Kuwait's National Industries Group Holding, the country's biggest industrial conglomerate by market value, might sell a 10 percent stake to a foreign investment bank, its chairman said.

"We have offers, one offer is to pay more than 35 percent of the market price," Saad al-Saad told Reuters, declining to identify the bidders.

He said a decision may come in September but would first require approval by Kuwaiti authorities given that National Industries was a state-owned company.

A 10 percent stake in the company would be worth about $775 million, according to Reuters data.

"We want a good partner. A good international partner will strengthen our capabilities in the international markets," Saad said, adding that the firm was eyeing a foreign investment bank.

Alternatively, the firm, which invests in industrial projects mainly in the Middle East, is also considering selling Islamic bonds, or sukuk, which could later be converted into shares or global depositary receipts (GDRs) by a future partner.

"We are looking at GDRs, convertibles or direct partnership," he said, declining to say how much the company might raise.

Saad said in October the company, which has diversified away from its core construction materials business by investing in petrochemicals, engineering and metal industries projects, wanted to invest 800 million dinars to 1 billion dinars.

National Industries said it would wait until credit markets improved before continuing a sukuk issue worth up to $1.5 billion, which was unveiled in July, for which only one tranch worth $375 million was sold.

"We want markets to be better," he said.  Net profit in the first quarter rose by 2.7 percent to 61.4 million dinars. Saad said in October the firm was targeting annual net profit growth of 15 percent until 2012. - Reuters