New Mauritius Hotels Ltd. drops to seven-month low on Morocco project
New Mauritius Hotels Ltd. (NMH), the country’s largest leisure operator by market value, fell to a seven-month low on concern terrorist attacks in Morocco will curb returns from its project in the north African nation.
The stock retreated 1 rupee, or 1 percent, to 102 rupees by the 1:30 p.m. close in Port Louis, its lowest since Oct. 1.
A suicide bombing killed at least 17 people in Marrakech on April 29, the deadliest attack since 2003. Tourism contributes almost 10 percent to the nation’s gross domestic product. NMH’s Moroccan project includes a 150-room hotel and 80 villas, according to its annual report The hotel, golf course and the first phase of the villas are expected to be completed in 2013, it said on April 18, after it bought back the 50 percent that it didn’t already own in Domaine Palm Marrakech, which is developing the property side of the project.
“The group’s project in Marrakech might be hampered by the April 29 attacks in the tourist city,” Imrith Ramtohul, a senior investment manager overseeing a 6-billion rupee portfolio at Mauritius Union Group said in a phone interview from the city today.
