Damac Properties Dubai Co., buildig Hollywood themed apartment towers, climbed in debut trading in the emirate, adding as much as 21 percent before trading 1.8 percent higher at 2.84 dirhams at 11:57 a.m. local time.
Last month the firm received regulatory approval to list in Dubai and offered to exchange each London-listed global depository
receipt, known as GDRs, for 23.077 ordinary shares in Dubai
until Jan. 9.
The stock declined 11 percent in London last year compared with a 2.7 percent drop in the FTSE 100 Index.
“Many of these companies that went and looked for
international recognition through listings in London are coming
back amid low trading volumes there,” Mohammed Ali Yasin,
managing director of NBAD Securities LLC in Abu Dhabi, said by
phone.
“They are finding out that people who will pay premiums for the shares are those who are familiar with it in its home market.”
Damac started trading in London in December 2013. It then was
followed by Abu Dhabi-based Gulf Marine Services Plc, whose
shares dropped more than 20 percent since their debut trade in
March.
Dubai’s DFM General Index was the world’s best performer
among more than 90 gauges tracked by Bloomberg for the first
five months of last year until it was caught up in a regional
sell off in June and tumbling oil prices in the second-half of
2014.
The emirate’s shares increased 0.4 percent today.
The Dubai-based property developer is building Hollywood-themed apartment towers, a golf course and villas branded by
Trump to tap into Dubai’s popularity as a tourist destination.
The company said third-quarter profit more than doubled to
$224.3 million as it completed properties in the sheikhdom.
Photo: triumph.lg.ua
