Posted on August 15, 2013

Qatar Gas Transport Co (Nakilat), the operator of vessels to transport liquefied natural gas, jumped the most in more than two months yesterday as foreign institutions boost their holdings in the nation's shares, Bloomberg said.

The shares rose 3.2%, the most since June 2, to close at QR19.29 in Doha before yesterday, with 1.9mn shares traded, almost triple the three-month daily average. The stock was the third-biggest gainer on the Qatar Index, which climbed 0.9%. Nakilat has advanced 26% so far this year, compared with a 20% rise in the benchmark index.

Advertisement
 

Stock exchanges in Qatar, the world's biggest LNG exporter, and neighbouring UAE were upgraded to emerging- market status in June by MSCI, fuelling hopes foreign investors will channel more money into these countries. Foreign institutions were net buyers of 26% of Qatari shares in July, compared with 13% in all of 2012, according to data of the Qatar Exchange.

"There has been renewed foreign and local institutional interest in the stock," Bobby Sarkar, head of research at QNB Financial Services, said by e-mail. "The stock used to be one of the laggards and I think it's playing catch up." MSCI, whose equity indexes are tracked by investors with about $7tn in assets, will promote the two countries from May 2014 from frontier-market status. Before yesterday's advance, Nakilat had gained 2.2% since June 30 compared with a 6.9% increase in the benchmark index. 

source: Gulf Times

Categories: