???? LuLu’s IPO Sets Sail on ADX

Hala,

At 94, American woman Donna Maddox hit the track in a Ferrari, zooming at 150 MPH!(1) ????? Proving age is just a number, she’s still living life in the fast lane. "If you’re alive, then live," she says. #AgeIsJustANumber #ZoomerNotBoomer

amana’s take

• The People's Bank of China cut its one-year Loan Prime Rate by 25 basis points to 3.10%, with a further reduction in the five-year LPR. Aimed at boosting the property sector and consumption, this marks the most significant stimulus since the pandemic. While concerns about long-term growth remain, officials are optimistic about reaching the 5% growth target.

Stock Market Update

??↗???US stocks closed the week with a bang on Friday, as the major averages locked in six weeks of gains in a row. The Dow gained 0.09% to a record 43,275.91, the S&P 500 added 0.40% to a fresh high of 5,864.67, while the Nasdaq 100 climbed 0.66% to 20,324.04.(2) The bulls are running wild at Wall Street! ????

??↘? Meanwhile, most Gulf markets stumbled, weighed down by regional tensions and weak oil prices. Saudi slipped 0.2% to 11,883, while Qatar fell 1.1% to 10,615.(3) ???

????? LuLu Group's Grand Voyage Begins!

LuLu Group is officially setting sail on public waters, launching a massive IPO that involves offering 2.58 billion to investors, representing 25% of its stake.(4) The retail titan, known for its hypermarkets and malls across the GCC, India, and beyond, is eyeing a fruitful journey as it prepares to list on the Abu Dhabi Securities Exchange (ADX) by November 14. LuLu's vessel is packed with dividends and growth opportunities, making this IPO one of the most anticipated market moves of the year! ????

?? Key Anchors and Highlights:

• Share Offering: 2.58 billion shares, representing 25% of LuLu’s total stake.
• IPO Timeline: Subscriptions open October 28 and close November 25.
• Dividend Windfall: Targeting a 75% dividend payout ratio of annual profits after tax, paid semi-annually.
• Listing Date: Set sail on the ADX by November 14.
• Growth Voyage: Looking to raise between $1.7 billion and $1.8 billion to fuel expansion in Egypt and beyond. ????

??? Smooth Sailing or Rough Waters Ahead?

LuLu’s IPO marks the fourth in Abu Dhabi this year, signaling strong winds of opportunity in the region’s financial waters. With major joint bookrunners like Emirates NBD and HSBC steering the course, and a dividend payout on the horizon, investors are eyeing a prosperous voyage ahead. The group, founded by Yussuff Ali in the ‘90s, is now poised for a new chapter of growth, with the IPO fueling its expansion across multiple regions. Anchors away! ??

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Closer to Home?

• ???? Saudi tech firm Ejada Systems is eyeing a $1.5B IPO, with Goldman Sachs and Al Rajhi Capital as the lead underwriters. A+ credit rating and 65% revenue growth in H1 2024 make it a hot prospect!(5) #IPOInTheWorks ??
• ??? Speaking of IPO, Dubizzle Group, Dubai’s classified ad giant, is gearing up for a 2025 IPO, aiming to raise $500M–$1B.(6) Talk about an IPO surge — might be time to list your spare change on Dubizzle! ??)
• ?? According to the UAE Macro Outlook by the National Bank of Kuwait (NBK), non-oil growth will give the UAE's economy a 4% boost in 2025, with finance and real estate investments keeping things buzzing. ?? (7)

What Else Is Trending

• ?? Bitcoin shot to a three-month high on Monday, rising 0.8% to $69,400—guess it got a boost from Trump’s election hopes and dreams of kinder crypto rules. It's up 18% since October 10! (8) ?? (Diamond hands, anyone?)
• ??? Oil prices took a tumble on Friday as China’s slowdown and Mideast uncertainty weighed in. Brent??dropped 1.87% to $73.06, and WTI slipped 2.05% to $69.22. ?? For the week, Brent??shed 7% and WTI lost 8%.(9)
• ?? Gold, however, wasn’t having it. Prices rocketed past $2,700 (record highs) thanks to Mideast tensions, US election jitters, and softening monetary policy. Spot gold gleamed 1% higher to $2,720.05. (10) ? (No, you still can’t make jewelry out of it.)

??Quote of the Day

"A smooth sea never made a skilled sailor." – Franklin D. Roosevelt, 32nd US president

amana.app

Sources:(1) Pubity, (2) (9) (10) CNBC, (3) Reuters, (4) (5) (6) (7) (8) Zawya