QInvest, Qatar's leading private investment group and one of the region’s most prominent Islamic financial institutions, announced today its results for the first quarter of 2017. QInvest maintained revenue and operating profitability at a consistent level and is pleased to publish results in line with its expectations. The Bank’s revenues continue to be well diversified across numerous markets and sectors creating a balanced risk profile.
The Bank generated revenues of QAR 98 million (US$27 million) across all three of its business lines. Operating profit was maintained at QAR 51 million (US$14 million) and net profits were QAR 15 million (US$4 million). The Bank’s assets stood at QAR 4,580 million (US$1,258 million) at the end of the first quarter.
In light of the challenging market conditions, the Bank has continued to deploy its capital cautiously and retain a prudent provisioning policy to protect its gains and prepare for any market uncertainties ahead. The Bank has a strong capital adequacy ratio and significant liquidity ready for investment.
Tamim Hamad Al-Kawari, Chief Executive Officer of QInvest, said:
“The first quarter of 2017 has shown the significant opportunities available in our markets. We are seeing very strong deal flow across all our divisions and continue to connect Middle Eastern investors to transactions across the world. We are currently in the market with the Magnolia Fund, which is seeing significant demand from our clients, and we launched the QInvest SQN Income Fund, which is now fully subscribed.”
Looking at QInvest’s three key business lines in more detail, the Group completed a number of transactions and advisory mandates during the first quarter and the pipeline for the rest of the year looks buoyant. The Firm launched the QInvest SQN Income Fund in collaboration with SQN Capital Management, a global investor and fund manager. The Fund, a Sharia’a compliant closed-ended fund, provides a unique opportunity for investors to access income generating equipment leasing assets in developed markets. It is already oversubscribed, having gained significant traction with investors.
QInvest also announced its joint bid with Atlas Merchant Capital LLC to take Panmure Gordon private and reposition the company as a key boutique investment bank in the UK market. The transaction was recommended by the Independent Directors of Panmure Gordon’s Board and recently received 99.94% approval in the relevant shareholder General Meeting.
QInvest completed the acquisition of two real estate assets in the United States, both as part of the Group’s US multifamily residential investment strategy that is currently being offered to investors. This included a property in Fox Creek, Thornton, a northern suburb of Denver, Colorado and a co-investment in an upscale residential development in Charlotte, North Carolina. QInvest anticipates particularly exciting opportunities in the coming months and years in the multifamily residential market. During the first quarter, QInvest announced the successful exit of its St Edmund Fund, an investment in a prime real-estate development in central London that realized net returns of 22% for investors.
QInvest advised on several transactions during the first quarter of the year. These included acting as sole advisor to a consortium of investors on the acquisition of a $1.12 billion stake in Arab Bank Plc. The Bank also acted as lead book runner on a number of Sukuk issuances including Dar Al Arkan’s 5-year US$500 million unsecured Sukuk issuance, and Ezdan Holding’s 5-year US$500 million Sukuk issuance.