Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Bahrain- Arabtec "sacks" hundreds of employees stocks plunge  Join our daily free Newsletter

MENAFN - Khaleej Times - 24/06/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Khaleej Times) Arabtec's stocks fell 10 per cent during trading on monday reaching its lowest level since march.

shares of the uae’s largest construction firm arabtec on monday tumbled to its lowest since march after the company fired hundreds of employees bloomberg reported citing people familiar with the matter.

the dubai contractor has laid off a significant number of employees in the wake of chief executive hasan ismaik’s departure last week sources said adding: “shohidul ahad-choudhury arabtec’s head of mergers and acquisitions and a former deutsche bank executive was among those dismissed.”

it is reported that large numbers of staff including at least two senior executives have departed the company since ismaik resigned. arabtec didn’t confirm the staff lay-off.

the contractor has plunged 48 per cent so far this month and 53 per cent from a record dh7.40 in may. abu dhabi state-run aabar investments cut its stake to 18.85 per cent as of june 11 from 21.57 per cent stoking speculation the builder was losing government backing.

investors are selling arabtec because there’s uncertainty surrounding its governance and ability to “execute their pipeline of projects effectively with so much internal strife” according to ramez merhi director of asset management at dubai-based al masah capital.

“this looks as if it could have been a fight for control of the company and aabar won.”

ismaik is still the single-largest shareholder in arabtec with an nearly 29 per cent stake. the former ceo said on june 18 that he would consider selling his shares in the company if he gets an offer from the government. arabtec board member mohamed al fahim was appointed acting ceo following ismaik’s departure.

“the company must be forced to come up with an announcement to ease tension among the investors mainly the small investors” wadah al taha chief investment officer of dubai-based al zarooni group said.

— abdulbasitkhaleejtimes.com

dfm hits 3-month low

abdul basit

dubai’s bourse on monday sank to its lowest level in more than three months with its plunge led by property stocks — especially arabtec as the largest listed construction company laid off a significant number of employees in the wake of former chief executive officer’s hasan ismaik’s departure last week.

the dfm general index dropped by 4.3 per cent to 4296 points the lowest close since march 19 and a second day falling. arabtec fell by nearly 10 per cent after dismissing staff including senior managers bloomberg reported citing sources.

property giant emaar properties which has the largest weighting on the benchmark index was the biggest decliner by index points retreating 4.9 per cent. emaar fell to dh8.80.

“there is confusion in the market and i call it ‘arabtec fever’” wadah al taha chief investment officer of dubai-based al zarooni group told bloomberg. “the sentiment is very weak and investors weren’t prepared for the situation getting so much worse” al taha said adding that in a worst case scenario the index could fall to 3800.

the dfm witnessed a total of 10686 trades generating 598 million shares volume and valuing dh1.47 billion.

overall 31 stocks attracted trades. twenty-six stocks declined and only four appreciated in terms of value. arabtec became the top trading volume contributor with 132 million shares followed by gulf finance house 81 million shares and union properties 75 million shares. the dfm soared this year amid a real estate recovery in the emirate before the uae’s central bank said on june 8 there are signs the property market is overheating.

“dubai’s gauge entered a bear market after it plunged 20 per cent since a peak in may. two of the regularly traded stocks in the 30-member benchmark gauge were trading above their 50-day moving average price... that’s the fewest since july 2012 and compares with a one-year peak of 23 in december” according to data compiled by bloomberg.

arabtec which has the fifth-highest weighting on dubai’s benchmark index has dropped 48 per cent in june. its shares tumbled to dh3.46 the lowest since march 17.

— abdulbasitkhaleejtimes.com


 






  MENA News Headlines
 Aug 28 2014 - Ebola virus diseaseDemocratic Republic of CongoMENAFN Press
(MENAFN Press) GENEVA Switzerland August 27 2014/African Press Organization (APO)/ -- Disease outbreak news Epidemiology and surveillance On 26 August 2014 the Ministry of Health Democratic ...

 Aug 28 2014 - Ebola virus disease updateWest AfricaMENAFN Press
(MENAFN Press) GENEVA Switzerland August 28 2014/African Press Organization (APO)/ -- Epidemiology and surveillance • The total number of probable and confirmed cases in the current outbreak of ...

 Aug 28 2014 - Arrowstorm Entertainment Launches Kickstarter for New Fantasy EpicThe Christmas DragonMENAFN Press
(MENAFN Press) The Christmas DragonArrowstorm Entertainment offers advance DVDs and Blu-rays of upcoming film The Christmas Dragon via Kickstarter promising the world "a new Christmas classic."Salt ...

 Aug 28 2014 - 21st Century Television Discusses Transition to Cloud Computing with Spin SystemsMENAFN Press
(MENAFN Press) August 28 2014 - Boca Raton Florida — Although cloud systems have become increasingly more common and more secure there are still a number of companies who feel hesitant about ...

 Aug 28 2014 - DIGITAL COMEDY SERIES LAUNCHES INDIEGOGO TO RAISE FUNDS FOR SEASON 2MENAFN Press
(MENAFN Press) Devil's Couriers Parodies Sons of Anarchy in a Unique FormatLos Angeles CALIFORNIA AUG 28 2014 – Sons of Anarchy. The very name conjures up visions of Harleys guns biker chics ...

 Aug 28 2014 - 21st Century Television Welcomes Guest to Discuss Information Governance and Data Management airing on August 31 2014MENAFN Press
(MENAFN Press) Bishop Technologies Inc. to appear on 21st Century Television.August 28 2014 - Boca Raton Florida - In the digital age companies are being expected to govern and manage an ever ...

 Aug 28 2014 - Air2G2s State of the Art Technology for Golf Course Management Discussed on 21st Century TelevisionMENAFN Press
(MENAFN Press) Revolutionary Turf Aeration Process for Golf Courses.Boca Raton FL – August 28 2014 — For golf course owners superintendants and groundskeepers keeping a well maintained ...

 Aug 28 2014 - Eight Killed As Vehicle Falls into DrainQatar News Agency
Eight persons were today killed and three others injured when a vehicle skidded off the road and rolled down into a drain in Ramban district of Jammu and Kashmir, India's News (PTI) ...

 Aug 28 2014 - AfricaBeauties.com Proves that a Strong Woman is a Desirable WomanMENAFN Press
(MENAFN Press) Love Knows no Boundaries!Many members of premium international dating site AfricaBeauties.com regard vitality as one of the most desirable qualities in a partner. While international ...

 Aug 28 2014 - KnowBe4 Says Employee PC Wreaks Havoc in JP Morgan HackMENAFN Press
(MENAFN Press) JP Morgan Chase HackedJP Morgan banking giant hit by data breach in a feat far beyond the capability of ordinary criminal hackers.Tampa Bay FL — The Wall Street Journal reported ...

more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help