Dubai: Emaar Properties PJSC, West Asia’s biggest property developer, slashed its dividend by half to free up funds for investment in retailing and health care. The shares had their biggest decline in 10 months.
The 2006 dividend will be 5.4 cents (Rs 24) a share compared with 10.8 cents the year before, the United Arab Emirates-based company said in an e-mailed statement on Sunday, after its annual meeting.
“Investors were bargaining for a higher payout, which the company did not agree to,” said P. Krishna Murthy, who runs the brokerage unit of Dubai International Securities. “This is an emotional reaction to the dividend announcement.”