Dubai Investments’ net profit up 63% in 2014
Total revenue for the year was Dh3.19b, up from Dh2.84b in 2013
Dubai: Dubai Investments (DI) said on Sunday its net profit for 2014 rose 63 per cent to Dh1.341 billion, while total revenue for the year was Dh3.19 billion, as compared to Dh2.84 billion in 2013.
The board proposed a higher dividend for 2014 of 12 per cent cash and 6 per cent bonus shares. This compares with a 7 per cent cash dividend and 7 per cent bonus shares in the year earlier period, it said in a statement.
The net profit in the fourth quarter of 2014 was Dh346.79 million, an increase of 18.8 per cent compared to Dh291.74 million in the fourth quarter of 2013.
The company said the $300 million (Dh1.1 billion) sukuk issue along with stake sale in Globalpharma and other investments significantly improved companies liquidity position.
“We are currently evaluating various investment proposals and are in advanced stages of negotiations for couple of investments, which are likely to be finalised in the first quarter of 2015. We expect this growth momentum to continue in 2015,” said Khalid Bin Kalban, managing director and CEO of Dubai Investments.
“As a group, we have a strong focus on real estate sector and strategically promising businesses across sectors in the existing and new geographical locations across the region. We are also eyeing the acquisition of a financial entity to strengthen our asset mix,” Kalban said.
DI owns nearly 37 subsidiaries and joint ventures across a diverse range of sectors, including the manufacturing of construction-related materials, fast-moving consumer goods, industrial and commercial properties, real estate management and property development, information technology solutions, driver education, district cooling and financial investments.
With over 19,894 shareholders, 40 subsidiary companies, and paid-up capital of Dh3.5 billion, DI is the largest investment company listed on Dubai’s Financial Market.
Nod for Al Mal Capital’s buy
DI also said its board had approved the acquisition of a majority stake in investment firm Al Mal Capital.
DI will purchase 60 per cent of the financial firm that manages assets and offers investment banking services. Al Mal shut down its brokerage unit in the fallout of the 2008 financial crisis.
In January, DI said it was close to two acquisitions, worth a combined value of Dh400 million ($109 million). This included a financial and a real estate firm.
Al Mal Capital’s activities span investment banking, asset management and investment intermediary services, according to its website. The company has assets of about Dh500 million and equity of about Dh260 million.
