Abu Dhabi stocks hits 13-year high

Abu Dhabi's stock market rose sharply on Thursday to reach its highest level in more than 13 years, partly lifted by top lender First Abu Dhabi Bank, which has gained this week after regulatory approval to raise foreign ownership limit of its shares.
The Abu Dhabi index rose 1.1 per cent to its highest since December 2005, with First Abu Dhabi Bank increasing 1.5 per cent. The bank has risen nearly nine per cent this week after obtaining regulatory approval last week to increase its foreign ownership limit to 40 per cent from 25 per cent.
First Abu Dhabi "could see significant $620 million of inflows if the foreign ownership increase to 40 per cent is implemented before the last 10 trading days of April," Arqaam Capital said in a note.
Energy firm Dana Gas added 1.9 per cent after shareholders approved a share buyback programme of up to 10 per cent of its capital, and a capital increase to Dh6.99 billion from Dh6.97 billion. Aldar Properties rose 3.3 per cent after Abu Dhabi said it would now allow all foreigners to own land and property in investment areas on a freehold basis after making changes to its real estate law. The UAE capital previously limited ownership largely to Emiratis and citizens of the neighbouring Gulf Cooperation Council states.
In Dubai, the index traded flat with Commercial Bank Of Dubai gaining 2.6 per cent after its first-quarter net profit jumped more than 21 per cent. Logistics firm Aramex on the other hand declined 1.4 per cent as the stock traded ex-dividend.
Saudi Arabia's index was down 0.5 per cent with 10 of its 12 banks sliding. Al Rajhi Bank slipped 0.8 per cent while the Middle East's largest petrochemical maker Saudi Basic Industries shed 1.1 per cent. Saudi Arabian Mining dropped one per cent. Arqaam Capital initiated coverage on the stock with a "sell" rating with a target price of SAR44.
Egypt's blue-chip index edged up 0.1 per cent with investment firm Egypt Kuwait Holding climbing 3.4 per cent. Kuwait's premier index rose 1.1 per cent with its biggest lender National Bank of Kuwait adding 1.2 per cent. Earlier this week, it reported a 15.1 per cent rise in first-quarter profit, helped by higher net interest income and lower provisioning charges, beating analysts' forecasts.
- Reuters