By Staff writer
Construction giant's second largest shareholder reportedly in talks to buy part of stake held by former CEO Hasan Ismaik
Arabtec Holding’s second-largest shareholder is reportedly in talks to buy at least half of a 28.9 percent stake held by the construction company’s former chief executive officer.
Bloomberg reported on Wednesday that Aabar Investments is looking to raise its holding in Arabtec to more than 30 percent, making it the company’s largest shareholder, citing a person with knowledge of the situation.
The Abu Dhabi state-owned investment company is said to be negotiating a price of AED5-6 a share ($1.36-$1.63) for the shares held by Hasan Ismaik, Bloomberg said.
Last month, Ismaik said he had three offers for his 28.85 percent stake in the Dubai contractor.
Ismaik resigned in June after a tumultuous six weeks during which the company's share price plunged as much as 50 percent and a Aabar cut its shareholding in the firm to 18.94 percent from 21.57 percent, raising doubts over its willingness to support the company.
A public relations representative for Aabar declined to comment to Bloomberg, citing company policy. A personal assistant for Ismaik also declined to comment.