Happy Sunday everyone!

Here’s what’s shaping the business world today:

• Telegram’s CEO Exits France – Pavel Durov has been allowed to leave amid an ongoing investigation, raising questions about platform accountability.

• PIF Eyes $3B Newcastle Stadium – Saudi’s sovereign fund considers a major investment to expand its Premier League footprint.

• Adnoc in Talks for $10B Mubadala Deal – The energy giant explores acquiring key assets as Abu Dhabi restructures state holdings.

Let’s dive in!

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Telegram CEO Pavel Durov Temporarily Leaves France Amid Ongoing Investigation, reports AFP

📰 What is it about?

• Temporary Departure: Pavel Durov, CEO of Telegram, has been granted permission to leave France temporarily and has traveled to Dubai, according to AFP.

• Background of Charges: In August 2024, Durov was arrested near Paris and placed under formal investigation for alleged complicity in distributing child pornography, facilitating drug trafficking, and refusing to cooperate with law enforcement regarding illegal activities on Telegram.

💡 Why it matters?

• Legal Implications: This marks a rare instance where a tech CEO faces legal action over user-generated content, potentially setting a precedent for platform accountability.

• Platform Scrutiny: Telegram has been criticized for its lax moderation policies, with allegations that it has been used for illicit activities, including drug trafficking and the distribution of child sexual abuse material.

• Global Reactions: Durov's arrest and the subsequent investigation have sparked debates on free speech and platform responsibility, drawing reactions from figures like Elon Musk and Edward Snowden.

🔜 What’s next?

• Ongoing Investigation: French authorities continue to investigate the allegations against Durov. Being under formal investigation in France indicates sufficient evidence for the probe but does not imply guilt or guarantee a trial.

• Platform Reforms: In response to the scrutiny, Telegram has implemented changes to its moderation policies, including enhancing compliance with legal data-sharing requests and allowing users to report illegal content.

• Industry Impact: The outcome of this case could have significant implications for how tech companies manage user content and cooperate with law enforcement globally.

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Markets

PIF Weighs $3 Billion Stadium for Newcastle United

📰 What is it about?

• Saudi Arabia’s Public Investment Fund (PIF) is considering a $3 billion investment in a new 65,000-seater stadiumfor Newcastle United, according to UK media reports.

• PIF, which acquired Newcastle United in 2021 for $410 million, has already spent $330 million on player signings and stadium/training facility upgrades.

• Two options are under review: a new stadium at Leazes Park or a redevelopment of St James’ Park to increase capacity from 52,000 to 60,000.

• The proposed venue could be modeled on the $2.3 billion Allegiant Stadium in Las Vegas.

💡 Why it matters?

• Real Estate & Revenue Expansion: The new stadium could be designed as a multi-purpose entertainment hub, aligning with PIF-backed Sela’s expansion in Britain.

• Competitive Edge: With Manchester United planning a $2.6 billion, 100,000-seater stadium and Manchester City expanding Etihad to over 60,000 seats, Newcastle would need a larger venue to compete financially.

• PIF’s Long-Term Commitment: A major stadium investment would dispel rumors of PIF exiting Newcastle Unitedand reinforce Saudi Arabia’s strategy of integrating sports into its global economic plans.

🔜 What’s next?

• The UK government must approve any new stadium plan, and local opposition—like in the 1990s when a Leazes Park move was blocked—could be a challenge.

• If approved, the project would mark one of the biggest foreign investments in UK sports infrastructure and could redefine Newcastle’s global football ambitions.

• A decision on the stadium’s future is expected in the coming months, shaping Newcastle United’s trajectory for decades to come.

Adnoc Eyes Mubadala’s Energy Assets in Potential $10 Billion Deal

What is happening?

• Abu Dhabi National Oil Co. (Adnoc) is in discussions to acquire the energy assets of sovereign wealth fund Mubadala Investment Co.

• Talks began late last year but stalled due to valuation disagreements, with an initial deal estimated at around $10 billion.

• The negotiations are expected to resume after Ramadan, as both companies and Abu Dhabi leadership remain interested in the transaction.

Why it matters:

• A deal would consolidate key energy assets under Adnoc, reinforcing its position as the UAE’s primary oil and gas powerhouse.

• Mubadala, managing $330 billion in assets, is shifting its focus to sectors like health care, finance, and technology, making energy divestments a strategic move.

• The assets in question include gas fields in Thailand and Indonesia, projects in Malaysia, and a majority stake in Dolphin Energy, which supplies Qatari gas to the UAE.

What’s next?

• If completed, the deal would align with Abu Dhabi’s broader efforts to restructure state holdings and create specialized industry-focused entities.

• Adnoc has been expanding globally, recently acquiring Nova Chemicals for $13.4 billion and securing a $13 billion deal for German chemical giant Covestro AG.

• The outcome of the negotiations will shape the future of the UAE’s energy sector, as Adnoc strengthens its international footprint.

🔍In other news…

• Lebanon offers 'reasons for optimism' in Middle East, and so could Syria.

• Dubai's Emirates NBD denies reports of potential acquisition plans.

• Gold surpasses $3,000 for first time.

• New Etihad Airways route to Indonesia's Medan now open for bookings.

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