Equipment at a plant of Emirates Extruded Polystyrene, a Dubai Investments firm

Equipment at a plant of Emirates Extruded Polystyrene, a Dubai Investments firm

DI profit up 118pc

01 September 2014

DUBAI Investments (DI), listed on the Dubai Financial Market (DFM), has announced a 2014 half-year net profit of Dh805 million ($219.19 million), up 118 per cent compared to the same period in 2013.

The consolidated total income was Dh1.8 billion compared to Dh1.3 billion for the same periods under review. Total assets as on June 30, 2014 were at Dh13.5 billion, while net worth increased to Dh9.6 billion.

The annualised return on share capital achieved for the period was also higher at 42.1 per cent, compared with 21.5 per cent for the full year of 2013.

During HI 2014, DI divested 66 per cent equity stake in its wholly-owned pharmaceutical subsidiary Globalpharma Co LLC to an investor group led by Sanofi. The transaction contributed a profit of Dh472 million to DI, representing realised gain on disposal of controlling interest of Dh296 million and fair value gain on the retained investment of Dh176 million.

Khalid Bin Kalban, managing director and CEO of Dubai Investments, said: “We are quite pleased with the way 2014 has progressed so far. In Q1 2014, DI concluded a historic $300 million sukuk issuance and now in Q2 we have successfully concluded a strategic divestment of 66 per cent interest in Globalpharma. These transactions have reinforced our position as a major player in the UAE business landscape and have placed us in a good position to capitalise on the available opportunities, and create further value for our shareholders.”

“Our divestment in Globalpharma was well-timed as we capitalised on the rapid growth in the pharmaceutical sector in the region. With the direction and backing of DI, the management executed a successful strategy and created an opportunity for a lucrative divestment,” Kalban added.

DI has around 35 subsidiaries and joint ventures encompassing a diverse range of sectors including the manufacturing of construction-related materials, fast moving consumer goods, pharmaceuticals, industrial and commercial properties, real estate management and property development, information technology solutions, driver education, district cooling and financial investments.

Incorporated in 1995, Dubai Investments has over 19,894 shareholders and a paid-up capital of Dh3.5 billion. Its portfolio comprises six large investment units – Glass LLC, Dubai Investments Industries (DII), Masharie Company LLC, Dubai Investment Park (DIP), DI Real Estate Company (DIRC) and Al Taif Investment.

DI’s primary mission is to add value and to grow its investment portfolio through active strategic stewardship, financial engineering and leveraging its corporate brand, business promotion capabilities, network of relationships, and financial resources.

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