Jeddah: Alkhabeer Capital, a prominent asset management company specializing in alternative investments, announced its financial results for the fiscal year 2018 (FY 2018), ending the year with an operating income of SAR 188 million.
The company ramped up its investment activity in private equity and real estate, growing by 14.8% to SAR 1.5 billion. Additionally, the company’s Assets Under Management (AUMs) increased to SAR 5.6 billion, up 16.7% from 2017. Placements also saw a large increase, growing by 59.3% to SAR 803 million, as the firm pushed forward with the initial public offering (IPO) of Alkhabeer REIT. The company’s fee income grew by 20% from SAR 53.7 million in 2017 to SAR 64.5 million in 2018. Moreover, the company’s earnings before income tax and zakat amounted to SAR 56.9 million, experienced a minor decrease of 7% compared to in 2017 results, demonstrating a solid resilience to the challenging macroeconomic factors.
Commenting on the results, the Chairman of Alkhabeer Capital, Mr. Musaad Mohammad Saad Aldrees, said: “On behalf of the Board of Directors, I am pleased to announce that Alkhabeer Capital recorded a number of achievements in 2018, most notably in further diversifying our business and offerings to clients. This is in line with our strategy of maximizing the value of our shareholder’s equity and providing them with consistent, long-term returns. The past year saw our company perform admirably, despite a challenging economic environment, providing us with an excellent foundation for the future. Looking ahead, we remain confident in our strategy and are optimistic for what the coming year holds for Alkhabeer Capital, our shareholders and the Kingdom of Saudi Arabia.”
Mr. Ammar Ahmed Shata, Alkhabeer Capital’s Executive Director, added: “by the grace of god, Alkhabeer Capital managed to maintain its strong financial position in 2018, And we are ready for any challenges that might arise.”
Mr. Ahmed Saud Ghouth, Alkhabeer Capital’s Chief Executive Officer, also noted: “Alkhabeer Capital had a number of accomplishments in FY 2018, and continued to deliver despite economic challenges, both in the region and internationally. While our sector faced headwinds in the second half of FY 2018, mainly due to regional geopolitical uncertainty and global trade tensions, we performed well against the sector as a whole. Most notably, the IPO of Alkhabeer REIT successfully raised more than SAR 247 million from more than 25,000 subscribers, and we made several strategic investments in the education sector, which we see as essential to the future of the Kingdom and the wider region. Looking ahead, we will continue to pursue opportunities to create value for our shareholders and look forward to what the coming year holds for our company.”
Alkhabeer Capital garnered a number of awards for its strong governance and business practices. The company was named ‘Best Private Equity Company’ in Saudi Arabia by Banker Middle East for the second year in a row. Additionally, the company was also recognized as the ‘Best Asset Management Firm’ by the Islamic Business & Finance magazine. Alkhabeer Capital’s working environment maintained its status as one of the Kingdom’s best workplaces according to the Great Place to Work Institute.
Chairman Aldrees concluded: “I would like to take this opportunity to thank the Board of Directors of Alkhabeer Capital for their contribution to our company, and their guidance throughout the past year. I would also like to express my gratitude to our senior management and people for their efforts and commitment. We look forward to the challenges and opportunities of a busy year ahead, which will be transformative for our company and the Kingdom.”
Alkhabeer Capital, headquartered in Jeddah in the Kingdom of Saudi Arabia, specializes in alternative investments and investment services. It is authorized by the Capital Market Authority, license number 07074-37.
About Alkhabeer Capital
Alkhabeer Capital is an asset manager specialized in alternative investments and providing innovative world class investment products and solutions to institutions, family groups and qualified high net worth investors. Alkhabeer’s Shari‘ah compliant business activities are distinguished by executional vigor and a profound understanding of clients’ needs and risk profiles.
Alkhabeer’s asset management services focus on providing investment opportunities in domestic, regional and international capital markets through a wide range of real estate and private equity funds. Our real estate investment team structures and develops innovative real estate investment products. Alkhabeer’s private equity services develop products to benefit from attractive opportunities in a number of sectors including education, healthcare and other sectors.
In addition, Alkhabeer’s asset management services provide its clients with investment opportunities in capital markets, while Alkhabeer’s Investment Banking provides dedicated investment services, including merger and acquisitions. Alkhabeer also provides advisory services on structuring Waqf entities and managing Waqf wealth through its Waqf Program.
Headquartered in Jeddah, and with a branch in Riyadh, Kingdom of Saudi Arabia, Alkhabeer Capital is regulated by the Capital Market Authority (CMA), license no. 07074-37.
For more details on Alkhabeer Capital, please visit www.alkhabeer.com
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© Press Release 2019