Qatari Ezdan, International Housing may merge

Qatar's Ezdan Real Estate Co said it is eyeing a merger with The Group of International Housing Co, as more firms in the world's top exporter of liquefied natural gas look to weather the downturn.

In January, the country's government ordered Qatar Real Estate Investment Co and Barwa Real Estate Co (Alaqaria) to merge, and both firms have since appointed financial advisors. "Ezdan Real Estate Co ... is looking into conducting a feasibility study of the possibility of merging with the Group of International Housing Co," Ezdan, the country's largest property firm with a market capital of around $2.6bn, said in a statement on Qatar's bourse website on Sunday.

Barwa said last week it had appointed Goldman Sachs and the First Investor to advise on its proposed merger, while Qatar Real Estate appointed JP Morgan.

Consolidation in Qatar, one of the richest countries in the world by per capita income, has been on the rise, as the financial crisis is forcing firms to search for ways to bolster themselves amid the global financial crisis.

Barwa, an affiliate of state-owned Qatari Diar, and Alaqaria, in which the government owns a minority stake, said in January they were in the early stages of examining terms and conditions of the merger. (Reuters)