Jan 30 (Reuters) - Major bourses in the Gulf declined in
early trade on Monday, with Abu Dhabi index tumbling more than
3% to hit a six-month low, overwhelmed by losses in conglomerate
International Holding Company and its subsidiaries.
According to media report, IHC - which has an exposure in
Adani Enterprises , Adani Transmission and
Adani Green Energy - was considering bidding for
Indian billionaire Gautam Adani-led Adani Enterprises' 200
billion rupee ($2.45 billion) follow-on sale of shares that
began on Wednesday. The deal closes on Tuesday.
In a statement to Bloomberg, IHC Spokesperson Ahmad Ibrahim
said the conglomerate's business decisions are purely based on
an analysis of objective facts.
Most Adani Group shares extended their sharp losses on
Monday as the Indian conglomerate's rebuttal of a U.S.
short-seller's criticism failed to pacify investors, driving
stock market losses for the companies to $66 billion over three
days.
Stock markets in the region also dropped, tracking losses in
oil prices as global producers are likely to keep production
unchanged during a meeting this week and investors are cautious
ahead of the U.S. Federal Reserve meeting. Crude price - a key catalyst for Gulf's financial markets -
fell 69 cents, or 0.8%, to $85.97 a barrel by 0738 GMT.
Abu Dhabi's benchmark index plunged 3.4%, its
steepest decline since November 2019, as shares of comglomerate
IHC slipped 5.2%.
Among other losers, IHC's subsidiaries Alpha Dhabi Holding and Multiply Group plunged 10%
each, while state-controlled integrated utility firm Abu Dhabi
National Energy Company (also known as TAQA) dropped
8.9%.
Dubai's benchmark index fell 1.1%, trading near its
six-month low, as blue-chip developer Emaar Properties dropped 1.9%.
Benchmark Qatari index retreated 1% as almost all of
the index constituents were in negative territory, dragged down
by a 5.1% decline in Islamic lender Masraf Al Rayan .
The lender posted a more than 22% slump in full-year net
profit.
Saudi Arabia's benchmark stock index dipped 0.8%, on
course to snap a seven-day rally, with largest Islamic lender in
the world Al Rajhi Bank falling 2.2% after posting
almost flat quarterly growth sequentially, although bank
reported a 16% rise in its full-year net profit.
(Reporting by Mohd Edrees in Bengaluru; Editing by Sherry
Jacob-Phillips)
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