ABU DHABI 8 June 2017: Emaar share jumped to a high in several months, closing at Dh7.60 amidst transactions worth Dh470 million – on the back of the announcement earlier Wednesday of its plans to sell as much as 30 per cent of its real estate development business in the country in an initial public offering in Dubai Financial Market (DFM).
The proceeds will be used to reward shareholders, the company said.
As a result, DFM General Index booked its three-month-high gains, rising 2.52 per cent to 3406 points, with Abu Dhabi Securities Exchange, ADX, closing bit down 0.14 per cent at 4,454 points, said Wam.
Cashing in on the upbeat sentiments, a total of 8,816 transactions were conducted in both ADX and DFM, surging over the Dh1 billion mark, with 419 million shares traded.
According to market brokers, Emaar’s IPO announcement has created the momentum needed by the markets to regain its resilience, affirming that the leading company’s equity is expected to hit more highs over the coming few days after breaking new price tags.
Emaar Properties new IPO will be the largest since the Emaar Malls IPO in 2014.
By Rajive Singh