Reuters are reporting that Islamic investment bank GFH Financial Group has agreed to sell a 10% stake in Bahraini cement producer Falcon Cement Co to Integrated Capital, the capital markets branch of Abu Dhabi Financial Group.
Integrated Capital has also expressed an interest in underwriting a proposed initial public offer of shares by Falcon on the Bahrain bourse later in 2016.
Falcon, valued at US$120 million, has an annual production capacity of 350 000 t of cement, which is expected to rise to 850 000 t with the launch of a second production line by the end of 2016.
Abu Dhabi Financial Group announced in February 2016 that Integrated Capital had raised its stake in GFH to 10%; the stake was 7.4% previously. The Abu Dhabi group has about US$3.2 billion in assets under management.
Edited from source by Joseph Green. Source: Reuters