Qatar First Investment Bank today announced it’s acquisition of a $16 million stake in exploration and production independent Kuwait Energy Company.
The stake was acquired from an existing shareholder and marks QFIB’s second investment in the oil and gas sector.
The acquisition was announced at a press conference held at QFIB headquarters in Doha. The press conference was attended by Kuwait Energy Chairman and Managing Director Dr. Manssour Aboukhamseen, Kuwait Energy Deputy Chairman and Chief Executive Officer Ms. Sara Akbar, and QFIB Chief Executive Officer Mr. Emad Mansour.
The news follows Kuwait Energy’s latest set of annual results, and news that the company will now start paying dividends to shareholders. The Company earned a net profit of $21.9 million in 2010, up 291% from 2009, and $85.6 million in operating cash flow, up 68% from 2009.
Recently, it announced it had signed gas development contracts for the Siba and Mansuriya gas fields in Iraq. The Company is focused on growth in the Middle East and North Africa region, where it has been successful in Egypt, Yemen and Oman, and has oil and gas assets in Ukraine, Latvia, Russia and Pakistan.
Commenting on the deal, Emad Mansour said: “This is our second investment in the oil and gas sector. We could not have selected a better opportunity. Kuwait Energy fits perfectly with our strategy of investing in growing companies with outstanding management. Kuwait Energy has already established itself as a leading player, with strong positions in promising markets such as Egypt and Iraq. Furthermore, Kuwait Energy’s operations in the MENA and Eurasia markets provide a unique gateway to access niche opportunities which we aim to capitalize on”.
