• Home
• /
• Business

Kuwait shares rise

"This is the first direct deal ever sealed by Prince Alwaleed bin Talal in the Kuwait market," said English language daily Arab Times. "That ushers an affirmation of the good reputation and wide experience of the Kuwait investment companies."

The Kuwait Stock Exchange's main index of about 100 stocks on the Arab world's second largest bourse surged 52.90 points, or 1.24 per cent, to 4,323.60.

The index is up 82 per cent for the year - propelled by expectations of strong earnings by Kuwaiti companies, which investors bet will get a slice of the multibillion-dollar reconstruction bonanza in former foe Iraq.

International Financial gained 50 fils to 820 fils, or 6.49 per cent, returning to a high for the year, first hit on September 2.

Riyadh-based Kingdom Holding Company, the prince's investment vehicle, has bought five per cent of International Financial, whose market capitalisation is currently about 116 million Kuwaiti dinars ($395 million), newspapers said.

Last month, the company said it swung to a first-half profit from a year-ago loss. Al Qabas daily quoted the prince as saying the deal was a continuation of the existing cooperation with International Financial Chairman Jassim al-Bahar.

The Invest Dar, a company run according to Islamic Sharia rules that leases and sells real estate and motor vehicles, lost 5 fils or 1.23 per cent to 400 fils, just below its year high of 405 fils.

The exchange said in a statement the company has reached an initial agreement with a potential buyer for one of its external assets, which should result in a one-time profit of 4.4 million dinars, or 12.8 fils per share, excluding operational profits. Burgan Bank gained 2.99 per cent to 345 fils. The exchange said the Kuwaiti central bank had approved Burgan's request for an extension of a period for buying back up to 10 per cent of its shares.