Friday 29 March 2024
 
»
 
»
Story

Oasis Capital reports net income of $13.2m

MANAMA, February 18, 2015

Oasis Capital, a Bahrain-based investment firm, has reported net income of $13.2 million for last year.

The company said it was a significant increase over $400,000 in the prior year, reported the Gulf Daily News (GDN), our sister publication.

Oasis Capital said it has not been deploying any further funds in new investments since the adoption of a revised business strategy in 2012.

The increase in profitability was achieved mainly on account of exiting an investment in CapitalSpring, a US-based speciality finance company. Other operating income consisted of dividends and asset management fees of $4.4 million and interest income of $1.5 million from deployment of excess funds in highly rated and liquid financial assets.

The board has proposed a dividend of five per cent per share which equates to $6.72 million.

Aggregate realisation proceeds during the year amounted to $125 million, as the company exited from two major investments - a London student accommodation project in May last year and CapitalSpring later in the year.

Following realisation from its investments, Oasis Capital said it also reduced its issued and paid-up capital by about $63 million, which was in excess of its current requirements.

Another capital reduction of about $44 million by the end of the current quarter is also underway.

Chairman Shaikh Mohamed bin Isa Al Khalifa said the results confirm the prudence of the revised business strategy adopted in 2012 to ride out the turbulence in the economic environment caused by geopolitical developments in the region and the as yet unresolved European sovereign debt crisis.

"The substantial improvement in profitability following the realisation of two important projects has allowed the company to distribute dividends for the first time and again return excess capital to the shareholders,"said chief executive Dr Farid Al Mulla.

He said the company would continue to preserve and improve the value of its remaining investments and look for market opportunities to exit at optimal value. - TradeArabia News Service




Tags: Bahrain | increase | capital | income | Oasis |

More Finance & Capital Market Stories

calendarCalendar of Events

Ads