OCTOBERASIA BUSINESS OUTLOOK8NEWSROOMIsraeli defense startup Kela has acquired Pelanor, an AI company specializing in cloud cost optimization, in a deal valued at tens of millions of dollars.The acquisition marks Kela's first major deal since its launch in July 2024, and it highlights the company's strategy to expand its defense technology ecosystem. Pelanor, founded in 2022 by former Unit 8200 members, has built a platform that leverages AI to monitor and optimize organizational cloud spending. With growing enterprise reliance on cloud infrastructure, Pelanor's technology addresses a critical need for cost efficiency and scalability. Kela, which has raised $100 million to date from leading investors including Sequoia and Lux Capital, is led by CEO Alon Dror and president Hamutal Meridor.· Kela acquires Pelanor, an AI firm for cloud cost optimization.· A combined expertise aims to merge cloud AI with defense tech.The company is developing an open platform designed to integrate commercial technologies with military infrastructure, a move that aligns with Israel's reputation as a hub for dual-use defense and tech innovation.The combined workforce of around 40 employees will bring together Pelanor's AI expertise with Kela's defense-tech focus, potentially accelerating product development and operational capabilities. Industry observers see this acquisition as a strategic move to fuse cloud intelligence with defense applications, offering both commercial and military clients advanced solutions.By acquiring Pelanor, Kela strengthens its position at the intersection of AI, cloud, and defense technologies, while signaling its intent to expand rapidly in the competitive defense-tech sector. Bank Muscat, Oman's biggest bank, has raised $750 million successfully through Euro Medium Term Note (EMTN) bonds that will be listed on the Irish Stock Exchange. The five-year bond, which had a coupon rate of 4.846 percent, was oversold by over three times, underscoring investor confidence."The issuance is intended to finance long-term US dollar funding needs of the bank for project finance and broader asset growth," Bank Muscat stated in a notification to the Muscat Securities Market. The proceeds are anticipated to fortify the bank's funding base as well as underpin expansion efforts.Bank Muscat posted a 12 percent year-over-year increase in net profit to OR126 million ($326 million) in the first half of 2025, fueled by better net interest income. With more than OMR13 billion in total assets, the lender is still Oman's largest by assets.· Bank Muscat raised $750 million through an oversubscribed five-year EMTN bond at a 4.846 percent coupon, to be listed on the Irish Stock Exchange.· Proceeds will support long-term US-dollar funding needs for project finance and asset growth, strengthening the bank's funding base.· Net profit rose 12 percent year-on-year to OR126 million in H1 2025; total assets exceed OMR13 billion and shares have gained about 25 percent YTD, underscoring robust investor sentimentEstablished in 1982 through a joint venture between the Omani government and HSBC, Bank Muscat went public in 1993 following a merger with Bank Al Ahli Al Omani. Its shares have increased about 25 percent year-to-date to OR0.32, as reflected by strong investor sentiment given sector consolidation and government-backed support, such as Oman's new law safeguarding bank savers.Analysts consider the successful bond issue and earnings growth as an indication of the bank's robust balance sheet and strategic positioning. "This oversubscription reflects investor confidence in the growth prospects and the prudent management of Bank Muscat's finances", said a banking sector analyst.The sale of the bond, combined with stable profitability, strengthens Bank Muscat as a prime banking player in Oman and demonstrates its capability to invite foreign investment for long-term growth. KELA ACQUIRES AI CLOUD FIRM PELANOR TO BOOST DEFENSE TECHBANK MUSCAT STRENGTHENS FUNDING BASE WITH $750M
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