With online transparency is rapidly becoming a norm in the Middle East, Bahraini corporate majors also achieved major strides with Aluminium Bahrain achieving 2nd place from 47th last year and BBK moved up 41 places to 5th, according to a survey.
“Middle Eastern publicly listed companies are becoming increasingly aware of the importance of online transparency as part of their strategy to implement best practice investor relations,” the survey revealed.
These were the key findings of the 2012 M: Communications / KWDigital Middle East Webranking survey that annually reviews corporate websites across the region based on the requirements of the investment community.
The survey shows that an increasing number of companies are turning to online channels to communicate with shareholders, disclosing more on their websites including financials, corporate governance, CSR initiatives and company news.
“Corporate websites have become the first stop for anyone seeking information about a specific company,” Nicholas Lunt, Managing Director of M: Communications the company that conducts the survey in the region each year, said.
“Listed companies today are compelled to use online channels, including social media, to tell their story and communicate their investment case beyond simply reporting the numbers – it is the most direct route to reach their target audiences and the most cost-effective way of attracting investors.”
The Webranking survey, which has expanded this year to include 138 of the largest listed companies from nine countries across the MENA region, shows that vast improvements have been seen from some companies since last year. This year’s criteria were tougher on companies as there is a need for more transparent digital communications. Bahrain Telecommunications Company has moved up 84 places to secure a spot in the top 5.
“The top ten best performing Middle Eastern companies this year are increasingly making use of more advanced methods to engage with key audiences,” said Phil Marchant, Managing Director (UK) of KW Digital, M:Communications’ sister company and one of the world’s leading digital IR consultancies. “Many are now actively using social media outlets such as Twitter, Facebook and LinkedIn to talk about their latest financial report, CSR campaigns, corporate events and general news about the company.”
The winners of the KWD Webranking Survey 2012 were announced today during a seminar entitled “Success in Digital Investor Relations” which was held in partnership with the Qatar Exchange at the St. Regis Doha in Qatar. Thirty-nine listed companies from across the region were represented at the seminar. The event, which was supported by the Middle East Investor Relations Society (ME-IR Society), saw representatives from the winning companies across the region attend and collect their awards. The awards were presented by Rashid Al Mansoori, CEO, Qatar Exchange.
Abu Dhabi Commercial Bank was the overall winner in the Middle East region, followed by Aluminium Bahrain in second, with the Egyptian Orascom Construction in third place.
“We are delighted to have been involved with this year’s event. Qatari listed companies are committed to the development of IR best practice, especially through digital communications. It is the future for communicating with shareholders and stakeholders alike,” Abdul Aziz Al Emadi, Director, Listing Department, Qatar Exchange, said.
Other keynote speakers at the event included Akber Khan (Director Asset Management, Al Rayan Investment), Oscar Diaz Canel (Head of IR at BBVA, the global financial group) and Charbel Cordahi (CFO, MTC Touch, one of Lebanon’s leading mobile providers). Their speeches demonstrated the importance of good digital IR to the investment community and how it helps companies achieve their communications goals.
“Since the financial crisis we have seen greater demand for transparency from our investors. We have followed what our investors have been saying and in particular it is important for our regional offices that we use digital media to convey our messages quickly and effectively to those concerned,” Oscar Diaz Canel, said.
“The aim of KWDWebranking is to encourage transparency and best practice online Investor Relations across the region,” Nicholas Lunt said.
“With global financial markets in turmoil, investors are becoming increasingly careful before making any kind of investment, especially in this region. Any company that wants to compete on an equal footing for international investor attention needs to address good online communications.”