Dubai stocks gain 7pc

Friday, December 11, 2009
DUBAI: Dubai’s stock market closed 7.0 per cent higher on Thursday, its biggest gain since the debt crisis exploded, and led by Emaar Properties after it called off a merger with state-owned entities.

The Dubai Financial Market index closed 107.4 points up at 1,640.76 points. Shares in Emaar, the Middle East’s largest property firm by market capitalisation, closed 14.84 per cent up, at 2.94 dirhams (80 US cents), after heavy trading and wide fluctuations. Like Emaar, several leading shares also surged close to the maximum daily gain of 15 per cent, including Dubai Islamic Bank, which rose by 14.53 per cent.

Emaar cancels merger with Dubai Holding

DUBAI: Dubai’s debt woes spread from the stock market to the corporate sector on Wednesday, with giant property developer Emaar cancelling plans to merge with state-owned Dubai Holding, describing the link-up as unfeasible.

‘The board of directors has decided on Wednesday not to go ahead with the plan to merge the company with Dubai Holding, which was announced a few months ago,’ a brief statement said.

‘Studies have proven that the plan to merge is economically unfeasible at the moment,’ added the statement, without saying why.

Dubai debt concerns spread beyond Dubai World

Thursday, December 10, 2009
DUBAI: Fears that Dubai’s debt problems are not limited to troubled state conglomerate Dubai World battered investor confidence in the world’s top oil-exporting region and sent Gulf shares tumbling on Wednesday.

Investors have been left in the dark since the Gulf business hub announced on Nov 25 that it sought to delay payment on Dubai World debt while it overhauls the sprawling state firm, which builds and operates everything from ports to luxury flats.

Dubai stocks still sliding as debt crisis ‘spreads’

DUBAI: Dubai share prices were battered again in Wednesday trading, falling 6.48 per cent as the Financial Times reported the Gulf emirate is struggling to halt the spread of an alarming debt crisis.
 
The Dubai Financial Market’s main index was trading down 106.12 points at 1,531.93 shortly after midday (0800 GMT), while the Abu Dhabi Securities Exchange had lost 2.41 per cent to be at 2,477.65 points.

‘The credit downgrades of Dubai’s government-owned companies have triggered an accelerated payment clause on a 2.0-billion-dollar debt issued by the emirate’s utilities provider,’ said a front-page report in the Financial Times.