Abu Dhabi Financial Group now largest shareholder in Bahrain's GFH

The capital markets arm of Abu Dhabi Financial Group (ADFG) has raised its stake in Bahrain-based GFH Financial Group to 10 per cent, ADFG said on Wednesday.

“Integrated Capital is now the largest shareholder in GFH [and] will be available to GFH’s leadership team to engage in cooperation mechanisms to extract additional value for all public shareholders of the Company,” ADFG said in a statement.

Integrated Capital’s stake was 7.4 percent previously, data from the Dubai Financial Market shows.

Dubai-listed GFH, an Islamic investment bank, is among the most traded stocks on Dubai’s bourse. The shares have gained 41 per cent since the end of November, while Dubai’s index fell 4.4 per cent over the same period.

In December, GFH announced that it had abandoned plans to delist from the Kuwait stock exchange, following changes introduced to local listing rules by the country’s Capital Markets Authority.

Last month, GFH won a dispute resolution against Abu Dhabi Investment House (ADIH) and was awarded 250 million Saudi riyals (Dh244.7m) by a Bahrain-based arbitration ­panel.

The arbitration, originally filed at the Bahrain Chamber for Dispute Resolution (BCDR) in 2013, pertains to GFH’s investment in the North Gate Economic City in Saudi Arabia.

ADFG has about US$3.2 billion in assets under management, its statement said.

*With Reuters

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