DUBAI - Gulf stock markets look set to continue consolidating with little positive news to boost prices on Thursday, while Emaar Properties may be in focus after its local property development arm set an indicative price range for its initial public offer of shares.
Emaar Development set a range of 5.7 dirhams to 6.9 dirhams per share, which would value the deal at 5.52 billion dirhams ($1.50 billion) at the top end of the range. The top price would give the company a market capitalisation of 27.60 billion dirhams, a 14.5 percent premium to its estimated net asset value of 24.1 billion dirhams.
A fund manager said the price range appeared reasonable; some investors had been expecting a premium in a range of 10 to 20 percent.
There are no strong cues from international markets. Brent oil has slipped back below $61 a barrel while Asian stocks are little changed.
In Saudi Arabia, Samba Financial has come in line with estimates by reporting a quarterly net profit of 1.31 billion riyals ($349 million) versus 1.34 billion riyals a year ago. Analysts had predicted 1.27 billion riyals on average. However, both outstanding loans and deposits fell significantly.
(Reporting by Andrew Torchia) ((andrew.torchia@thomsonreuters.com)(+9715 6681 7277)(Reuters Messaging: andrew.torchia.thomsonreuters.com@reuters.net))
Emaar Development set a range of 5.7 dirhams to 6.9 dirhams per share, which would value the deal at 5.52 billion dirhams ($1.50 billion) at the top end of the range. The top price would give the company a market capitalisation of 27.60 billion dirhams, a 14.5 percent premium to its estimated net asset value of 24.1 billion dirhams.
A fund manager said the price range appeared reasonable; some investors had been expecting a premium in a range of 10 to 20 percent.
There are no strong cues from international markets. Brent oil has slipped back below $61 a barrel while Asian stocks are little changed.
In Saudi Arabia, Samba Financial has come in line with estimates by reporting a quarterly net profit of 1.31 billion riyals ($349 million) versus 1.34 billion riyals a year ago. Analysts had predicted 1.27 billion riyals on average. However, both outstanding loans and deposits fell significantly.
(Reporting by Andrew Torchia) ((andrew.torchia@thomsonreuters.com)(+9715 6681 7277)(Reuters Messaging: andrew.torchia.thomsonreuters.com@reuters.net))
