A terse statement that he had handed in his resignation but that he will not go into any of the details as to what forced his hand was all that the media could get from Ismaik on a day when
The share had been through a see-saw ride in recent weeks — soaring to Dh9 a share plus and dropping to just over Dh4 in a matter of days. Such a movement is unprecedented in the annals of
"There's nothing fundamentally wrong with the company's operations side — all of the recent rupture was confined to the share price stemming from the undercurrents between its main shareholders," said a stock broker who has raised his exposure in the scrip further in recent days. "You had Ismaik raising his stake in the group while the main shareholder Aabar then lowered its. Those were the mixed signals that investors were trying to decipher of late — but clarity is still elusive even after Ismaik's exit."
Late last month,
Aabar, which had earlier this year confirmed contracts worth hundreds of millions of dollars to
"There was a lot of Â€˜emotion' that was pulling the scrip in either direction — as a multiple to earnings, even a Dh4-plus a share looks overpriced," said an analyst. "
One huge plus is that the construction contracts are not confined to one or two markets. Apart from its significant hold in the
It has also set up a dedicated property company, a role which it highlighted at the recent Cityscape Abu Dhabi event.
As of Wednesday, foreign investors held an 11 per cent plus stake in the company.
"Going forward, it will be interested which way they will be trading in the scrip," said a broker. "If they buy up, it could be a signal to the market they are comfortable with the Dh4 plus range as a valid level to raise their exposure in the company. Where
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