Dubai Investments PJSC (DI), the leading investment company listed on the Dubai Financial Market (DFM), on Sunday said its net profit for the first six months of 2014 has surged to AED 805 million, an increase of 118% compared to a net profit of AED 370 million for the similar period last year.
Announcing its financial results for the six-month period ended 30 June 2014, DI reported a consolidated total income AED 1.8 billion in the first half of 2014, as against AED 1.3 billion for the comparable period last year.
Total assets as on June 30, 2014 stood at AED 13.5 billion, while net worth increased to AED 9.6 billion.
DI said its annualised return on share capital achieved for the period was also higher at 42.1%, compared to 21.5% for the full year of 2013.
During that period, DI divested 66% equity stake in its wholly-owned pharmaceutical subsidiary Globalpharma to an investor group led by Sanofi, a leading global healthcare company. The transaction contributed a profit of AED 472 million to DI,representing realized gain on disposal of controlling interest of AED 296 million and fair value gain on the retained investment of AED 176 million.
Khalid bin Kalban, Managing Director and CEO of Dubai Investments, said, “In Q1 2014, DI concluded a historic USD 300 million Sukuk issuance and now in Q2 we have successfully concluded a strategic divestment of 66% 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 capitalize 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,” Mr. Kalban added.
DI owns around 35 subsidiaries and joint ventures encompassing a diverse range of sectors including 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.
Source : WAM News Agency for United Arab Emirates
