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Arabtec shares suspended on Dubai Financial Market

By WTOP Staff

AYA BATRAWY
Associated Press

DUBAI, United Arab Emirates (AP) — The Dubai Financial Market on Thursday suspended trading shares of the emirate’s largest construction company, Arabtec Holding, after rumors swirled that the firm’s biggest shareholder was in talks to sell off a large portion of his stake.

The decision was announced on the market’s website following instructions from the United Arab Emirates’ Securities and Commodities Authority. The statement said the trading of Arabtec shares had been suspended pending clarification of media reports about strategic partners’ stakes in the firm.

The National, a UAE newspaper, reported that shares in Arabtec soared Tuesday when it emerged that the firm’s second largest shareholder — Aabar Investments, a state-run fund backed by Abu Dhabi — may be in talks with Arabtec’s former chief executive officer Hasan Ismaik to buy at least half of his stake in the contracting giant.

A lack of clarity in recent months about Aabar Investments’ decision to cut its stake from more than 21 percent to just under 19 percent in Arabtec raised fears among investors that the oil-rich emirate of Abu Dhabi was considering pulling the plug on other Dubai investments.

Weeks after Aabar trimmed its shares, Ismaik abruptly resigned, but not before he had amassed a nearly 29 percent stake in the company, making him the firm’s biggest shareholder.

The decision by the regulator on Thursday to suspend trading of Arabtec shares amid fresh rumors of a deal among the strategic shareholders was hailed by analysts as a positive step.

“Any action from a regulator to get more transparency so that investors can make an informed decision is always a good thing,” said Yong Wei Lee, the head of MENA equities at Emirates NBD Asset Management.

Mohammed Yasin, managing director at National Bank of Abu Dhabi Securities, said the regulators stepped in and decided to suspend trading to get more clarification from Arabtec to make sure there are no misunderstandings or reactions to reports that are not confirmed by the firm itself, but that could lead to speculators taking the share up or down.

“I think the regulator in this case is acting within its authority to ensure that full transparency is available to all,” Yasin said.

“When you have an ex-CEO going and buying and selling to a strategic partner already in the company … these kinds of discussions should be disclosed,” he added. “There will be implications for the rest of the shareholders.”

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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