(MENAFN- Arab News) DUBAI: Emaar Properties Dubai's largest listed developer helped lift the emirate's market on expectations that it would float its malls unit at the upper end of the announced price range because of strong demand.

Other regional markets were mixed.

There was no impact from the news that the US and Arab allies had participated in or supported the first joint bombing of militants in Syria.

Credit default swaps and currency forward in the region did not move significantly; most investors decided weeks ago that the Gulf economies were able to insulate themselves from the turmoil in Iraq and Syria.

Dubai's index rose 0.7 percent as Emaar gained 1.3 percent and was the most heavily traded stock.

Emaar is selling 15 percent of its subsidiary Emaar Malls Group (EMG) in an initial public offer launched this month. Subscriptions will close on Sept. 24 for retail investors and two days later for institutional buyers; shares in EMG will start trading on Oct. 2.

The share sale will be one of the largest in the Gulf region since 2008 and could be worth up to $1.58 billion at the top of the price range which the company set at AED2.50 to AED2.90 per share. The company has said the institutional tranche was sold out within a day of opening.

Emaar has said it will use the funds to pay a special dividend of around 9 billion dirhams ($2.45 billion) and some investors appeared to be betting on the possibility of an even more generous payout.

'Overall investors are positive on Emaar' said Ali Adou portfolio manager at The National Investor in Abu Dhabi.

'Investors are looking at a high valuation (for EMG).'

Shares in mobile phone operator du rose 1.1 percent to AED5.64 after Naeem brokerage raised its target price for the stock to AED5.67 from AED4.10 and upgraded it to 'hold' from 'sell' citing strong results in the last few quarters.

Abu Dhabi's bourse edged down 0.6 percent. National Bank of Abu Dhabi and First Gulf Bank were down 1.7 and 1.1 percent respectively.

Qatar's benchmark slid 0.8 percent as most stocks declined. However the most heavily traded stock was Ezdan Holding which is not part of the index and which rose 1.7 percent. Ezdan will become part of the 20-stock benchmark from Oct. 1.

Shares in Islamic lender Masraf Al-Rayan fell 0.7 percent after the bank said it had put its planned acquisition of a stake in a commercial bank in Libya on hold until political conditions in the north African country improved.

Egypt's main index edged up 0.3 percent to a six-year high of 9760 points largely on the back of blue-chip property developer Talaat Moustafa Group which added 2.3 percent.