x Abu Dhabi, UAEWednesday 26 July 2017

Waha Capital shares rocket on aerospace bond offering terms

Investors welcome $1.5 billion bond's terms.

Abu Dhabi's general index slipped 0.2 per cent.
Abu Dhabi's general index slipped 0.2 per cent.

Waha Capital shares shot higher yesterday as investors welcomed the terms of the bond offering for the company's aerospace unit. Waha Aerospace, based in the Netherlands, plans to raise bonds worth US$1.5 billion, which will be guaranteed by the Abu Dhabi Government. Moody's assigned the proposed bonds an "Aa2" debt rating. Waha Capital shares rose 6.9 per cent to 62 fils yesterday on the Abu Dhabi Securities Exchange (ADX).

"The way the stock traded today, it was apparent that retail traders took advantage of the information on the bonds to push the stock higher," said Hassan el Salah, the head of institutional trading at AlRamz Securities based in Abu Dhabi. The ADX General Index dipped 0.2 per cent to 2536.10 yesterday. Aabar Investments shares jumped another 2.1 per cent to Dh1.93, two fils away from the price at which Aabar's majority shareholder, IPIC, plans to purchase the shares of minority holders.

The Dubai Financial Market General Index closed up 1.4 per cent at 1,531.36, its largest gain in two weeks. Gulf Navigation Holding shares jumped 2.4 per cent to 49 fils. The company reported second-quarter net income of Dh23.5 million, compared with Dh3.8m for the same period last year. Elsewhere in the region, Kuwait's measure moved up 1.1 per cent to 6,567.00. Bahrain's index dropped 0.1 per cent to 1,403.12 and Oman's bourse dropped 0.8 per cent to 6,172.67.

Qatar's index moved up 0.3 per cent to 6,957.38 and the Saudi Tadawul All-Share Index ended its trading week up 0.35 per cent to 6,089.95. halsayegh@thenational.ae