31 May 2004
DOHA: Share prices of Qatar National Navigation and Transport Company (QNNTC) and Qatar Shipping (Q-Ship) showed a surge yesterday following Saturday’s announcement that they would have 20 per cent stake in a proposed QR4.6bn gas transport venture.
Led mainly by the two scrips, the sensex of Doha Securities Market (DSM) gained 44.67 points to reach 5,581.36.
The sensex had dropped early last week fuelled by rumours that a mega gas transport venture was due for launch on June 1 this year. This had led Qatari investors to offload stocks to organise funds for the new primary issue.
The sensex recovered after Finance Minister H E Yousuf Hussain Kamal appeared on state television and said no state-sponsored initial public offering (IPO) was due for launch this year.
The announcement about the launch of the QR4.6bn gas transport venture on Saturday did not negatively impact trading at the DSM because its IPO is to be floated in January next year, explained a senior DSM official.
QNNTC shares gained 7.11 per cent, the maximum among yesterday’s advancers, to close at QR150.70. Its opening price was QR141.20 which even peaked at QR154.70 during trading.
Q-Ship showed modest gains and its shares closed at QR160.70 from QR158.10. The share’s peak price was QR164.90. Despite a marginal rise in its scrip price, there was more demand for Q-Ship stocks.
There were 106 transactions of Q-Ship scrips as compared to 88 of QNNTC. Total number of deals concluded at the Qatari bourse yesterday was 1,322.
Woqod, which would own one per cent equity in the proposed gas transport business, also gained marginally as its share price rose to QR44.30 after opening at QR44.
QNNTC and Q-Ship are old and profit-making companies. QNNTC was set up in 1957 and from 1963, it held the sole concession to undertake the operations of shipping agencies and coastal sea transport in Qatar.
In 1974, QNNTC embarked on a massive diversification drive and introduced several operations that included ship repair, steel fabrication, dredging and bunkering services as also offshore construction and maintenance.
The company today operates a large fleet of vessels and is also involved in land transport services. It is considered one of the pillars of the Qatari economy.
Q-Ship was incorporated in late 1992 to own and operate tankers and bulk carriers involved in transporting oil, oil products and dry bulk commodities. Starting operations in early 1994, the company is a major energy transport entity today.
It has major stakes in several profit-making subsidiaries like Halul Offshore Services and Qatar Mobil Tanker Company.
The operations and profitability of the two companies have been increasing over the years and this is reflected in their share prices.
QNNTC shares were priced at QR53.50 three years ago. The price has almost trebled to QR150 now.
Q-Ship’s is a more remarkable story. Its shares have soared almost 10 times in value since June 2001, from QR16.90 to QR160.70 presently.
Woqod was launched recently and it was the first privatisation initiative of the state in the monopoly oil and gas sector. The company aims to distribute refined oil products locally and export surpluses as well as own and manage filling and service stations across the country.
The proposed LNG transport company in which the three companies would be equity holders, plans to own and operate 77 huge gas carrying vessels by 2010, aside from owning a massive dry dock for maintenance work at the Ras Laffan Industrial City.
DOHA: Share prices of Qatar National Navigation and Transport Company (QNNTC) and Qatar Shipping (Q-Ship) showed a surge yesterday following Saturday’s announcement that they would have 20 per cent stake in a proposed QR4.6bn gas transport venture.
Led mainly by the two scrips, the sensex of Doha Securities Market (DSM) gained 44.67 points to reach 5,581.36.
The sensex had dropped early last week fuelled by rumours that a mega gas transport venture was due for launch on June 1 this year. This had led Qatari investors to offload stocks to organise funds for the new primary issue.
The sensex recovered after Finance Minister H E Yousuf Hussain Kamal appeared on state television and said no state-sponsored initial public offering (IPO) was due for launch this year.
The announcement about the launch of the QR4.6bn gas transport venture on Saturday did not negatively impact trading at the DSM because its IPO is to be floated in January next year, explained a senior DSM official.
QNNTC shares gained 7.11 per cent, the maximum among yesterday’s advancers, to close at QR150.70. Its opening price was QR141.20 which even peaked at QR154.70 during trading.
Q-Ship showed modest gains and its shares closed at QR160.70 from QR158.10. The share’s peak price was QR164.90. Despite a marginal rise in its scrip price, there was more demand for Q-Ship stocks.
There were 106 transactions of Q-Ship scrips as compared to 88 of QNNTC. Total number of deals concluded at the Qatari bourse yesterday was 1,322.
Woqod, which would own one per cent equity in the proposed gas transport business, also gained marginally as its share price rose to QR44.30 after opening at QR44.
QNNTC and Q-Ship are old and profit-making companies. QNNTC was set up in 1957 and from 1963, it held the sole concession to undertake the operations of shipping agencies and coastal sea transport in Qatar.
In 1974, QNNTC embarked on a massive diversification drive and introduced several operations that included ship repair, steel fabrication, dredging and bunkering services as also offshore construction and maintenance.
The company today operates a large fleet of vessels and is also involved in land transport services. It is considered one of the pillars of the Qatari economy.
Q-Ship was incorporated in late 1992 to own and operate tankers and bulk carriers involved in transporting oil, oil products and dry bulk commodities. Starting operations in early 1994, the company is a major energy transport entity today.
It has major stakes in several profit-making subsidiaries like Halul Offshore Services and Qatar Mobil Tanker Company.
The operations and profitability of the two companies have been increasing over the years and this is reflected in their share prices.
QNNTC shares were priced at QR53.50 three years ago. The price has almost trebled to QR150 now.
Q-Ship’s is a more remarkable story. Its shares have soared almost 10 times in value since June 2001, from QR16.90 to QR160.70 presently.
Woqod was launched recently and it was the first privatisation initiative of the state in the monopoly oil and gas sector. The company aims to distribute refined oil products locally and export surpluses as well as own and manage filling and service stations across the country.
The proposed LNG transport company in which the three companies would be equity holders, plans to own and operate 77 huge gas carrying vessels by 2010, aside from owning a massive dry dock for maintenance work at the Ras Laffan Industrial City.
© The Peninsula 2004
