MANAMA: Gulf Finance House (GFH) has signed an an agreement with Qatar Islamic Bank (QIB) relating to the sale of 10 per cent of its 15pc stake in Qinvest to QIB.
Qinvest, now Qatar's leading investment bank, was conceived by GFH in partnership with QIB and launched in 2007.
GFH will retain a 5pc share holding in the bank.
This sale will realise approximately $50 million in liquidity which is in addition to the $150m in capital already raised so far from its rights issue and the planned $100m investment by Macquarie Group for the GFH convertible murabaha.
The move by GFH is part of a strategy in Bahrain and Kuwait to divest non-core assets, strengthen the balance sheet further and provide the liquidity necessary to engage in compelling high value investment opportunities derived from the global economic downturn.
The sale to QIB coincides with and supports the launch of a GFH rights issue designed to raise between $200-$300m of new capital which will conclude tomorrow.