Abu Dhabi – Mubasher: Dana Gas’ stock suffered a sharp drop towards the end of trading on Sunday on the Abu Dhabi Securities Exchange (ADX).
The stock plunged 7.2% to AED 0.77 by 1:20 pm UAE time, its fastest drop in more than seven months.
Turnover on the stock amounted to AED 113 million after 143 million shares changed hands through 690 transactions.
The slide took place after financial advisor Houlihan Lokey’s Aaron Reedy said last week that Dana Gas had rejected the settlement proposal with shareholders.
In the meantime, the ADX’s general index retreated 1.33%, shedding 59.66 points to 4,420.37 points.
The settlement proposal required Dana to pay $300 million to sukuk holders in a cash disbursement as well as extend the sukuk maturity to three years, while maintaining the current dividend rates.
Dana Gas said the proposal was unrealistic, citing that the settlement did not take into account the company’s financial and legal position, Reedy told Al Arabiya in an interview on Thursday.
