x Abu Dhabi, UAEThursday 20 July 2017

Sukuk deal speculation lifts Dana Gas

Dana Gas surged the most in almost six months after the company's biggest shareholder said he was optimistic that a resolution with investors could be reached over the repayment of a US$1 billion sukuk due next month.

Badr Jafar, the president of Crescent Petroleum, says Dana Gas reached a resolution with investors over the repayment of a US$1 billion sukuk due next month. Antonie Robertson/ The National
Badr Jafar, the president of Crescent Petroleum, says Dana Gas reached a resolution with investors over the repayment of a US$1 billion sukuk due next month. Antonie Robertson/ The National

Dana Gas surged the most in almost six months after the company's biggest shareholder said he was optimistic that a resolution with investors could be reached over the repayment of a US$1 billion sukuk due next month.

Dana's shares advanced 4.8 per cent yesterday to close at 45 fils, the highest level since March 11 on the Abu Dhabi Securities Exchange (ADX).

Badr Jafar, the president of Crescent Petroleum, which owns a fifth of Dana, said on Tuesday he was "optimistic about the professionalism and the savvy of management and board to reach a comfortable resolution with bond holders and investors alike".

The ADX General Index closed 0.2 per cent higher to 2,617.49.

The Dubai Financial Market (DFM) took its cues from global markets after Japan announced additional stimulus measures. Gulf Navigation, the emirate's only publicly traded oil-tanker owner, rose 2.3 per cent to 27 fils. Dubai Investments gained 7.9 per cent to 83 fils. The DFM General Index rose 1.5 per cent to 1,616.39.

"Retail investors have become really excited on specific names, especially after the index crossed the 1,600 trigger," said Fadi Al Said, a senior fund manager at ING Investment Management in Dubai.

Elsewhere: Kuwait's measure rose 0.8 per cent to 5,883.12; Bahrain's index gained 0.01 per cent to 1,075.64; Oman's MSM 30 Index lost 0.08 per cent to 5,602.09; Qatar's QE Index added 0.2 per cent to 8,604.82. The Saudi Tadawul All-Share Index fell 0.68 per cent to 7,057.01.

halsayegh@thenational.ae