ABU DHABI 16 June 2017: For the first time in a year and after its announced Initial Public Offering (IPO), plans last week, Emaar broke the Dh8 mark amidst a positive mood and rising streak across UAE stock markets for the third straight session.
The real estate giant said last week that it will offer up to 30 per cent of its UAE real estate development business through a share offering on the Dubai Financial Market, DFM. The funds raised through the sale of equity will be primarily distributed as dividends to Emaar’s shareholders. The IPO will be the largest since the Emaar Malls IPO in 2014.
The DFM-listed company’s share surged to Dh8 from Dh7.58 yesterday, posting a growth of 5.5 per cent over five sessions in a row, in a bullish development described by analyst as conducive to a transformational turning point for the market that could see other equities break record highs over the coming few days.
Translating the upbeat sentiments, DFM General Index increased 1.7 percent to 3459 points, with ADX General Index offsetting yesterday’s decline, closing at 4501 points, a growth of 0.05 per cent over the last trading session.
DFM got the highest share of liquidity with 20641 transactions worth Dh2.4 billion over 2.1 billion shares out of a total of 3.6 billion stocks traded on the two major indices through 32437 transactions worth Dh4 billion, combined.
The realty market claimed most of the liquidity, with Emaar and Union Properties securing Dh302 million worth of transactions, comprising 45 per cent of the total trading volume.
At ADX, over Dh200 million of transactions were conducted over Dana Gas, which was among the best performers for the second session running.
By Rajive Singh