Qatar-based conglomerate Mannai Corporation has announced a net profit of QR279m ($76.6m) for 2011, up 21 per cent when compared to 2010.

Revenues grew 16 per cent to QR2.3bn in the same period. Earnings per share rose to QR9.01, up from QR7.71 in 2010. The growth was primarily as result of the 35 per cent acquisition of UAE-based retailer Axiom Telecom, which was completed in June 2011.

“The group will continue to explore further growth opportunities in Qatar and overseas,” says Alekh Grewal, chief executive officer at Mannai.

One of the opportunities that Mannai is considering is a takeover of UAE-based jeweller Damas International.

Mannai is considering a cash offer in conjunction with another investor. The company has begun the financial and legal due diligence process which is expected to be completed by the end of April this year. Mannai is looking to acquire 58.8 per cent of Damas at $0.45 per share, valuing the deal at $445m.

Damas has appointed Japanese investment bank Nomura to advise it on the deal.

The jeweller has been struggling after shareholders the Abdullah brothers took 2 kilograms of gold from the company without shareholder approval. Damas was forced to restructure $872m in debt as a result and according to Anan Fakhreddin, chief executive officer of Damas, the company is ahead of schedule in paying off its cascade agreement.

Fakhreddin declined to comment on the possibility of a Mannai takeover.