Dubai Investments achieves AED 108 million profits through Private Equity divestments

Dubai Investments, a leading investment company listed on the Dubai Financial Market, has achieved unprecedented success through its private equity subsidiary Masharie LLC, achieving profits of AED 107.68 million through divestments in nine subsidiaries over the years. 

Masharie, which has acquired a total of 23 companies since its incorporation in 1998, owns 12 companies in its portfolio as on date, representing a wide array of sectors including aluminium extrusion, architectural aluminium designs, rubber, interior fit-outs, drivers’ training centres, switch gears and laboratory furniture, among others. 

A pioneering move by Dubai Investments, Masharie enjoys a major share in the regional private equity sector, and is currently pursuing aggressively growth and investments opportunities during 2014 with demography-linked sectors topping the priority lists, amidst optimistic business sentiment across other industries. 

Masharie’s divestments over the last nine years include Metrofile Middle East, Emirates Explosives, Gulf Printing & Publishing, Thermoset Technologies, Stromek Emirates Foundations, Al Arif Contracting Co. & Power Factor Facilities Management LLC, Anchor Allied Factory Limited & Inter Chemi International Limited; with return on investments varying between 100% and 600%. 

Following these successful private equity investments, the company believes that the GCC offers a strong growth opportunity as robust macro-fundamentals continue to drive the region’s economic road to recovery, fuelled by Dubai’s successful bid to host Expo 2020 and a resurgent stock market across the region. 

Mr. Khalid Al Jarwan, General Manager of Masharie LLC, said: “Over the last 16 years, Masharie has achieved phenomenal success with its private equity investments. The profits and growth at DI have been driven by our pioneering vision for Masharie, and a result of strategic and calculated acquisitions and exits from various businesses at appropriate time, and we achieved profits of over AED 108 million through divestments.” 

He added: “We remain optimistic towards continued long-term growth prospects of Masharie, as the private equity market regains confidence, with discussions and interest in new deals on the rise. The investment activity will continue to increase this year and a more sophisticated approach will improve individual asset returns and safeguard future funding.” 

Mr. Al Jarwan further said: “We are negotiating some direct investments opportunities in growing sectors which will further accelerate our profitability. Among these, we are constantly assessing new investment prospects in the financial industry, such as equities and also targeting investments in bonds.” 

Masharie, which has forged successful equity partnerships with a number of business enterprises over the years, continues to offer a strong growth potential in the evolving business landscape across the Middle East.