Abu Dhabi's Aldar Properties has awarded a AED2 billion ($544.5 million) contract to Dubai's Arabtec to build 1,017 luxury villas in the United Arab Emirates capital, Aldar said on Monday.
The villas are expected to be handed over to owners at the end of 2017, Aldar said in a statement to Abu Dhabi's bourse.
Arabtec's largest shareholder is Abu Dhabi state fund Aabar.
As of 10:30am, shares in Arabtec rose 4.3 percent in early trading on the news of the contract win. The Dubai-listed builder is up about 25 percent from December's 47-month low. At the same time, Aldar gained 0.9 percent.