Latest news with #GulfNavigation
Yahoo
a day ago
- Business
- Yahoo
Brooge Energy Limited (BROG) to Divest Two Storage Units in $884M Gulf Navigation Deal
Brooge Energy Limited (NASDAQ:BROG) announced a definitive agreement to sell its core subsidiaries, BPGIC FZE and BPGIC Phase III FZE, to Gulf Navigation Holding PJSC. Valued at approximately $884 million, the deal indicates a significant change in the company's operational focus in a highly evolving energy logistics environment. A huge refinery and oil storage facility with high automated machinery for blending and circulation. As per the terms of the agreement, the transaction includes a mix of cash, newly issued Gulf Navigation shares, and mandatory convertible bonds. The latter accounts for close to 72% of the total consideration and signals Gulf Navigation's intent to expand its storage alongside its transport ecosystem. In addition to amendments to Gulf Navigation's foreign ownership restrictions, the deal's completion is also affected by the regulatory approvals and bondholder consents. Both parties anticipate closure within three months. As the deal progresses, further updates on shareholder distributions and regulatory filings are expected. The facilities being sold by the company are located at the Port of Fujairah. As such, they offer significant access to key maritime routes, thus potentially providing an uplift to Gulf Navigation's existing fleet operations. Gulf Navigation expects the new purchase to expand its service offerings. For Brooge Energy Limited (NASDAQ:BROG), the aim is to streamline its capital structure as well as resolve legacy liabilities tied to BPGIC Holdings Limited. Brooge Energy Limited (NASDAQ:BROG)'s divestiture comes after a week of extraordinary market performance, where the company's stock price went up by nearly 140%. Supported by strong insider ownership of close to 84% and notable institutional transactions amounting to 11%, the stock has surged by approximately 275% over the past year. While we acknowledge the potential of BROG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BROG and that has 100x upside potential, check out our report about the READ NEXT: 10 Unstoppable Dividend Stocks to Buy Now and 11 Oversold Global Stocks to Buy According to Hedge Funds Disclosure: None.
Yahoo
3 days ago
- Business
- Yahoo
Brooge Energy Limited (BROG) to Divest Two Storage Units in $884M Gulf Navigation Deal
Brooge Energy Limited (NASDAQ:BROG) announced a definitive agreement to sell its core subsidiaries, BPGIC FZE and BPGIC Phase III FZE, to Gulf Navigation Holding PJSC. Valued at approximately $884 million, the deal indicates a significant change in the company's operational focus in a highly evolving energy logistics environment. A huge refinery and oil storage facility with high automated machinery for blending and circulation. As per the terms of the agreement, the transaction includes a mix of cash, newly issued Gulf Navigation shares, and mandatory convertible bonds. The latter accounts for close to 72% of the total consideration and signals Gulf Navigation's intent to expand its storage alongside its transport ecosystem. In addition to amendments to Gulf Navigation's foreign ownership restrictions, the deal's completion is also affected by the regulatory approvals and bondholder consents. Both parties anticipate closure within three months. As the deal progresses, further updates on shareholder distributions and regulatory filings are expected. The facilities being sold by the company are located at the Port of Fujairah. As such, they offer significant access to key maritime routes, thus potentially providing an uplift to Gulf Navigation's existing fleet operations. Gulf Navigation expects the new purchase to expand its service offerings. For Brooge Energy Limited (NASDAQ:BROG), the aim is to streamline its capital structure as well as resolve legacy liabilities tied to BPGIC Holdings Limited. Brooge Energy Limited (NASDAQ:BROG)'s divestiture comes after a week of extraordinary market performance, where the company's stock price went up by nearly 140%. Supported by strong insider ownership of close to 84% and notable institutional transactions amounting to 11%, the stock has surged by approximately 275% over the past year. While we acknowledge the potential of BROG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than BROG and that has 100x upside potential, check out our report about the READ NEXT: 10 Unstoppable Dividend Stocks to Buy Now and 11 Oversold Global Stocks to Buy According to Hedge Funds Disclosure: None.
Zawya
3 days ago
- Business
- Zawya
GulfNav's Brooge acquisition to boost income, slash costs
Dubai-based shipping firm Gulf Navigation Holding (GulfNav) expects an increase in come and lower costs following its acquisition of Brooge Energy. GulfNav's CEO Ahmed Al-Kilani said the merger would lead to the establishment of an integrated logistics company specialising in the transportation and storage of fuel, petroleum products, and petrochemicals. Kilani told CNBC Arabia satellite news TV that the GulfNav, which is specialised in the transportation of petroleum and petrochemical products, has recently overcome difficult condition due to weak liquidity and operational challenges. He noted that the company is now in a stable stage and preparing for a new phase of growth, adding that the Company's Board had two options-- either proceed with gradual expansion by strengthening operations and increasing the marine fleet, which would require a long time, or move towards a faster path through acquisition or merger, which was achieved through this deal with Brooge Energy. He said GulfNav possesses significant assets, including storage tanks for crude oil, petroleum products, and petrochemicals in the Port of Fujairah, which is a global strategic location for storage. He pointed out that these tanks rely on advanced technologies that enable effective operational integration between the two companies. 'This step will open new horizons in global markets and contribute to increasing revenues and reducing expenses due to the integration of services and assets.' Kilani said there are promising opportunities for expanding the operations of both Gulf Navigation and Brooge Energy, expecting Brooge to expand outside the UAE, amidst global moves towards clean energy. (Writing by Nadim Kawach; Editing by Anoop Menon) (
Khaleej Times
3 days ago
- Business
- Khaleej Times
End of free trade era? Tariff war could stall growth for 3 years, CFO warns
Free trade, as the world has known it, is over at least for the next three years, according to a global shipping company head. Ali Abouda, Group Chief Financial Officer (CFO) at Gulf Navigation Holding PJSC, also observed that the world is now in an "active trade war" and finance professionals must resort to frequent forecasting and scenario planning to navigate the uncertain times. "Budgeting has probably become a redundant exercise," said Abouda. "We are going through a very, very unpredictable time in terms of business environment. If there's no stability where you operate, then everything becomes quite difficult and challenging. Budgeting should be replaced by scenario forecast and I think a very frequent forecast should be the name of the game." Ali was in conversation with Khaleej Times Chief Content Officer Ted Kemp about the impact of US tariffs on finance professionals at the sixth edition of the New Age Finance and Accounting (NAFA) summit organized by Khaleej Times. The event saw CFOs, finance leaders, policymakers, and fintech innovators engage in dialogue on various topics including taxes, ESG, and reskilling the workforce. How does Section 301 impact trade? One of the topics of discussion during the conversation was Section 301. Kemp questioned how the section of the Trade Act of 1974, which targets Chinese ships, would impact trade. Abouda explained that 90 per cent of global trade was accounted for by shipping - a field dominated by China. "The US took a decision to keep the brain in the US and move the muscles elsewhere. Section 301 targets Chinese-built, owned, or operated vessels calling at US ports, imposing penalties of $500,000 to $1 million per call in addition to the tariffs. "The resolution is expected to be effective October 4, and if this goes through, I think there will be a structural change in the whole supply chain. China, in one way or another, control about 60 percent of the shipping, either through building or through financing or operating or resources," he said. Unclear directives from US Abouda added that while the Trump administration was agile in decision-making, it lacked clarity. "If the US wants to build more ships, that's all good, except that it isn't something that's going to happen quickly," he said. "I don't know what's the thought process behind it." He gave the example of how US President Donald Trump encouraged more American companies to drill oil, with his 'drill, baby, drill' slogan. "That's practically not possible, because the US doesn't have the capacity today to start increasing production by 3 or 4 million barrels immediately," he said. "That needs a lot of regulations to be in place and a lot of investments, which the US is not ready for. If I was one of the leaders of those companies, I would think twice. If you go with the mandates of an administration that has three years left, maybe the next administration will have a totally different view," Abouda added. He said that Trump's constant shift in tariff policies was also damaging to the industry. "The most recent example is, he imposed a 50 percent tariff on Europe and two days later, it was pushed to July 9," he said. "So, he's creating an environment which is very difficult to do business in."
Zawya
3 days ago
- Business
- Zawya
Mideast Stocks: Most Gulf bourses advance in early trade, along with oil prices
Stock markets in the Gulf gained early on Wednesday as oil prices rose, although the advance was limited by expectations of an output hike at an OPEC+ meeting scheduled later this week. In addition, Saudi Arabia, the world's biggest oil producer, may cut its crude prices for Asian buyers in July to its lowest in six months. Saudi Arabia's benchmark index was up 1.08%. The July official selling price for flagship Arab Light crude may drop by 40 to 50 cents to between 90 cents and $1 a barrel from the previous month, four Asian refining sources told Reuters in a survey. Oil prices inched up on Wednesday with concerns looming over supply after the U.S. barred Chevron from exporting crude from Venezuela. Gains were limited as markets awaited OPEC+ group's decision on the output hike later this week. Brent crude futures rose 7 cents, or 0.1%, to $64.16 a barrel by 0640 GMT. Meanwhile, EU officials have asked EU leading companies and CEOs for details of their U.S. investment plans as Brussels prepares to advance trade talks with Washington. Uncertainity over U.S. President Donald Trump's chaotic trade policies continues to linger. Nasdaq futures dipped 0.03% in Asia trading, while S&P 500 futures eased 0.06%. Markets in the UAE varied, with Dubai's main share index inching down 0.07% and Abu Dhabi's benchmark index up 0.51%. In Dubai, education services provider Taaleem Holdings was down 2.43%. Maritime and shipping company Gulf Navigation Holding gained 3.66% after GulfNav and Brooge signed an AED 3.2 billion ($871.32 million) pact to buy the assets and subsidiaries of Brooge. Bucking the trend, Qatar's benchmark stock index was down 0.36%, marking a fourth consecutive session of losses. Integrated telecom services provider Ooredoo was the top loser on the index, down 0.71%. Qatar National Bank, the largest bank in the region by assets, was down 0.56% ($1 = 3.6726 UAE dirham)
