Gulf stocks mixed; FGB declines on its last trading day

Gulf equities ended the week on a mixed note on Thursday, with volumes rising in Abu Dhabi as National Bank of Abu Dhabi (NBAD) and First Gulf Bank (FGB) saw heavy trading.

Abu Dhabi’s general index climbed 0.2 percent to close at 4,444 points. Total value of the session stood at nearly AED 610 million, up from yesterday’s AED 182 million.

NBAD (down 2 percent, AED 10.25) accounted for AED 236.4 million, and FGB (down 0.4 percent, AED 12.9) weighed in for AED 129.7 million.

Earlier in the day, the two banks said FGB shares will be delisted at end of trading and the merger will be “declared effective.” NBAD shares, including 5.64 billion new NBAD ordinary shares issued to FGB shareholders, will start trading on April 2.

“We expect an increase (in trading activity) as the new (merged) entity could have a higher weight in the MSCI Emerging Markets index that would pave way for higher passive flow of funds in the stock from international institutional investors,” Faisal Hasan, head of research at KAMCO Investment Co., told Argaam.

Meanwhile, telecom firm Etisalat gained 1.4 percent to AED 18.05, helping push Abu Dhabi’s benchmark index in the green.

In Dubai, the main index rose 1 percent to 3,480 points. Emaar was up 1.1 percent to AED 7.3, and Dubai Islamic Bank gained 1.8 percent to AED 5.6.

Logistics firm Aramex fell 2.6 percent to AED 4.95 as the stock traded ex-dividend.

Elsewhere in the Gulf, Qatar’s QE index slipped 0.3 percent to 10,390 points. Saudi Arabia’s Tadawul All Share Index was last trading up 0.6 percent.

Write to Nadeshda Zareen at nadeshda.zareen@argaamplus.com