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Arabtec plunges again, drags Dubai down further

Dubai's bourse dropped sharply minutes after opening on Monday as shares in builder Arabtec plunged for a second day in a row.

Arabtec tumbled its 10 percent daily limit while the Dubai index dropped 3.9 percent. Developer Union Properties fell 8.1 percent and bourse operator Dubai Financial Market was down 6.1 percent.

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Shares in Arabtec, which dominates trading in the emirate, plunged on Sunday after Aabar Investments, a key shareholder, did not confirm a media report which said Aabar planned to raise its stake. In a brief statement, Aabar said it was considering its options towards Arabtec but did not elaborate.

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Arabtec said on Monday morning that its board would meet on Thursday afternoon to review its second-quarter earnings statement and other reports and recommendations, but did not give any details.

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Abu Dhabi's bourse was also weak, edging down 0.7 percent in early trade. Top real estate developer Aldar Properties sank 8.0 percent.