* Emaar bounces back ahead of mall unit IPO, lifts Dubai
* Abu Dhabi's Waha Capital rises after $575 mln financing
* Qatar may slow ahead of FIFA probe results
* Saudi banks pull back again
* But insurers surge as price war seen over
By Olzhas Auyezov
DUBAI, Sept 3 Bourses in the United Arab
Emirates outperformed the region on Wednesday as Dubai developer
Emaar Properties rebounded after profit-taking and Abu
Dhabi's Waha Capital jumped after securing $575
million in fresh funding.
Dubai's main index rose 1.1 percent to a
three-month closing high of 5,172 points as shares in Emaar
gained 2.2 percent. The stock had dropped 3.0 percent on Tuesday
after surging 13.7 percent in the two previous sessions.
Emaar, the emirate's largest listed developer, plans to
float its malls unit this month in a deal likely to raise 8 to 9
billion dirhams ($2.18-$2.45 billion) and will reserve 10
percent of the offered shares for its own shareholders.
The company reiterated on Wednesday that only investors
holding its stock at the end of trading on Sept. 10 would
qualify for priority allotment.
Shares in bourse operator Dubai Financial Market,
which may benefit from higher turnover thanks to the IPO of
Emaar's subsidiary, jumped 5.0 percent.
"The mood is good in the UAE equity markets," said Sebastien
Henin, head of asset management at The National Investor in Abu
Dhabi. "The Emaar unit's IPO was a pleasant surprise for
Emaar had initially announced plans for the IPO in March but
without a clear timeline. On Sunday, it said it would float the
unit in September.
Abu Dhabi's index added 1.0 percent on the back of
large lenders First Gulf Bank and Abu Dhabi Commercial
Bank, which rose 2.2 and 2.0 percent respectively.
Investment firm Waha Capital jumped 3.4 percent after
announcing a hedging deal on half of its shares in U.S.-listed
aircraft leasing company AerCap.
Waha Capital said the deal would provide it with additional
funding of $575 million, which would be used to partially repay
debt and fund new investments.
Qatar's bourse edged up 0.7 percent, recovering
further from a 3.0 percent drop last Thursday, when funds
tracking MSCI's frontier market index sold local stocks en masse
as part of gradual rebalancing which followed Qatar's upgrade to
emerging market status in May.
Mobile phone operator Ooredoo, which tumbled 10
percent during Thursday's sell-off, was the main support and
rose 2.9 percent.
However, with the recovery almost complete, the market may
stall, said Henin from The National Investor.
"It's a kind of wait-and-see situation," he said. "In the
coming days we will have the report from FIFA and in case there
is bad news the market might suffer."
FIFA is investigating its earlier decision to award the 2022
soccer World Cup to Qatar following allegations of graft, which
the Doha government denies. Fund managers think Qatar remains
very unlikely to lose the hosting rights, but the issue could
cause concern in the market.
Saudi Arabia's market edged up 0.1 percent.
Petrochemical giant Saudi Basic Industries was the
main support, adding 0.9 percent.
Banks continued to pull back following the central bank's
decision earlier this week to cap fees related to consumer
lending. The banking sector index slipped 0.3 percent.
Insurance companies were the best performers with four
stocks - Saudi Indian Company for Cooperative Insurance
, Salama Cooperative Insurance Co, Arabia
Insurance Cooperative Co and Sanad Cooperative
Insurance and Reinsurance - surging their daily 10
Rating agency Standard & Poor's said in a report on
Wednesday that it believed "the insurance price war that raged
in Saudi Arabia during 2012-2013 has now largely ended, although
competition to win large, prestigious corporate accounts remains
Market tariffs for the sector's principal lines of group
medical and motor insurance have risen by an average of some 20
percent so far in 2014, it said.
* The index rose 1.1 percent to 5,172 points.
* The index added 1.0 percent to 5,181 points.
* The index edged up 0.7 percent to 13,838 points.
* The index climbed 0.1 percent to 11,061 points.
* The index edged up 0.04 percent to 9,628 points.
* The index added 0.2 percent to 7,462 points.
* The index gained 0.5 percent to 7,439 points.
* The index slipped 0.2 percent to 1,470 points.
(Editing by Andrew Torchia)