Dana Gas down as London sukuk trial to resume

Dubai : Shares of Abu Dhabi-listed Dana Gas fell sharply yesterday after news that a London court hearing on its maturing sukuk issue would resume.

After several delays last week, a London High Court trial on the validity of $700 million of sukuk issued by Dana will go ahead on Monday. Dana said in June it would not repay holders of its Islamic bond, or sukuk, because it had become invalid under United Arab Emirates law.

The case is being fought in UAE and British courts, and sukuk holders have been hoping the London court will produce a ruling that effectively shuts down Dana’s legal campaign in both jurisdictions. The uncertainty knocked Dana’s shares 5.1 per cent lower
yesterday.

Escalating tensions between North Korea and the United States weighed on Gulf markets in general, dragging the Abu Dhabi index 0.3pc lower.

The Dubai index fell 0.9pc as 27 shares declined including Emaar Properties, which lost 1.6pc. Only seven stocks rose.

Shares favoured by foreign funds weighed on Egypt’s blue-chip index, which fell 0.6pc; Global Telecom Holding lost 2.0pc. But the broader EGX100 index added 0.7pc.

The Saudi Arabian and Omani were closed for public holidays yesterday.