The initial public offering of Emirates Global Aluminium, the UAE’s biggest industrial company outside the oil and gas sector, is on track for the second half of this year, as the company presses ahead to finish its $3.3 billion Al Taweelah alumina refinery project in Abu Dhabi, its chief executive said.
“We have decided to go for [the] IPO in 2018. We will let you know how much, where [later],” Abdulla Kalban, told a media briefing on Tuesday, without giving further details. The deal will depend on the market conditions, he said.
In February, Khaldoon Al Mubarak, chief executive of Mubadala Investment Company and EGA’s chairman said 2018 would be the year EGA goes to the market. The company is among the regional state-controlled entities planning a share float as IPOs make a comeback after a lull in the past two years.
The UAE markets, which along with their GCC peers lagged a global equities rally last year, have already seen two big-ticket deals -- the listing of Emaar Development in Dubai and Adnoc’s float of its fuel and retail business on the Abu Dhabi Securities Exchange in 2017. As the economy recovers from a three-year oil slump, more IPOs, from both the private and public sector, are expected to hit the market.
EGA’s IPO plans come at a challenging time for global aluminium industry, in the wake of US President Donald Trump’s decision to target steel and aluminium imports with tariffs of 25 and 10 per cent, respectively.
Mr Kalban, however, said EGA remains committed to the US market and will continue serving its customers there.
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Read more:
UAE expected to 'quietly mitigate' impact from Trump’s new aluminium and steel tariffs
Mubadala to float Emirates Global Aluminium next year, CEO says
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“It’s a good market and we have been there since 1998," he said. "We have a very good customer base in the US and I think we will continue supplying our customers.”
EGA, exported about half a million tonnes of aluminium to the US in 2017. It is the third-biggest exporter to the country after China and Russia.
Talks between the UAE government and the US administration on tariff issues are “progressing well”, Mr Kalban said, without giving further details.
Despite potential headwinds, the company is pursuing its growth agenda, expanding operations in the UAE and abroad with an aim to secure all segments of the value chain, from a $1.4bn bauxite mine in Guinea to its Al Taweelah alumina refinery.
The alumina refinery is the first to be built in the UAE, and only the second in the region after Maaden’s production facilities in Saudi Arabia. It will refine bauxite ore into alumina, the feedstock for aluminium smelters. EGA currently imports all the alumina it uses in aluminium production.
The company, which reported a 59 per cent increase in 2017 net profit, said the overall refinery project has reached 82 per cent completion and construction on the calcination process facility is complete. The project, which is being funded from EGA’s own balance sheet, is expected to come on stream in 2019.
Once full ramp up is achieved, Al Taweelah is expected to produce about 2 million tonnes of alumina per year, meeting 40 per cent of EGA’s alumina requirements for its two smelters in Abu Dhabi and Dubai.
EGA has already begun pre-feasibility study for phase two of the refinery project which, if built, will double the capacity to 4 million tonnes.
“We are looking at different technology and equipment. Hopefully, phase two would be much more efficient [and will be] built faster,” he said, adding that the cost for the next phase has yet to be determined.
Full Party in the Park line-up
2pm – Andreah
3pm – Supernovas
4.30pm – The Boxtones
5.30pm – Lighthouse Family
7pm – Step On DJs
8pm – Richard Ashcroft
9.30pm – Chris Wright
10pm – Fatboy Slim
11pm – Hollaphonic
HOSTS
T20 WORLD CUP
2024: US and West Indies; 2026: India and Sri Lanka; 2028: Australia and New Zealand; 2030: England, Ireland and Scotland
ODI WORLD CUP
2027: South Africa, Zimbabwe and Namibia; 2031: India and
Bangladesh
CHAMPIONS TROPHY
2025: Pakistan; 2029: India
COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
Killing of Qassem Suleimani
The Sand Castle
Director: Matty Brown
Stars: Nadine Labaki, Ziad Bakri, Zain Al Rafeea, Riman Al Rafeea
Rating: 2.5/5
Wicked
Director: Jon M Chu
Stars: Cynthia Erivo, Ariana Grande, Jonathan Bailey
Company%20Profile
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If you go
Where to stay: Courtyard by Marriott Titusville Kennedy Space Centre has unparalleled views of the Indian River. Alligators can be spotted from hotel room balconies, as can several rocket launch sites. The hotel also boasts cool space-themed decor.
When to go: Florida is best experienced during the winter months, from November to May, before the humidity kicks in.
How to get there: Emirates currently flies from Dubai to Orlando five times a week.
COMPANY%20PROFILE%20
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The five pillars of Islam
COMPANY%20PROFILE
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A timeline of the Historical Dictionary of the Arabic Language
- 2018: Formal work begins
- November 2021: First 17 volumes launched
- November 2022: Additional 19 volumes released
- October 2023: Another 31 volumes released
- November 2024: All 127 volumes completed
Killing of Qassem Suleimani
MOTHER%20OF%20STRANGERS
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The specs
Engine: 1.5-litre turbo
Power: 181hp
Torque: 230Nm
Transmission: 6-speed automatic
Starting price: Dh79,000
On sale: Now
How to protect yourself when air quality drops
Install an air filter in your home.
Close your windows and turn on the AC.
Shower or bath after being outside.
Wear a face mask.
Stay indoors when conditions are particularly poor.
If driving, turn your engine off when stationary.
RESULTS
2pm: Handicap (PA) Dh40,000 (Dirt) 1,200m
Winner: Najem Al Rwasi, Fabrice Veron (jockey), Ahmed Al Shemaili (trainer)
2.30pm: Handicap (PA) Dh40,000 (D) 2,000m
Winner: Fandim, Fernando Jara, Majed Al Jahouri
3pm: Maiden (PA) Dh40,000 (D) 1,700m
Winner: Harbh, Pat Cosgrave, Ahmed Al Mehairbi
3.30pm: Maiden (PA) Dh40,000 (D) 1,700m
Winner: Wakeel W’Rsan, Richard Mullen, Jaci Wickham
4pm: Crown Prince of Sharjah Cup Prestige (PA) Dh200,000 (D) 1,200m
Winner: Jawaal, Fernando Jara, Majed Al Jahouri
4.30pm: Sheikh Ahmed bin Rashid Al Maktoum Cup (TB) Dh200,000 (D) 2,000m
Winner: Tailor’s Row, Royston Ffrench, Salem bin Ghadayer
Notable Yas events in 2017/18
October 13-14 KartZone (complimentary trials)
December 14-16 The Gulf 12 Hours Endurance race
March 5 Yas Marina Circuit Karting Enduro event
March 8-9 UAE Rotax Max Challenge
Business Insights
- Canada and Mexico are significant energy suppliers to the US, providing the majority of oil and natural gas imports
- The introduction of tariffs could hinder the US's clean energy initiatives by raising input costs for materials like nickel
- US domestic suppliers might benefit from higher prices, but overall oil consumption is expected to decrease due to elevated costs
COMPANY%20PROFILE
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Company%20Profile
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The%20Color%20Purple
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Company%20Profile
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Ferrari
%3Cp%3E%3Cstrong%3EDirector%3A%3C%2Fstrong%3E%20Michael%20Mann%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%3C%2Fstrong%3E%20Adam%20Driver%2C%20Penelope%20Cruz%2C%20Shailene%20Woodley%2C%20Patrick%20Dempsey%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%203%2F5%3C%2Fp%3E%0A
Killing of Qassem Suleimani
The specs
Engine: 1.5-litre 4-cylinder petrol
Power: 154bhp
Torque: 250Nm
Transmission: 7-speed automatic with 8-speed sports option
Price: From Dh79,600
On sale: Now
COMPANY PROFILE
Name: HyperSpace
Started: 2020
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
Based: Dubai, UAE
Sector: Entertainment
Number of staff: 210
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
Farasan Boat: 128km Away from Anchorage
Director: Mowaffaq Alobaid
Stars: Abdulaziz Almadhi, Mohammed Al Akkasi, Ali Al Suhaibani
Rating: 4/5