Al Ameer announces Gulf Holding Company K.S.C. (Holding) strategy during the Annual General Meeting: "One of our priorities is to enhance the Company's liquidity by exiting certain investments"
Company makes a net profit of KD 4.1 Million in 2009
Oppenheimer Investment Group appointed as advisor to the Company's projects Villamar and Villa Royale
The Annual General Meeting of Gulf Holding Company, K.S.C. (Holding) was chaired successfully by Ahmed Al Ameer, Vice Chairman and Managing Director on Thursday, in the presence of shareholders representing 79.85% of the issued share capital at the premises of the Ministry of Industry and Commerce in the State of Kuwait.
During the meeting, Al Ameer unveiled the Company's new strategy which aims at achieving the best possible returns on investment through the development of its plans. He emphasized that the Company has considered the exit of some of its investments with positive result which resulted in exiting one of its investment at a 10% premium on the principal amount.
Commenting on this, Al Ameer said: "Despite the unfavourable market conditions, Gulf Holding Company managed to post net earnings of KD 4.1 million for 2009, compared to KD 5.7 million for 2008. Earnings per share stood at 4.86 fils for the year, compared to 6.82 fils for 2008, and we are continue to develop our investments, make profits and increase the shareholders' equity on the one hand, whilst acting cautiously in the face highly volatile and unpredictable markets on the other."
Commenting on the Company's financial position, Al Ameer said: "The Company reduced its expenditures by around 40% in 2009, compared with 2008, which is a testimony to our commitment to maintain and protect the shareholders' equity, and we will continue to reduce operating expenses further."
The Annual General Meeting unanimously elected the Company's alternate members, completing the term of the Company's current Board of Directors.
On the Company's new strategy, Al Ameer announced to shareholders the appointment of Oppenheimer Investment Group, a global advisory company, as the advisor to Villamar and Villa Royal projects, adding: "In the light of local market conditions, we have made great progress in defining the most promising strategy for the Villamar Project to generate new global marketing opportunities. Based on Oppenheimer Investment Group's experience on the global market, we are expecting substantial progress in developing and marketing Villamar project over the near future."
Talking about the Company's near term strategy, Al Ameer said: "The Company's current and future policy aims to make progress on various levels in order to protect and maintain the Company's assets and its investments, including the possible positive exit of certain investments, setting aside provisions. This is one of our highest priorities."
Al Ameer concluded his statement by answering a question put forward by one of the shareholders on the possible timing of a listing of the Company on the Kuwait Stock Exchange. He said: "Despite the fact that we believe time is not opportune for listing, in response to the pressing demands by our esteemed shareholders for listing, we have filed all the requisite documents, including the consolidated financial statements for the previous years as well as the financials for the year 2009, and we are waiting for the Kuwait Stock Exchange's resolution on this issue."
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© Press Release 2010
