi was the lead arranger of the original $800m loan.
If Aabar does take on the loan, it will be the fourth time in seven months that the company has acquired additional financing. With a 9.1 per cent stake, Aabar is the largest shareholder in the German car maker Daimler. It also owns 32 per cent of the space tourism venture Virgin Galactic.
According to Aabar's consolidated financial statement, the company had total financial liabilities of Dh15bn at the end of December. Of that, Dh10.7bn was raised to finance Aabar's stake in Daimler, with Dh4.4bn coming due this year. The rest is maturing in 2012.
Also last month, Aabar said it would raise Dh1.5bn by issuing convertible bonds to its majority shareholder International Petroleum Investment Company (IPIC).
The issue was far smaller than the maximum amount mentioned earlier when Aabar said it planned to sell as much as Dh7.35bn of convertible debt for general corporate purposes.
In addition, Aabar also raised a $1.6bn bridge loan in November, of which it had used only Dh2.2bn at the end of December. That loan is also due for full repayment this year, the financial report shows.
"Refinancing seems business as usual. Aabar has just raised debt and logically it will be used to refinance short-term obligations," said Ali Khan, the managing director and head of equities at the investment bank Arqaam Capital in Dubai.
The market will be watching tomorrow's meeting closely for more details on which part of its debt Aabar is planning to refinance, and how it plans to use the funds.
Aabar shares declined 5.5 per cent yesterday to Dh1.72 in a broadly negative market. It has lost almost 16 per cent of its value this year.
Aabar, which was set up in 2005 to invest in oil and natural gas, has diversified its portfolio since IPIC became its major shareholder with more than 71 per cent. Apart from its stake in Daimler, Aabar owns 75.1 per cent of the Brawn Formula One racing team and holds a 4 per cent stake in the US electric sports car manufacturer Tesla Motors.
skhan@thenational.ae
uharnischfeger@thenational.ae
Other workplace saving schemes
- The UAE government announced a retirement savings plan for private and free zone sector employees in 2023.
- Dubai’s savings retirement scheme for foreign employees working in the emirate’s government and public sector came into effect in 2022.
- National Bonds unveiled a Golden Pension Scheme in 2022 to help private-sector foreign employees with their financial planning.
- In April 2021, Hayah Insurance unveiled a workplace savings plan to help UAE employees save for their retirement.
- Lunate, an Abu Dhabi-based investment manager, has launched a fund that will allow UAE private companies to offer employees investment returns on end-of-service benefits.
Tour de France 2017: Stage 5
Vittel - La Planche de Belles Filles, 160.5km
It is a shorter stage, but one that will lead to a brutal uphill finish. This is the third visit in six editions since it was introduced to the race in 2012. Reigning champion Chris Froome won that race.
Sri Lanka v England
First Test, at Galle
England won by 211
Second Test, at Kandy
England won by 57 runs
Third Test, at Colombo
From Nov 23-27
What can you do?
Document everything immediately; including dates, times, locations and witnesses
Seek professional advice from a legal expert
You can report an incident to HR or an immediate supervisor
You can use the Ministry of Human Resources and Emiratisation’s dedicated hotline
In criminal cases, you can contact the police for additional support
In numbers: PKK’s money network in Europe
Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010
Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille
Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm
Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year
Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”
Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners
TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013
The%20Genius%20of%20Their%20Age
%3Cp%3EAuthor%3A%20S%20Frederick%20Starr%3Cbr%3EPublisher%3A%20Oxford%20University%20Press%3Cbr%3EPages%3A%20290%3Cbr%3EAvailable%3A%20January%2024%3C%2Fp%3E%0A
Real estate tokenisation project
Dubai launched the pilot phase of its real estate tokenisation project last month.
The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.
Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.
WITHIN%20SAND
%3Cp%3EDirector%3A%20Moe%20Alatawi%3C%2Fp%3E%0A%3Cp%3EStarring%3A%20Ra%E2%80%99ed%20Alshammari%2C%20Adwa%20Fahd%2C%20Muhand%20Alsaleh%3C%2Fp%3E%0A%3Cp%3ERating%3A%203%2F5%3C%2Fp%3E%0A
In-demand jobs and monthly salaries
- Technology expert in robotics and automation: Dh20,000 to Dh40,000
- Energy engineer: Dh25,000 to Dh30,000
- Production engineer: Dh30,000 to Dh40,000
- Data-driven supply chain management professional: Dh30,000 to Dh50,000
- HR leader: Dh40,000 to Dh60,000
- Engineering leader: Dh30,000 to Dh55,000
- Project manager: Dh55,000 to Dh65,000
- Senior reservoir engineer: Dh40,000 to Dh55,000
- Senior drilling engineer: Dh38,000 to Dh46,000
- Senior process engineer: Dh28,000 to Dh38,000
- Senior maintenance engineer: Dh22,000 to Dh34,000
- Field engineer: Dh6,500 to Dh7,500
- Field supervisor: Dh9,000 to Dh12,000
- Field operator: Dh5,000 to Dh7,000