Arabtec shares surge in Dubai on merger talk with Trojan Holding
They closed Tuesday 11% up, yet remain close to their lowest in years
Dubai: Arabtec’s share price ended Tuesday more than 11 per cent higher as the company confirmed talks about a possible merger with Trojan Holding. Its shares were the most actively traded on the Dubai bourse and closed at Dh1.77 — up 11.32 per cent.
Despite the surge, shares of Arabtec are still trading close to the lowest price in years.
Over the past 52 weeks, they hit a closing high of Dh2.34 in early November 2018, and gradually declined to Dh2.24 by April. Between April and May, however, they plunged 37 per cent to a low of Dh1.41 as Arabtec’s CEO, Hamish Tyrwhitt, stepped down and the company reported a 50 per cent plunge in profits for the first quarter of 2019.
The company then reported another decline in profits, as net profits fell by 62 per cent year-on-year in the second quarter of 2019. According to Bloomberg data, the 52-week low of the stock price is Dh1.37 while the high is at Dh2.41.