Middle East

The US has ousted Turkey from the F-35 stealth fighter programme because the country has begun receiving components of the Russian S-400 missile system. Meanwhile, the central bank’s credibility is damaged and an interest rate decision is only a week away. Does the bond market care? It seems not.

Dubai-headquartered international education provider GEMS Education is seeking a $1.85bn debt package to support CVC Capital Partners taking a minority stake in the company.

Oman-based Octal, a leading producer of plastic packaging, has raised loans to the value of $625m from a range of local and international lenders

Public Investment Fund (PIF), Saudi's sovereign wealth fund, is expected to close its second ever debt offering in September, according to bankers close to the deal. Some say the bridge loan, which is a reprieve to EM bankers that have been operating in a barren market all year, may receive tighter margins than PIF's competitively-priced debut loan in September 2018.

Hazem Shawki is set to join Credit Suisse from Goldman Sachs in order to lead its investment banking operations in the Middle East, Turkey and Africa, with a particular focus on pushing further into the Saudi Arabian market.

The Middle East is regaining its position as the core source of emerging markets issuance after a brief lull in June. Emirates Strategic Investments Company (ESIC) has announced a roadshow for its first dollar sukuk.

Turkey took delivery from Russia of the first components of its new S-400 missile system on July 12. The US is readying a new bevy of sanctions against the country, but investors say their effect will be limited.

After one of Turkey’s strongest months in capital markets of the year, this weekend the country’s president shocked investors by firing the governor of Turkey’s central bank. While Turkish assets sold off sharply on Monday, they recovered during the week. But some onlookers are worried that the recovery reflects desperation for yield, not a reduction in risks to Turkey’s economy.

DP World on Thursday launched a new $1bn 10 year sukuk and $300m tap of its $1bn 5.625% September 2048s, both with negative new issue premiums.

DP World has updated price guidance for its new 10 year benchmark sukuk and $200m tap of its 2048s, with order books already a healthy size for both deals.

Turkish private sector development bank, Turkiye Sinai Kalkinma Bankasi (TSKB), has closed its annual loan refinancing. The deal was signed amid secondary spreads for Turkish bank paper tightening and as a precursor to the next wave of refinancings for the country's financial institutions.

DP World is embarking on a roadshow to market a new 10 year benchmark Reg S dollar sukuk. It is also considering long dated Reg S-only dollar funding.