Bahrain’s Gulf Finance House has sold 10 per cent of its 15 per cent stake in Qatar’s QInvest to Qatar Islamic Bank (QIB) for $50m.
Gulf Finance House said on 26 October that the sale was part of the bank’s strategy 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”.
QIB and Gulf Finance House launched QInvest in 2007. The Bahrain-based bank plans to retain its remaining 5 per cent in QInvest, with QIB holding 35 per cent and other private investors holding 60 per cent.
The sale comes at the same time as Gulf Finance House is raising up to $300m through a rights issue. It will be concluded on 29 October.
The bank has now secured more than $150m from the rights issue. The bank also said it “currently anticipates its third-quarter earnings will be no worse than those reported for the second quarter”.