Business | Banking
Noor Financial could sell stake to global bank
Kuwaiti investment company Noor Financial said yesterday it is interested in attracting a foreign partner to tap global markets and might sell up to 20 per cent to an international bank.
- Reuters
- Published: 00:29 March 14, 2008
Kuwait City: Kuwaiti investment company Noor Financial said yesterday it is interested in attracting a foreign partner to tap global markets and might sell up to 20 per cent to an international bank.
Managing director Naser Al Merri said Noor would start talks with potential partners in the third quarter and might conduct a capital hike next year to sell shares to a bank.
"We want an international bank to get access to international markets," Merri told Reuters in an interview, declining to identify the possible partner.
Based on Wednesday's closing price a 20 per cent stake would be worth $296 million, according to Reuters data.
He said Noor had already been approached by a "big" US bank to buy a minority stake but shareholders had not approved plans to sell shares to it via an existing $92 million rights issue. He declined to identify the US bank.
"The subscription is ending today. If we get any unsubscribed shares, we will give it to the foreign bank."
Al Merri said Noor wanted to boost its shareholders equity to $2.5 billion by the end of 2010 from currently $1 billion, but "cannot achieve this except by bringing a big player with us to help with a deal flow."
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