We noticed you're blocking ads.

Keep supporting great journalism by turning off your ad blocker.

Questions about why you are seeing this? Contact us

Font Size

- Aa +

Fri 24 Oct 2008 09:08 AM

Font Size

- Aa +

SALAMA wins approval for 10% shares buyback

World's largest Islamic insurer in move to boost its shares listed on Dubai bourse.

Dubai-based Islamic Arab Insurance Company (IAIC), also known as SALAMA, has won approval to buy back 10 percent of its shares in a move designed to boost its price.

The company, the world's biggest Islamic insurer with a capital of about 1.1 billion dirhams, was given the go-ahead by the Emirates Securities and Commodities Authority to embark on the buyback policy, according to a statement on the website of Dubai Financial Market.

At the close of trading on Thursday on the bourse, IAIC shares were worth 1.43 dirhams, up from an October 8 low of 1.10.

However, IAIC shares were trading at 4.28 dirhams on January 8, 2008.

Earlier this month, the UAE cabinet authorised the bourse regulator to ease restrictions on share buybacks in an effort to boost stocks after weeks of declines.

The move is meant to shore up share prices that have fallen due to negative sentiment from the global financial crisis rather than the fundamentals of listed companies.

Arabian Business: why we're going behind a paywall

For all the latest market news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Real news, real analysis and real insight have real value – especially at a time like this. Unlimited access ArabianBusiness.com can be unlocked for as little as $4.75 per month. Click here for more details.