Dubai:
Global Investment House, a regional asset management and investment banking firm headquartered in Kuwait, said its shareholders have approved the Board of Director’s proposed cash distribution of 22.9 million Kuwaiti dinars (Dh277 million) by capital reduction.
The annual general meeting, which was held on Thursday, was chaired by Abdul Wahab Al Halabi, director and chief executive officer.
The capital reduction will be implemented by cancelling 229,065,000 shares at the price of 0.100 Kuwaiti dinars and distributing cash to shareholders. The share cancellation will be applied pro-rata to the holdings of all shareholders excluding Treasury Shares. On conclusion of the capital reduction, issued and paid-up capital of the company will stand at around 57 million Kuwaiti dinars with adequate liquidity to fund the company’s core fee business and improve the return on equity and book value per share.
Shareholders also approved the transfer of 10 per cent of the net profit to the voluntary reserve account amounting to 353,115 Kuwaiti dinars in addition to amendments to select articles of the Articles of Association and Memorandum of Association of the Company to reflect the Companies Law No. 1 of 2016.
The company reported revenues of 14.7 million Kuwaiti dinars and net profit of 3.5 million Kuwaiti dinars in 2016 despite a challenging macro-economic environment and geo-political uncertainties.
