Mubasher: GFH Group on Sunday announced receiving “conditional approval” from the Central Bank of Bahrain (CBB) regarding the offer received in the sale of the company’s real estate portfolio.

The original announcement for the portfolio sale was made in May, the firm said.

The Bahrain-based financial group confirmed that the offer it had received amounts to around $1 billion, according to a bourse filing.

GFH expects to receive an “upfront payment that ranges between $250 million to $380 million,” it said, noting that the remainder would be paid based on joint development terms over five years.

The transaction remains subject to approval by GFH’s shareholders.

Last week, GFH Group CEO Hisham Al Rayes told CNBC Arabia that his company was awaiting approval from the CBB regarding the sale of its $600-million to $1-billion real estate portfolio.

The top official had then explained that the portfolio exit would be carried out on two phases, the first involved a cash advance, while the second was a collection spanning a five-year period.

GFH Group, which is listed on Boursa Kuwait, the Bahrain Bourse, and the Dubai Financial Market (DFM), previously posted a 16.7% rise in net profits to $72.5 million in the first six months of 2018 from $62.1 million in the same period of 2017.

In July, Fitch Ratings confirmed GFH Group’s long-term and short-term issuer default rating (IDR) at 'B’, with a stable outlook.

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