|02 April, 2019

Mideast Stocks: Dubai hits 4-month high, top lender elevates Egypt

The Dubai index rose 2.4% with Emirates NBD climbing 4.5% to a 10-month high

An investor looks at stock information in front of an electronic display board at the Dubai International Financial Market March 21, 2010.

An investor looks at stock information in front of an electronic display board at the Dubai International Financial Market March 21, 2010.

REUTERS/Ahmed Jadallah

Dubai's stock market hit a four-month high on Monday, partly lifted by its largest lender Emirates NBD as one of its businesses prepares to list on the London Stock Exchange, while Egypt was boosted by its top lender Commercial International Bank.

The Dubai index rose 2.4 percent with Emirates NBD climbing 4.5 percent to a 10-month high.

Payments processor Network International said shares in its Initial Public Offering (IPO) would be priced at between 395 pence and 465 pence each, implying a valuation of between 1.9 billion pounds and 2.3 billion pounds ($2.5-3.0 billion).

Emirates NBD is the major shareholder in the firm, holding about 51 percent. The IPO will comprise the secondary sale of shares by Emirates and WP/GA Dubai IV.

Emaar Properties, Dubai's largest listed-developer, rose 4 percent and Dubai Financial Market gained 6 percent in active trade.

The latter signed a memorandum of understanding with National Bonds Corp (NBC) to establish efficient trading of NBC's sharia-compliant savings bonds through its brokerage firms.

The Egyptian blue-chip index rose 1.5 percent with Commercial International Bank increasing 5.3 percent.

El Sewedy Electric closed 4.1 percent higher. The company said its consortium with Mitsubishi Hitachi Power Systems was awarded a contract worth about $550 million from the Sharjah Electricity And Water Authority.

The Saudi index continued its winning streak for the sixth straight session, gaining 0.9 percent, to reach its highest level since August 2015.

Al Rajhi Bank added 1.9 percent and National Commercial Bank, the country's largest lender, rose 1.8 percent.

CHUBB Arabia Cooperative Insurance added 4.4 percent after posting a jump in its full-year net profit and gross written premiums.

Al Sagr Cooperative Insurance was also up 0.9 percent after reporting a rise in its full-year net profit.

In Qatar, the index added 0.5 percent with Commercial Bank adding 4.4 percent, reaching its highest level in nearly three and a half year. On March 20, the lender's shareholders approved the split of par value of its shares to be one riyal instead of 10 riyals.

Qatar Fuel and Mesaieed Petrochemical Holding are now eligible for MSCI's emerging market index inclusion in May, which is expected to result in passive inflows of $240 million and $230 million respectively, Arqaam Capital said.

Mesaieed closed 1.4 percent higher while Qatar Fuel traded flat.

Abu Dhabi's index slid 0.4 percent with the country's largest lender First Abu Dhabi Bank declining 0.5 percent and Abu Dhabi Commercial Bank was down 0.8 percent for the third session after it traded ex-dividend on Thursday.    

($1 = 3.7503 riyals)

(Reporting by Ateeq Shariff in Bengaluru, editing by Ed Osmond)

© Reuters News 2019

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