Economic crisis hits profits at Bahriani investment company
Bahraini investment company Investcorp reported a $780.6m loss for the year to 30 June as a result of the “severe impact” of the global economic slowdown on the firm and its clients.
The loss for the full year compares to profits in the year to 30 June 2008 of $151m. Total assets fell 24 per cent to $3.6bn, as a result of the firm taking action to de-lever its balance sheet and selling off some of its hedge fund investment. The company described the past 12 months as “the most challenging since the formation of the firm in 1982”.
Fee income for the year was $129.44m, compared to $382.9m in the previous year.
Investcorp also said, on 3 August it raised an extra $500m through a capital increase so it could boost liquidity.