By: Mahmoud Gamal
Dubai – Mubasher: Drake and Scull International’s (DSI) stock plunged on Wednesday by 10%, its the decline at this level for third session in a row, on the Dubai Financial Market (DFM).
This three-day slide comes amid forecasts that the firm is likely to register wider losses during the second quarter of 2018 and amid heightened investor fears.
By 1:30 pm UAE time, the stock led the DFM’s fallers and reached AED 0.729, its lowest level since listing. In the meantime, turnover amounted to AED 58.18 million after traded volume reached 78.72 million shares exchanged through 709 transactions.
Commenting on DSI’s performance, Wadah Al-Taha, member of the National Advisory Board of Chartered Institute for Securities & Investments (CISI), noted that since the start of the yea DSI’s stock has plummeted by almost 70%, indicating that the situation requires an intervention by the Securities and Commodities Authority (SCA).
What is happening to the company is strange and not a coincidence, Al-Taha told Mubasher.
Meanwhile, Issam Kassabieh, senior financial analyst at MenaCorp, stated that DSI’s future was now unknown especially with the company not announcing any new deals and following the travel ban issued against its former chairman Khaldoun Tabary as part of the investigation on potential money misuse.
As for DSI’s estimated AED 1 billion dues from Saudi Aramco, Kassabieh described the claim as “fictional”, indicating that no such claim appeared in DSI’s financial statements.
Translated by: Nada Adel Sobhi
