Mubasher: Gulf Investment House (GIH) on Sunday said its board has approved the offer presented by a local financial institution to purchase GIH’s stake in associate firm Arkan Al Kuwait Real Estate.
GIH owns 56.55 million shares in Arkan and the purchase was carried out at 79.5 fils per share, rendering the total transaction at KWD 5.51 million ($18.10 million), GIH said in a filing to Boursa Kuwait.
The stake sale will result in a loss of KWD 3.48 million, which will be included in GIH’s financial results for the fourth quarter of 2018.
The deal was done over the counter (OTC) as it was previously agreed upon, GIH added. Relevant market-governing bodies supervise OTC transactions.
GIH did not disclose the name of the buyer.
Last week, GIH’s shareholders approved trimming part of the company’s accumulated losses by using KWD 343,090 of its legal reserves.
In November, GIH reported KWD 639,650 ($2.11 million) in profits in the third quarter of 2018 against losses of KWD 48,000 ($158,160) in the same period last year.
From January to September 2018, GIH logged around KWD 839,360 in profits versus a loss of KWD 1.08 million in the corresponding period of 2017.
