Arabtec says ex CEO Hasan Ismaik is not joining the board of Dubai contractor

The statement comes after Ismaik raised his investment in the contractor to 11.91 per cent from 11.81 per cent.

Former Arabtec chief executive Hasan Ismaik increased his stake in the company last week. Sammy Dallal / The National

Arabtec fell sharply on Monday after the builder denied reports of its former chief executive Hasan Ismaik returning to the company’s board.

"The rumours over the appointment of Mr Hasan Ismaik as chairman or member of the board are false," the construction group said on Monday. "We are not anticipating any change to the board of directors of Arabtec at this stage."

Arabtec lost 6.5 per cent at Dh1.71, but remains 50 per cent up for the past seven days.

Investors have ploughed back into the stock since late February after Mr Ismaik increased his shareholding to 11.9 per cent from 11.8 per cent.

Arabtec was the exception on a positive day for UAE equities, as crude oil prices continued to strengthen. Dubai's headline index, which last week entered a bull market, rose 1 per cent at 3,380.55, with Emirates NBD and Union Properties leading gains.

Shares in Abu Dhabi, which entered a bull market on Sunday, edged up 0.2 per cent to 4,566.39, their seventh straight positive close, thanks to gains by Etisalat and Commercial Bank International.

Qatar’s Doha Exchange on Monday became the latest regional bourse to enter a bull market, closing up 2.2 per cent at 10,368.65.

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