Markets Update: Dubai's shares fell yesterday as investors booked profits and searched for cues on whether Emaar Properties will pay a bigger dividend this year at its annual shareholder meeting.
No rise in Emaar dividend
But at the meeting, which took place after trading hours yesterday, the dividend for last year was left at the 10 fils per share that was paid for 2010. Before the meeting, Emaar declined 0.3 per cent to Dh3.29.
"The expectation is that shareholders will be haggling with the board, expecting more," said Marwan Shurrab, the chief trader at Gulfmena Investments in Dubai, before the shareholder meeting.
At last year's meeting, Emaar bowed to demands from shareholders, after the company said it would not pay a dividend for 2010. Emaar ultimately agreed to pay a cash dividend of 10 fils per share.
"Emaar has offered to pay a dividend in line with what it paid last year, but it could pay more," Mr Shurrab said before the meeting. "The company has Dh2.8 billion in cash, while the distribution is around Dh900 million."
The DFM General Index fell 0.5 per cent to 1,640.55, while the Abu Dhabi Securities Exchange General Index rose 0.1 per cent to 2,499.35.
Kuwait's index rose 0.3 per cent to 6,326.60; Bahrain's slipped 0.4 per cent to 1,151.26; Oman's MSM 30 Index fell 0.1 per cent to 5,958.68; and Qatar's QE Index fell 0.1 per cent to 8,693.43. The Saudi Tadawul All-Share Index slipped 0.7 per cent to 7,525.17.