MIDEAST STOCKS Gulf markets up as oil costs rise; offers increase UAE, Bahrain

A trader walks out of Bahrain Bourse after Joe Biden won the U.S. presidency, in Manama, Bahrain, November 8, 2020. REUTERS/Hamad I Mohammed

Gulf stock markets rose in early trade on Wednesday tracking oil prices, with merger and acquisition deals providing an additional boost to the markets in the United Arab Emirates and Bahrain.

Oil prices rose for a second session on Wednesday on signs of strong fuel demand in western economies, while the prospect of Iranian supplies returning faded as the U.S. secretary of state said sanctions against Tehran were unlikely to be lifted. read more

Saudi Arabia’s benchmark index (.TASI) was up 0.4% as Al Rajhi Bank (1120.SE) gained 0.4% and edible oil maker and retailer, Savola Group (2050.SE) jumped 4.2%.

The Abu Dhabi index (.ADI) rose 0.5% with Abu Dhabi National Hotels Company (ADNH) (ADNH.AD) jumping 14.9% and Abu Dhabi Commercial Bank (ADCB) (ADCB.AD) adding 2.1%.

Abu Dhabi state-owned ADQ said on Wednesday it submitted an offer to ADNH to combine Abu Dhabi National Exhibitions Company (ADNEC) with the hotel firm. read more

The lender ADCB rose for a second day after it received on Tuesday, an amended offer for its stake in Alexandria Medical Services (AMES.CA), whereby the potential buyer increased the offer price to 700 million Egyptian pounds ($44.87 million) from 650 million offered earlier.

The Dubai index (.DFMGI) gained 0.2%. Dubai Islamic Bank (DISB.DU) rose 0.8% and Damac properties (DAMAC.DU) advanced 1.5% after Maple Invest Offered to acquire remaining stake in the real estate developer at 1.3 dirhams per share, with intention to take it private. read more

The index in Bahrain (.BAX) was nearly 0.6%.Al Ahli United Bank (AUBB.BH) increased 1.3%, while Khaleeji Commercial Bank (KHCB.BH) surged 8.9% following a takeover offer from GFH Financial Group (GFHB.BH) after raising stake in the lender to 69.05%.

GFH traded 0.5% higher.

Qatar’s index (.QSI) edged up 0.1% as Industries Qatar (IQCD.QA) gained 0.6% and Qatar Fuel (QFLS.QA) dropped 1.5%

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