Dubai – Mubasher: Arabtec Holding’s stock continued its negative performance on Monday on the Dubai Financial Market (DFM) after news that the company suggested building its 1-million-unit project in Greater Cairo only.

The stock plunged 2.59% to AED 2.26 by 12:45pm UAE time, registering its third straight decline. Turnover on the stock reached AED 13.51 million as 5.8 million shares changed hands through 249 transactions.

Sources told Egyptian newspaper Al-Watan that the UAE builder had contacted the Egyptian housing ministry and said it was ready to implement the 1-million-unit housing project in the new cities in Greater Cairo only, excluding cities in the Delta and Upper Egypt. However, the ministry refused this suggestion, according to the newspaper.

The real estate sector shrugged off Arabtec’s drop as it was backed by Emaar Properties and its positive financials. The sector edged up 0.02%.

Arabtec previously said in June that there were no developments in the signing of the contract with the Egyptian government.

The UAE-based firm and the Egyptian government signed a deal last year to build 1 million units at a total expected cost of EGP 280 billion.