GFH Group and Abu Dhabi Financial Group Extend Partnership
GFH Financial Group (GFH) today revealed that it has signed a sale contract with Integrated Capital (IC), the capital markets arm of the multi-billion-dollar alternative investment firm Abu Dhabi Financial Group (ADFG). Under the contract, IC will get a 10 % stake in Falcon Cement Company (FCC) from GFH. The finalizing ceremony took place between Hisham Alrayes, CEO of GFH and Vice Chairman of FCC, and Jassim Alseddiqi, Managing Director and CEO of ADFG and Chairman of Integrated Capital, at ADFG's headquarters in Abu Dhabi, UAE.
IC has also expressed an interest in underwriting FCC's proposed initial public offering (IPO) planned the Bahrain Bourse later on in 2016 which undergoes the receipt of different internal and regulatory approvals.
Commenting on the agreement, Hisham Alrayes, CEO of GFH, stated: "We are delighted to welcome ADFG, through IC, as a shareholder in FCC. Moving forward, GFH and its subsidiaries will aim to build on this strategic partnership with ADFG, as both groups stand to gain from each other's expertise and strength. This agreement belongs to our overall strategy to generate new investors as we take FCC to the next phase of development.".
Jassim Alseddiqi, CEO of ADFG, included: "We have a keen interest in GFH Group's business and are pleased to even more our active involvement in the group through this landmark transaction. With FCC's strong market position and potential for future development, following the conclusion of a 2nd assembly line later in 2016, the business represents an attractive financial investment chance for ADFG. As a leading financial investment management and financial services group, ADFG will remain to deal with GFH and FCC to even more improve business, its valuation and monetary returns to investors and all stakeholders.".
Developed in 2008, FCC is an extremely recognized incorporated cement plant in Bahrain, making Ordinary Portland Cement (OPC) and Sulfate Resistant Cement (SRC). Currently, FCC has a production capability of 350,000 lots per annum, which is expected to increase to 850,000 heaps with the upcoming launch of a 2nd production line by end of 2016. FCC is valued at US$ 120 million.
