Investors expand Drake interest

Drake and Scull International's expansion plans buoyed investor confidence and nudged its share price higher.

Drake & Scull International, an engineering and contracting company, closed higher yesterday as traders took comfort in the company's expansion plans.

Shares in the company ended the day 0.2 per cent higher at 99 fils, one of the few Dubai-based companies to finish the day on a positive note.

The gain is in "anticipation of more orders and [more] acquisitions in Saudi", said Mala Pancholia, a senior analyst at NBK Capital in Dubai.

Drake & Scull has partnered with the Zamil Group, an investment company based in Saudi Arabia, as part of its expansion strategy. It said last week it had US$1.5 billion worth of orders at the end of September.

The Dubai Financial Market General Index retreated 0.5 per cent to 1,632.41 points.

Heavyweight property stocks weighed on the market as Emaar Properties, the second-most actively traded stock by volume, lost 1.1 per cent to Dh3.53.

In Abu Dhabi, Aldar Properties slipped 1.3 per cent to Dh2.30.

The capital's biggest loser was the telecommunications operator Etisalat, which fell 0.5 per cent to Dh10.80. The UAE's largest company by market capitalisation announced it will cut 300 jobs to save money earlier this week.

The Abu Dhabi Securities Exchange lost 0.2 per cent to 2,716.33 points. Bahrain's index was closed for the day.

Elsewhere in the region: Qatar fell 1.2 per cent to 8,631.16 points; Kuwait dropped 0.7 per cent to 6,798.00 points; Oman moved 0.06 per cent higher to 6,684.22, and the Saudi Tadawul All-Share Index was 0.03 per cent higher at 6,595.27 points.