Kuwait's Global sells 51% stake in Oman's Al Jazeera steel

27/03/2018 07:38 AST

Global Investment House, the Kuwait-based asset management and investment banking firm, said on Monday its alternative asset management arm, Global Capital Management, has sold its 51 per cent stake in Muscat-listed Al Jazeera Steel Products Company.

Global did not disclose the value of the sale to Sheikh Suhail Bahwan and Sheikha Amal Suhail Bahwan, chairman and vice chairwoman of the Suhail Bahwan Group, respectively.

"We expect to distribute the proceeds from this transaction to clients investing in the fund within the second quarter of 2018," said Sulaiman Al Rubaie, deputy chief executive of Global Investment House and managing partner of GCM.

Since acquiring the stake in 2007, the fund and management team of GCM implemented a growth programme focusing on boosting the company's presence in regional and international markets, mainly in Saudi Arabia and North America, diversifying its product range and strengthening the balance sheet. Global Investment House posted a 35 per cent drop in net profit to 2.3 million Kuwaiti dinars last year as revenue dropped 4 per cent to 14.1m dinars. Shuaa Capital, the Dubai-based investment bank, had looked to invest in Global last year, but didn't follow through on its plan.

Since Globa's new management of the private equity team took over in 2010, it has restructured the portfolio companies and helped them grow. The team has concluded 33 exits and distributed more than $360 million to its clients, raising the total distributions since inception to more than $580m.

The National