Wataniya Telecom slides 40 fils; Zain ends higher

KUWAIT CITY, Sept 28: Kuwait stocks pulled slightly lower Wednesday adding to the decline in the previous session. The index fell 4.7 points in subdued trading even as investors toed caution ahead of the third quarter close. The heavyweights closed mixed whereas some of the mid-caps sagged on selling.

The bourse wound up at 5,849.10 points paring deeper losses earlier in the session while the weighted index inched 0.74 points up to settle at 409.72 points. The volume dropped 27 percent to 141.16 million. It had hit a multi-month high of 337.86 million on Sept 13 but retreated thereafter. Among prominent losers, Wataniya Telecom slid 40 fils to KD 0.1880 adding to the decline in the previous session. Agility eased 10 fls to KD 0.305. The stock is trading 40 fils higher so far during the month.

Kuwait Portland Cement was down 20 fils at KD 1.040 and National Industries Group edged 2 fils lower to settle at KD 0.216. The counter saw a volume turnover of 1.72 million. Bourse heavyweight Zain bucked the trend to gain 10 fils on back of 0.47 million shares. The company was in limelight earlier in the week after a Kuwaiti court nullified its annual shareholders meeting which was held in April, upholding a case filed by a former board member who opposed the election process.

National Investment Co fell 4 fils after trading 2.9 million shares and International Financial Advisors inched 0.5 fils lower to wind up at 40.5 fils. IFA has posted a first half net loss of KD 3,822,539 and loss per share of 5.70 fils. Safwan Trading and Contracting Co tumbled 50 fils to KD 0.550 after trading 1.13 million shares whereas Burgan Well Drilling Co climbed 25 fils adding to an identical rise in the previous session. Yiaco Medicals shed 15 fils while Soor Fuel Marketing Co and KGL Logistics Co added 5 fils each.

Weak
The market opened weak and slipped below the red in early trade. The index pulled out of the shallow trough and hovered around the opening mark amid skittish sentiments. It bottomed at 5837.8 points but managed to pare the losses slightly at close. Top gainer of the day, Burgan Well Drilling Co jumped 7.8 percent while Gulf Petroleum Investment Co rose 6.8 percent to stand next. Safwan Trading and Contracting Co was the biggest decliner and Commercial Bank of Kuwait topped the volume with 11.54 million shares. The market spread was biased towards the losers. 29 stocks advanced while 34 closed lower. Of the 97 counters active on Wednesday, 33 closed flat. 2,250 deals worth KD 27.16 million were transacted - down 9.9 percent in value from the previous session.

In the banking sector, National Bank of Kuwait continued to stagnate at KD 1.060 while Gulf Bank rose 10 fils on back of 0.55 million shares to settle at KD 0.510. The lender had gained 20 fils since start off the month and is trading 60 fils lower year-to-date.

Commercial Bank was unchanged at KD 0.650 whereas Al Ahli Bank of Kuwait gained 20 fils with thin trading. Kuwaiti shareholder Mohammad Yousuf Behbehani last week received central bank's approval to raise his stake in Al Ahli Bank to 15 percent which will make him the biggest shareholder in the bank.

Ahli United Bank fell 10 fils to wind up at KD 0.930 and Kuwait International Bank was flat at KD 0.275 with a volume turnover of 3.72 million shares. Burgan Bank rose 5 fils and Kuwait Finance House held the ground steady at KD 0.910. Fitch Ratings earlier in the month affirmed the bank's Long-term Issuer Default Rating (IDR) at 'A+' with a Stable Outlook

Stagnated
Investment major KIPCO stagnated at KD 0.320 after trading 5.02 million shares and Kuwait Financial Centre Co followed suit to close at KD 0.112. Al Safat Investment Co inched 1 fils higher whereas Al Tamdeen Investment Co eased 2 fils. Al Maal did not budge from its earlier close whereas Global Investment House ticked 2 fils higher. The investment banker is seeking to defer the principal repayments on debt due in December as part of renegotiating a $1.7 billion restructuring agreement.

National Real Estate Co was flat at 74 fils while Salhiya Real Estate Co fell 2 fils. Tamdeen Real Estate Co was down 6 fils after trading 3.84 million shares and Mabanee Co was unchanged at KD 0.810. The stock has added 20 fils from start of the month.

The bourse has been weak so far during the week and has shed 67 points from last week close. The index is up 58 points since start of the month but is trading 16 percent lower year-to-date. KSE, with 213 listed companies, is the second largest bourse in the region.

In the bourse related news, Zain Iraq, a unit of Kuwait's Zain said that it was moving forward in the process to be listed on the local bourse after it missed an Aug 31 deadline for offering its shares.

Al-Safat Investment Co has posted a net loss of KD 9,491,858 and loss per share of 12.30 fils in the first half of 2011 as against net loss of KD 1,052,962 and loss per share of 1.36 fils in the same period last year.

Burgan Well Drilling Co has clocked a net profit of KD 253,359 and earnings per share of 1.21 fils in the second quarter ending June 30. This compares with net profit of KD 145,125 and earnings per share of 0.69 fils in 2010 Q2.

Gulf Finance House has posted KD 193,670 net profit in the first half of 2011 while earnings per share chalked 1 fil. This compares with a net loss of KD 13,115,943 and loss per share of 29 fils in the same period.

Kuwait Stock Exchange has barred the following companies from trading in the bourse for failing to pay annual subscription fee of 2011/2012:
International Leasing and Investment Co, National International Holding Co, Pearl of Kwt. Real Est. Co, Investors Holding Group Co, Grand Real Estate Projects Co, Kuwait Business Town Real Estate Co, Refrigeration Ind. and Storage Company, Mena Holding Co, Villa Moda Life Style, Kuwait National Airways Co, Ras Al Khayma for White Cement, Al-Abraj Holding Co, International Investment Group and Network Holding Co.

© Arab Times 2011