Happy Wednesday everyone!

Saudi Arabia can be the owner of a Formula One team in the future, and Saudi automobile and motorcycle federation chairman Prince Khalid bin Sultan Al-Abdullah Al-Faisal says it won’t be a surprise. Meanwhile, Saudi Barn’s Coffee is brewing up an IPO on Tadawul as it accelerates regional expansion. Over in Dubai, the property market remains on fire — Q1 2025 saw prices and investor demand surge across key areas, with luxury villas leading the charge. From racing circuits to real estate and retail, the region continues to flex its economic muscle.

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Dubai Property Market Heats Up In Q1 2025 As Prices And Investor Interest Surge

📰 What is it about?

• Bayut, the UAE’s leading property portal, has released its Q1 2025 market report, showing a strong uptick in property prices across Dubai’s real estate sectors.

• Villa prices in DAMAC Hills led the market with an increase of over 20%, marking one of the highest jumps in the segment.

• Over 45,000 transactions were recorded in the first quarter, totaling AED 142 billion in sales—split between ready properties (AED 64B) and off-plan properties (AED 78B).

• Affordable and mid-range areas like Dubai Residence Complex, Dubai Silicon Oasis, and Jumeirah Village Circle continued to attract value-conscious buyers, while premium locations like Dubai Marina, Downtown, and Arabian Ranches maintained their appeal to high-net-worth individuals.

• In terms of ROI, affordable communities such as International City and Discovery Gardens offered rental yields between 9% and 11%, while even luxury apartments in areas like Al Sufouh exceeded 7.88%.

💡 Why it matters?

• Investor confidence remains high, driven by Dubai’s business-friendly environment, stable economy, and zero income tax policy.

• The luxury segment is a key growth engine, with high-end villa prices rising up to 21% and luxury rentals soaring—particularly in Dubai Hills Estate, where 5-bedroom villas saw rents spike by 75% due to new inventory launches.

• Government initiatives, foreign investment inflows, and population growth (now surpassing 3.8 million) continue to fuel real estate momentum.

• Rental trends reflect increased demand, with most areas seeing rent hikes between 1% and 11%, although pockets like Deira and Bur Dubai showed slight dips, indicating market complexity.

🔜 What’s next?

• Dubai’s property market is expected to maintain its growth trajectory through 2025, with strong demand across all segments—from budget-friendly homes to ultra-luxury properties.

• The emergence of sustainable, master-planned communities is expected to further attract long-term investors and end-users seeking eco-conscious lifestyles.

• Tools like Bayut’s TruBroker are empowering home seekers by connecting them with top-rated brokers, enhancing transparency and trust in the market.

• With January 2025 transactions up nearly 23% year-on-year, analysts forecast continued upward movement in pricing, driven by limited supply in key areas and increasing international interest.

ODEUM – A Cutting-Edge Content Studio for All Your Production and Social Media Management Needs

📰 What is it about?

• Odeum, the content studio built for modern media consumption, partnering with brands to deliver tailored content services while also creating original productions under the Augustus Media network.

💡 Why Choose ODEUM?

At ODEUM, we provide end-to-end media solutions to elevate your brand across multiple platforms.

• Video: Distribution, post-production, production, live streaming, series and show creation, animation, branded content, AI-powered video creation, CGI video creation.

• Social Media: Account takeovers, strategic posts, tactical competitions.

• Copywriting: Branded content hubs, sponsored articles.

• Events: Media partnerships, co-branding, guest list curation, ticket commerce.

• Audio: Podcast production, hosting, voiceovers, audio ads.

• Online Advertising: Programmatic, display, paid social, affiliate marketing.

🔜 What’s next?

• Have a project in mind? Let's make it happen!

• Book a studio or discuss your next big idea with us today.

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Markets

Barn’s Coffee Eyes IPO On Saudi Tadawul As Expansion Plans Brew Across The Middle East

📰 What is it about?

• Barn’s, Saudi Arabia’s first and one of its largest homegrown coffee chains, is preparing for an initial public offering (IPO) on the Saudi Stock Exchange (Tadawul).

• The company is currently in talks with the Capital Market Authority (CMA) and plans to appoint financial advisorsfor the IPO process.

• While a specific timeline hasn't been announced, CEO Mohammed Alzain confirmed that proceeds from the offering would be used to fund regional expansion.

• The Jeddah-based chain, owned by Al Amjaad Trading & Manufacturing, aims to reach 1,000 stores by 2030, expanding into the UAE, Oman, Kuwait, and Morocco. It currently operates 850 stores across Saudi Arabia, Bahrain, and Egypt.

💡 Why it matters?

• The IPO would mark one of the few consumer-facing brand listings on the Tadawul, a market still dominated by industrials, energy, and finance.

• Barn’s entry into public markets could pave the way for other Saudi homegrown F&B brands to seek capital through IPOs.

• The listing comes amid uncertainty in Saudi capital markets, with Tadawul’s benchmark index down 3.6% over the last three weeks.

• Despite market volatility and falling oil prices—Brent crude dropped about $10 this month—investor appetite for well-known local brands remains strong.

🔜 What’s next?

• If successful, Barn’s IPO could raise several hundred million dollars, positioning the company to accelerate its regional growth strategy.

• The deal would join a pipeline of IPOs awaiting listing approvals, including Flynas, Sports Club Co., and Specialized Medical Co.

• With Saudi Arabia’s budget deficit under pressure from oil price drops, companies like Barn’s could benefit from stronger public support and investor interest in diversifying the kingdom’s economy.

• The market will watch closely for Barn’s next steps, especially in terms of valuation, listing size, and timeline, as it moves from IPO planning to execution.

Saudi Arabia Eyes Formula One Team Ownership As Next Step In Motorsport Ambitions

What is happening?

• Saudi Arabia is considering owning a Formula One team, following years of investment in hosting races and sponsoring teams in the sport.

• Prince Khalid bin Sultan Al-Faisal, chairman of the Saudi Automobile and Motorcycle Federation, revealed the kingdom’s growing interest during a media call ahead of the Jeddah Grand Prix.

• He suggested that Public Investment Fund (PIF)-backed entities could explore ownership opportunities, citing F1’s global growth and commercial appeal.

• Saudi Arabia already plays a major role in Formula One through its Jeddah Grand Prix, Aramco’s global sponsorship, and the PIF’s stake in McLaren and Aston Martin’s carmaker business.

Why it matters:

• Team ownership would mark a significant escalation in Saudi Arabia’s involvement in Formula One, aligning with its broader strategy of sports investment as part of Vision 2030.

• With Formula One team valuations soaring, Saudi ownership could inject further capital into the sport and reshape competitive dynamics.

• The kingdom's investment strategy mirrors those of Bahrain, Qatar, and Abu Dhabi, who all have sovereign ties to F1 teams or manufacturers.

• Critics have accused Saudi Arabia of using sport for “sportswashing”—a claim the kingdom denies—while F1’s expanding Middle East footprint sparks both economic and ethical debates.

What’s next?

• A potential acquisition could involve buying a stake in existing teams like Aston Martin or Alpine, with investment bank Raine Group already working on a deal for Lawrence Stroll’s stake in Aston Martin F1.

• Alpine, despite Renault's public commitment, continues to be linked to sale rumors, making it a possible target for new ownership.

• With Formula One’s popularity surging, particularly among younger Middle Eastern and female audiences, team ownership would solidify Saudi Arabia’s place as a central player in global motorsport.

• An official announcement could follow soon if a strategic fit and valuation align, potentially making Saudi Arabia the first country in the region to own an F1 team outright.

🔍In other news…

• Dubizzle Group buys UAE's Property Monitor portal amidst IPO talks.

• Lazard expands financial advisory services to UAE with new Abu Dhabi hub.

• Kuwait commences merger of state oil firms KNPC and KIPIC, Kuna reports.

• UAE to resume flights to Syria, regulator says.

• UAE's Sulmi to launch 200 limited-edition locally made e-motorbikes this year.

• Canadian business jet manufacturer Bombardier has announced the development of its new service facility at Al Bateen Executive Airport in Abu Dhabi.

• BridgeWise, the investment insights service platform, has locked in a ‘strategic’ investment from Emirates NBD.

• UAE AI start-up AIREV secures investment from Ireland’s Venturewave Capital.

• Middle East retailer Azadea delays IPO plans to focus on business operations.

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