Happy Wednesday everyone!

Abu Dhabi is reportedly exploring the creation of a dedicated defense-focused investment vehicle as part of broader efforts to strengthen the UAE’s strategic capabilities amid rising regional tensions. Meanwhile, in global markets, GameStop CEO Ryan Cohen is seeking GCC sovereign wealth backing for an ambitious $55.5 billion bid to acquire eBay, underscoring the Gulf’s growing influence in major international dealmaking. Closer to home, fresh data from Savills shows the UAE property market remains resilient despite geopolitical uncertainty, with nearly 45% of respondents planning to buy within the next year.

In the wake of developments in the region, we hope everyone stays safe. At this critical moment, it is essential to remain united and follow guidance issued by official authorities from your country.

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Abu Dhabi Explores New Defense Investment Vehicle

What Is It About?

Abu Dhabi is holding early-stage discussions on creating a dedicated defense-focused investment vehicle aimed at centralizing strategic investments in global defense manufacturers while boosting domestic production capabilities, Bloomberg reported. The proposed entity would reportedly pursue stakes in international defense firms, including drone makers and advanced technology companies, while operating independently from the emirate’s major sovereign wealth funds and existing defense firms.

Why It Matters?

The talks reflect the UAE’s push to strengthen defense resilience as regional conflicts and security risks reshape strategic priorities across the Gulf. A dedicated vehicle could help diversify military supply chains, accelerate access to advanced defense technologies, and reinforce local manufacturing. The move also signals Abu Dhabi’s growing preference for specialized investment platforms to advance national priorities beyond traditional sovereign wealth structures.

What’s Next?

The proposal remains in preliminary stages, and officials are still deliberating its structure, investment scope, and governance model. The vehicle may ultimately not materialize, but if approved, it could become one of Abu Dhabi’s most significant strategic defense initiatives. Its development will likely be closely watched for clues on the UAE’s future security posture, international defense partnerships, and broader geopolitical positioning.

ADIO Rebrands as ‘Beyond Capital’ to Drive Abu Dhabi’s Falcon Economy Vision

Abu Dhabi is signalling that its next growth chapter is about more than attracting investment.

The Abu Dhabi Investment Office has unveiled its new “Beyond Capital” brand, marking a strategic shift from simply drawing capital into the emirate to activating it at scale across high-priority sectors.

The rebrand aligns with Abu Dhabi’s Falcon Economy vision and reflects ADIO’s growing role in building long-term economic value through sector-specific clusters including SAVI, HELM, AGWA and FIDA.

The focus: creating integrated ecosystems that combine infrastructure, regulation, innovation, talent and supply chains to help businesses not just enter Abu Dhabi, but scale globally from it.

The move underscores Abu Dhabi’s broader ambition to position itself as a global platform for future industries, export growth and resilient supply chains.

It’s less about being a destination for capital and more about becoming a launchpad for global economic transformation.

GameStop Seeks Gulf Backing For $55.5 Billion eBay Takeover Bid

What Is It About?

GameStop CEO Ryan Cohen is reportedly seeking support from GCC sovereign wealth funds to help finance a $55.5 billion unsolicited bid for eBay. The proposed deal would see GameStop contribute $9.4 billion in cash, supported by a $20 billion debt package, while Gulf investors could potentially fill the remaining $26.1 billion equity gap in what would be one of retail’s boldest takeover attempts.

Why It Matters?

The move underscores the Gulf’s rising influence in financing major global technology and gaming transactions. For GameStop, acquiring eBay would represent a dramatic strategic shift, transforming the video game retailer into a broader e-commerce player. If successful, the deal could reshape the online resale market and position eBay as a stronger challenger to dominant platforms like Amazon.

What’s Next?

The proposal now awaits eBay’s board response, with Cohen reportedly prepared to pursue a hostile proxy battle if rejected. Analysts remain skeptical, citing financing complexity and structural hurdles. Investor caution is reflected in eBay’s share price trading below the offer level, suggesting markets remain unconvinced the deal will materialize despite the headline-grabbing bid.

UAE Property Market Shows Resilience As Nearly 45% Plan To Buy Despite Regional Uncertainty

What Is It About?

A new Savills Middle East survey shows the UAE residential market remains resilient, with nearly 45% of respondents planning to buy property within the next 12 months. While regional geopolitical tensions have prompted some buyers to delay decisions, interest remains strong. The survey also found a clear preference for ready properties, with around 60% of respondents favoring completed homes over off-plan developments.

Why It Matters?

The findings suggest the market slowdown is driven by caution rather than weakness. More than 60% of property owners plan to hold or expand their portfolios, while only 4% are considering selling, limiting downward pressure on prices. This points to a more mature, end-user-driven market supported by long-term investors, population growth, capital inflows, and stronger underlying fundamentals.

What’s Next?

Savills expects the market to enter a more balanced phase, with softer transaction volumes and longer deal timelines as buyers become increasingly selective. Apartments may face greater pressure from incoming supply, while villas and prime residential assets are likely to remain more resilient. Longer term, market performance will depend on how quickly confidence returns and how effectively new inventory is absorbed.

👨‍💻From Smashi Business’ Desk

• Exclusive: Bezos’ $38 Billion “Project Prometheus” AI Play, Which Has a Quiet Gulf Angle

• The Gulf box office is telling a bigger story than just the strong debut of Michael.

• Saudi Arabia’s first Hollywood-scale blockbuster Desert Warrior has opened modestly at the US box office.

• Despite a market cap of just $15.7 million — well below Nasdaq’s $35 million threshold — Swvl Holdings Corp is not on the brink of delisting.

• UK universities under fire after reports of £440k spent spying on pro-Palestine student activity⁠

🔍In other news…

• World’s largest listed hedge fund manager Man Group to set up in Abu Dhabi

• HH Sheikh Mohammed inaugurates work for Dubai Metro Blue Line tunnels

• Ali al-Zaidi, businessman named Iraq’s prime minister-designate, comes into focus

• Saudi Arabia and UAE to develop new data centres after $2bn foreign investment inflow

• UAE calls for immediate reopening of Strait of Hormuz amid maritime tensions

• US military signals Qatari jet is on track for Air Force One role

🦄 World of Startups

• Dubai gifting marketplace Udora secures $10M

• Saudi fashion platform Aya secures $7m to scale real time production

• Jordan-based Tamatem has acquired Istanbul-founded Playable Factory, strengthening its push into performance marketing and user acquisition.

• Egypt’s Lucky Raises USD 23M Series B. Its Consumer Credit Model is Expanding Into North Africa

• “We Got Funded!” Maison Safqa Raises US$620,000 in Pre-Seed Funding to Expand Luxury Flash-Sale Platform Across GCC

• Via Separations, US-based deeptech startup, raised $36M in funding from Aramco Ventures (Saudi), and other global investors.

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