DUBAI May 24 Shares in companies linked to
tourism underperformed in Dubai in an otherwise flat regional
market in early trade on Wednesday.
Dubai's theme park operator, and constituent of the MSCI
emerging market benchmark, DXB Entertainments, lost
2.2 percent to 0.789 dirham, its lowest price since January
Its shares been hit hard over the last few sessions, as
investors expect Ramadan and hot summer weather may reduce
footfall at its Dubai hotels and theme parks.
Emaar Malls Group was down 1.9 percent after the
retail arm of Emaar Properties said it will buy a 51
percent stake in e-commerce fashion website Namshi from Global
Fashion Group (GFG), a start-up set up by Rocket Internet
, for $151 million.
Although this may be an alternative revenue stream for Emaar
Malls, which depends on brick and mortar businesses and visitors
to its malls, some investors may find the expected acquisition
will hurt its core business.
Dubai's index was flat.
In Abu Dhabi, the index was up 0.2 percent with main
support from the two largest listed shares. Telecommunications
operator Etisalat was up 0.9 percent and First Abu
Dhabi Bank rose 0.5 percent.
Meanwhile, Qatar's index edged down 0.1 percent with
Islamic lender, Masraf Al Rayan, which has been rising
since for six straight days, dipped 0.9 percent.
In Saudi Arabia, the index was flat after half an
hour of trade, with the majority of trade focused on small and
mid sized stocks.
Saudi Industrial Development, a company that makes
various industrial and consumer goods, was up 1.7 percent in
unusually high volume.
(Reporting by Celine Aswad; Additional reporting by Hadeel Al
Sayegh; Editing by Andrew Torchia and Andrew Heavens)