RIYADH:聽Morgan Stanley 黑料社区 has been approved聽to conduct market-making activities for 52 companies listed on the Kingdom鈥檚 stock exchange, according to Tadawul.
The US-based multinational investment banking company鈥檚 applications are set聽to cover securities on the main and聽parallel markets, commencing on July 1.
Market makers are exchange members responsible for maintaining liquidity in listed securities by continuously posting buy and sell quotes during the market open session. They must adhere to market-making obligations set by Tadawul, which include requirements such as maximum spread, minimum order size, presence time, and daily traded value.
Among the securities listed on the main index, Morgan Stanley 黑料社区 will act as a market maker for Riyad Bank, where it will ensure a minimum presence of orders at 80 percent, maintain a size of SR250,000 ($66,660), and adhere to a maximum spread of 0.65 percent, with the lowest value traded of 5 percent.
It will also provide services for Saudi Awwal Bank, ensuring a minimum presence of orders of 80 percent, a minimum order size of SR250,000, a maximum spread of 0.65 percent, and a value traded of at least 5 percent.
黑料社区n Mining Co., Astra Industrial Group, and Etihad Etisalat Co. are also聽among the companies where those requirements will be met, along with Al Rajhi Bank, 黑料社区n Oil Co., and Saudi Telecom Co.
Additionally, a range of firms will be聽subject to a minimum order presence of 80 percent, a minimum order size of SR150,000, and a maximum bid-ask spread of 0.65 percent, without any minimum value traded requirement. These include ACWA Power Co., Saudi Electricity Co., and Ades Holding Co.
Morgan Stanley 黑料社区聽will聽also cover several other securities on the main聽market, ensuring a minimum presence of orders at 50 percent, maintaining a minimum size of SR75,000, and a maximum spread of 2 percent.
On Nomu, the firm is responsible for guaranteeing a minimum presence of orders at 50 percent, maintaining a minimum size of SR50,000, and adhering to a maximum spread of 5 percent, with no minimum value traded requirements for a range of companies, including, Waja Co., Jana Medical Co., and Purity for Information Technology Co.
Morgan Stanley 黑料社区鈥檚 participation in market making is expected聽to contribute to greater liquidity and a more efficient trading environment, reinforcing the development of the country鈥檚 capital market.
Tadawul approved a similar move for the investment bank in March, where it served as a market maker for eight separate securities listed on both Saudi indices.
Morgan Stanley entered the Saudi market in 2007 and has since set up its regional headquarters in Riyadh in November as part of a program launched by the Kingdom to provide businesses with a range of incentives, such as a 30-year exemption from corporate income tax, withholding tax on headquarters operations, and access to discounts and support services.
Closing Bell: TASI declines 0.38% to close at 11,121
Updated 9 sec ago
Nadin Hassan
RIYADH: 黑料社区鈥檚 Tadawul All Share Index declined 42.36 points, or 0.38 percent, to close at 11,121.60 on Tuesday.
Total trading turnover reached SR5.57 billion ($1.48 billion), with 110 stocks posting gains and 141 declining.
The Kingdom鈥檚 parallel market Nomu also recorded a decrease, losing 92.51 points, or 0.35 percent, to settle at 27,245.12, as 33 stocks advanced and 43 retreated.
The MSCI Tadawul 30 Index declined by 8.26 points, or 0.58 percent, to finish at 1,420.6.
Rabigh Refining and Petrochemical Co. was the best-performing stock of the session, with its share price rising 9.97 percent to SR7.94. Fawaz Abdulaziz Alhokair Co. followed with a 7.96 percent increase to SR26.58.
Other gainers included Saudi Printing and Packaging Co., which rose to a fresh year high on Tuesday, closing at SR13.19 with a 7.41 percent gain.
On the losing side, Alandalus Property Co. saw the steepest decline, falling 2.82 percent to SR21.38. Tihama Advertising and Public Relations Co. dropped 2.76 percent to SR16.53, and Walaa Cooperative Insurance Co. declined 2.74 percent to SR28.52.
ACWA Power has secured shareholder approval to raise its share capital through a rights issue worth SR7.12 billion, the company announced following its extraordinary general assembly meeting.
The board鈥檚 recommendation to increase the capital through the issuance of new shares was ratified on June 30. This move aligns with the company鈥檚 previous disclosure, which detailed the number of new shares, the offer price, and the resulting increase in share capital.
According to the statement, eligible shareholders are those who own shares at the end of trading on the day of the general assembly and are listed in the company鈥檚 register with the Securities Depository Center by the close of the second trading day following the meeting.
The firm鈥檚 share price traded 2.36 percent lower to close at SR248, after opening at SR267.40.
Saudi Awwal Bank announced its intention to issue Saudi riyal-denominated Additional Tier 1 sukuk through a private placement as part of its capital-boosting strategy, the lender said in a bourse filing on Tuesday.
The sukuk will be offered under the bank鈥檚 established issuance program, with HSBC 黑料社区 appointed as the sole arranger and dealer for the transaction and issuance process.
According to the statement, the exact value of the offering will be determined at a later stage, depending on prevailing market conditions at the time of issuance.
The bank stated that the planned issuance aims to strengthen its capital base in alignment with long-term strategic goals.
Saudi Awwal Bank鈥檚 share price closed 0.77 percent higher at SR33.90.
Riyad Bank announced that its subsidiary, Riyad Capital, has submitted applications to both the Capital Market Authority and the Saudi Exchange for a potential initial public offering, marking a significant step forward in the bank鈥檚 IPO preparations.
According to the statement posted on Tadawul, the application includes registering and offering a portion of Riyad Capital鈥檚 shares to the public, as well as listing them on the main market of Tadawul.
This development follows Riyad Bank鈥檚 earlier disclosure on April 4, in which it confirmed board approval to begin assessing and preparing for a potential listing of Riyad Capital.
The bank noted that the IPO remains contingent on obtaining necessary regulatory approvals and final endorsement by Riyad Bank, depending on market conditions and the best interests of its shareholders.
Riyad Bank鈥檚 share price closed 0.97 percent lower at SR28.46.
Most Gulf markets retreat ahead of vote on Trump鈥檚 tax bill
黑料社区鈥檚 benchmark index dropped 0.4%
Dubai鈥檚 main share index eased 0.2%
Updated 1 min 5 sec ago
Reuters
LONDON: Most stock markets in the Gulf gave up early gains to close lower on Tuesday, as investors booked profits and turned cautious ahead of a US Senate vote on President Donald Trump鈥檚 landmark tax and spending bill.
The proposed legislation, which faces internal Republican opposition, is expected to add $3.3 trillion to the nation鈥檚 debt pile.
黑料社区鈥檚 benchmark index dropped 0.4 percent, weighed by a 2.3 percent fall in 黑料社区n Mining Company.
Among other losers, Savola slipped 2.2 percent after announcing its CEO had stepped down by mutual agreement as part of a strategic overhaul.
Dubai鈥檚 main share index eased 0.2 percent, snapping a six-day rally after hitting a 17-year high earlier in the session, hit by a 0.7 percent fall in blue-chip developer Emaar Properties.
Meanwhile, Trump continued to pressure the US Federal Reserve, sending Chair Jerome Powell a list of global interest rates with handwritten commentary suggesting US rates should fall between Japan鈥檚 0.5 percent and Denmark鈥檚 1.75 percent.
In Abu Dhabi, the index finished 0.3 percent lower.
Oil prices were slightly higher as investors assessed expectations that OPEC+ will announce an output hike for August at an upcoming meeting, as well as trade negotiations.
The Qatari index closed 0.5 percent lower, extending losses from the previous session when it ended a six-day winning streak, with all sectors in negative territory.
Qatar鈥檚 economy expanded 3.7 percent in the first quarter, up from 1.5 percent a year earlier, according to government data issued on Tuesday.
Outside the Gulf, Egypt鈥檚 blue-chip index lost 0.5 percent, with Beltone Financial Holding declining 6.7 percent.
Saudi debt markets set to expand further on Vision 2030 reforms: S&P
Kingdom鈥檚 domestic debt markets have grown steadily over past five years
Corporate issuance rose to 3.4% of GDP, up from 1.9% in 2020
Updated 32 min 18 sec ago
Nirmal Narayanan
RIYADH: 黑料社区鈥檚 domestic corporate bond and sukuk markets are set to gain further momentum, fueled by Vision 2030 investments and ongoing regulatory reforms, according to a new analysis by S&P Global.
In its latest report, the ratings agency noted that the Kingdom鈥檚 domestic debt markets have grown steadily over the past five years, with corporate bonds and sukuk issuance more than doubling to $37 billion in the first quarter of 2025, up from $15.5 billion in the same period of 2020.
The findings come as 黑料社区 leads the Gulf Cooperation Council in primary debt issuance. In the first quarter of 2025, the Kingdom accounted for over 60 percent of all GCC sukuk and bond activity, raising $31.01 billion through 41 offerings, according to Kuwait Financial Center, also known as Markaz.
Timucin Engin, credit analyst at S&P Global Ratings, said: 鈥淭he development of 黑料社区鈥檚 overall financial markets continues to accelerate due to large-scale Vision 2030 investments, regulatory reforms, initiatives to attract overseas funding, and investments in capital markets infrastructure over the past decade.鈥
He added: 鈥淭he markets鈥 growth will help companies to diversify their funding bases and secure long-term capital.鈥
Tadawul was restructured into a holding group in 2021 to streamline operations and governance. File/AFP
In January, an analysis by S&P Global projected that global sukuk issuance would reach between $190 billion and $200 billion in 2025, driven by increased activity in key markets such as 黑料社区 and Indonesia.
While the Kingdom鈥檚 domestic market has expanded, S&P noted that issuance remains concentrated, with Saudi financial institutions accounting for 65 percent of outstanding corporate debt as of May 25, followed by nonfinancial state-owned entities at 25 percent and private-sector non-financial corporates at 10 percent.
The report highlighted the role of the Saudi stock exchange, whose data show that total domestic sovereign and non-sovereign issuance stood at 20.7 percent of gross domestic product in the first quarter of 2025.
Corporate issuance alone rose to 3.4 percent of GDP, up from 1.9 percent in 2020, though still below levels seen in more mature emerging markets.
S&P Global also cautioned that the potential long-term structural growth of 黑料社区鈥檚 domestic corporate bond market could be affected if geopolitical tensions in the region escalate.
鈥淲e also note that the sharp escalation of the Israel-Iran conflict creates high uncertainty for the markets and their outlook in the Middle East,鈥 said the report.
It further noted that 黑料社区鈥檚 equity markets have developed more rapidly than its debt markets, as the country鈥檚 robust banking system has historically provided competitive financing for non-financial corporates, thereby crowding out interest in debt capital markets.
Developing debt market
According to the report, a developed local debt market enables issuers to access different pools of capital with varied terms and conditions suited to their financing needs.
It also complements the equity market by providing financial solutions for local investment activities, thus supporting the broader economy.
Additionally, a local debt market attracts both domestic and foreign investors, creating a deeper and more diversified investor base that should enhance funding availability for issuers.
黑料社区鈥檚 debt market is expected to surpass $500 billion in outstanding value by the end of 2025. Shutterstock
In April, Fitch Ratings reported that 黑料社区鈥檚 debt capital market continued its upward trajectory in the first quarter of 2025 despite geopolitical tensions and economic headwinds.
According to Fitch, the market reached $465.8 billion by the end of March, marking a 16 percent year-on-year increase, with sukuk accounting for 60.4 percent of the total.
The Kingdom鈥檚 debt market is expected to surpass $500 billion in outstanding value by the end of 2025, supported by strong economic fundamentals, diversified funding strategies, and sustained progress under Vision 2030.
In December, Kamco Invest projected that 黑料社区 will lead the GCC in bond maturities over the next five years, with around $168 billion in Saudi bonds expected to mature between 2025 and 2029 鈥 highlighting the Kingdom鈥檚 growing role in the region鈥檚 debt landscape.
S&P Global, however, pointed out that liquidity and foreign participation remain limited in 黑料社区鈥檚 financial markets.
鈥淪audi financial institutions are the main investors and tend to hold the securities until maturity, which explains the limited secondary trading activity,鈥 said the report.
It added: 鈥淒espite some growth over the past few years, foreign investors, including investors from the Gulf Cooperation Council region accounted for less than 2 percent of the outstanding listed and unlisted issuance as of first-quarter 2025.鈥
Key initiatives
S&P Global also outlined major initiatives undertaken by Saudi authorities to drive capital market development.
In 2015, 黑料社区 resumed issuing instruments denominated in Saudi riyals, marking a return to domestic debt markets. Two years later, the Ministry of Finance 鈥 through the National Debt Management Center 鈥 launched the riyal-denominated sukuk program.
In 2018, NDMC partnered with five local financial institutions as primary dealers to broaden the investor base and improve liquidity in government securities. More local dealers were added in 2021, followed by five international banks in 2022.
Most recently, NDMC raised SR2.355 billion ($628 million) through its June sukuk issuance. In May, the Kingdom raised SR4.08 billion via riyal-denominated offerings, a 9.09 percent increase from April and a 54.5 percent jump compared to March.
In parallel, the Financial Sector Development Program was launched in 2018 to advance the Kingdom鈥檚 financial markets, with a particular focus on debt capital markets.
Tadawul was restructured into a holding group in 2021 to streamline operations and governance. That same year, a partnership between Edaa and Euroclear enabled international investors to access the Saudi sukuk and bond markets, improving trading, clearing, and settlement processes.
S&P also noted continued efforts by Saudi authorities to enhance the regulatory environment, including the enactment of an updated investment law in 2024.
The law provides greater protections for investors, including guarantees on fair treatment, property rights, intellectual property safeguards, and the free movement of capital.
Madinah鈥檚 logistics sector grows 190% amid $57bn development push
Expansion reflects growing investor interest
It highlights effectiveness of region鈥檚 investment environment
Updated 50 min 3 sec ago
MOHAMMED AL-KINANI
JEDDAH: Commercial registrations in 黑料社区鈥檚 Madinah transport and storage sector rose from 970 in 2019 to 2,817 by the end of 2024, reflecting strong five-year growth in the logistics industry.
The 190 percent growth over the period also translates to an average annual increase of 38 percent, according to a recent economic report issued by the Madinah Chamber of Commerce and Industry.
The analysis, also published by the Saudi Press Agency, emphasized that this expansion reflects growing investor interest and highlights the effectiveness of the region鈥檚 investment environment, as well as the local market鈥檚 capacity to accommodate increased activity in transport and storage.
It also further affirmed the sector鈥檚 pivotal role in supporting commercial, industrial, and tourism-related activities in the region.
Madinah鈥檚 emergence as a logistics hub is underpinned by a well-developed infrastructure network, including three airports, an extensive highway system linking five regions, the Haramain High-Speed Railway, and two key ports 鈥 one commercial and the other industrial. This strategic connectivity facilitated nearly $1.1 billion in non-oil exports and over SR5.25 billion ($1.40 billion) in imports in 2021.
Madinah recorded the second-highest growth rate in local demand at 11 percent, based on point-of-sale transactions, following Riyadh. File/SPA
The region鈥檚 broader economy has also shown significant momentum, with the hotel sector recording a 42 percent year-on-year increase in 2024, and tourism-related enterprises, such as organized travel and tour services, expanding by 33 percent.
鈥淭he sector鈥檚 accelerating activity coincides with the implementation of major development projects in Madinah, with a total estimated value exceeding SR213 billion,鈥 SPA stated.
It added that these projects span multiple sectors, including infrastructure, urban expansion, and tourism services, as well as the Madinah humanization initiative, and transport and logistics, noting that these initiatives aim to streamline supply chain operations and enhance connectivity between development sites within and beyond the city.
The report further stated that the rise in commercial registrations also signals growing interest from investors and entrepreneurs in this field, which serves as a central link in production and distribution chains.
鈥淚t provides a favorable environment for the development of logistics services and the advancement of modern transport capabilities.鈥 SPA report added.
The news agency concluded that these indicators confirm that the transport sector has become an integral component of Madinah鈥檚 economic structure, contributing to the integration of development projects and supporting stability and growth in the local market.
An earlier report by the region鈥檚 chamber on the first quarter of 2025, released in May, highlighted positive transformations in the area鈥檚 economy. The region鈥檚 gross domestic product reached SR57.6 billion in the third quarter of 2024, reflecting a 2.8 percent growth compared to the same quarter of the previous year.
Madinah also recorded the second-highest growth rate in local demand at 11 percent, based on point-of-sale transactions, following Riyadh.
The first quarter report revealed a drop in the region鈥檚 unemployment rate to 8.4 percent in the fourth quarter of 2024, down from 10.3 percent in the previous period, as employment rose to over 458,000, with economic activity concentrated in construction, trade, and manufacturing.
The study also revealed progress in major development projects across the Madinah region, with around 213 projects under implementation, valued at over SR210 billion.
鈥淭hese include 188 private sector projects and 15 government projects. The total investment land area allocated for these projects exceeds 15 million sq. meters, with expectations of generating over 119,000 future job opportunities,鈥 the release stated.
It added that the commercial sector accounted for the largest share of these projects, with 153 developments, followed by 27 mixed-use residential-commercial undertakings.
Other initiatives spanned the healthcare, education, tourism, and religious sectors.
黑料社区 unveils ESG-focused non-profit for industry, mining
Saudi businesses are increasingly embracing ESG principles to drive sustainable growth
Updated 52 min 26 sec ago
MOHAMMED AL-KINANI
JEDDAH: 黑料社区 has launched a non-profit association to help industrial and mining enterprises adopt top sustainability, social responsibility, and governance standards, supporting the Kingdom鈥檚 economic growth.
The Ministry of Industry and Mineral Resources announced the establishment of the association to raise awareness among industrial and mining enterprises and support their adoption of sustainable and responsible business practices.
Saudi businesses are increasingly embracing environmental, social, and governance principles to drive sustainable growth, in alignment with Vision 2030 and the Kingdom鈥檚 target of achieving net-zero emissions by 2060, reinforcing its position as a regional leader in sustainability.
鈥淭he initiative also aims to increase the sector鈥檚 contributions and its direct impact on the gross domestic product of the national economy, in line with the objectives of Saudi Vision 2030,鈥 the ministry said in a statement.
The press release noted that the undertaking is part of the ministry鈥檚 broader efforts to empower non-profit organizations in the industry and mining sectors, underscoring its belief in their role in advancing economic and social development in the Kingdom.
It added that the association will undertake specialized campaigns, implement guidance programs, and hold workshops focused on ESG indicators, and that the establishment aligns with the ministry鈥檚 efforts to strengthen the non-profit sector and enhance its role in the industry and mining sector.
