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Wed 13 Aug 2014 06:43 PM

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Former Arabtec CEO said to earn $48m from shares sale

Data shows Hasan Ismaik has offloaded nearly 42 million shares over eight trading days since July 23 - report

Former Arabtec CEO said to earn $48m from shares sale
Hasan Ismaik, former managing director and CEO of Arabtec Holding.

The former chief executive of Arabtec has reportedly earned $48 million from the sale of shares in the Dubai-based construction giant over the past month.

Hasan Ismaik has sold 41.8 million shares, at different prices, over eight trading days since July 23, according to data compiled from the Dubai Financial Market and Bloomberg News and published by UAE daily The National.

The shares sold equate to 4.3 percent of his stake, the paper said, adding that Ismaik sold tranches of shares worth between $850,000 and $13.6m on July 24, July 27, July 31, August 3, August 4, and August 5.

He remains Arabtec’s largest shareholder, with a stake of 27.9 percent of the company, with Abu Dhabi-based Aabar Investments the second largest.

The resignation of Ismaik, who was appointed chief executive in 2012, was confirmed in June and led to a turbulent period for Arabtec shares.

Ismaik said in late June, after resigning, that he had received several offers for his stake from parties he declined to identify, but that he might only consider selling at AED6 or AED7 per share.

Last month, Arabtec reported an 11 percent rise in second-quarter profit, missing analysts' estimates.

Net profit climbed to AED103 million ($28.1 million) in the three months to June 30 from AED92 million a year earlier, the company said in a statement. Analysts polled by Reuters had on average forecast AED111 million.

Revenues jumped 51 percent to AED2.41 billion on the back of business growth in the United Arab Emirates and other Gulf markets, said Arabtec, Dubai's biggest listed builder.

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