Saudi Tadawul Group Holding Company, a prominent capital markets group in the Middle East and North Africa (MENA) region, has finalized its acquisition of a 32.6% strategic share in DME Holdings Limited. As announced, this transaction positions the Saudi group as the joint largest shareholder in DME Holdings Limited, alongside CME Group. Other significant shareholders include the Oman Investment Authority and Dubai Holding, along with various global financial and commercial leaders. Consequently, DME will undergo a rebranding to become GME. This strategic investment is expected to harness world-class capabilities and expertise, propelling GME's growth as a leading regional commodities entity poised to meet global demand. It will facilitate a strategic shift towards utilizing the Middle East's strategic location between major commodity production hubs and markets, with GME acting as a pivotal link. Additionally, the partnership will allow GME to tap into the demand for energy, metals, and agricultural commodities, supporting the global shift towards sustainability through the introduction of advanced derivatives contracts.
Dubai Mercantile Exchange Limited (DME), the foremost energy-focused commodities exchange east of the Suez, is also the home of the world's third crude benchmark. Since its inception in June 2007, the exchange has facilitated the trading of 20 billion barrels of Omani crude oil, with 3 billion barrels delivered through its physical delivery system. DME Holdings Limited, a joint venture between Dubai Holding, Oman Investment Authority, and CME Group, is the parent company of DME. Alongside its primary shareholders, major global financial institutions and energy trading firms like Goldman Sachs, J.P. Morgan, Morgan Stanley, Shell, Vitol, and Concord Energy have also invested in DME Holdings Limited, signaling strong support from key players in the global energy sector.
Established in 2021 and based in Riyadh, Saudi Tadawul Group is a holding company with four integrated subsidiaries: the Saudi Exchange, one of the world's top 10 stock exchanges by market capitalization, the Securities Clearing Center Company (Muqassa), the Securities Depository Center Company (Edaa), and Wamid, a technology services business. The Group enhances Saudi Arabia's appeal as a global investment hub and serves as a gateway to the MENA region. It supports the development of a sophisticated capital market in Saudi Arabia, aligning with the Financial Sector Development Program (FSDP) under Saudi Vision 2030.
As the world's premier derivatives marketplace, CME Group facilitates futures, options, cash, and OTC market trading, portfolio optimization, and data analysis, aiding global market participants in managing risks and seizing opportunities. Oman Investment Authority (OIA), established by Royal Decree No. 61/2020, is the Sultanate of Oman's investment arm, operating as a sovereign wealth fund with a focus on strategic asset management aligned with Oman Vision 2040. Dubai Holding, founded in 2004, is a diversified global investment firm with operations in over 30 countries and a workforce of over 40,000. Its portfolio, valued at over Dh265 billion, supports the diversification and sustainable growth of Dubai's economy across various sectors.
