Bahrain's Investcorp reports 4% rise in net profit

The company's assets under management stood at $22.6 billion in the fiscal year ending June 30
Bahrain's Investcorp reports 4% rise in net profit
By Bernd Debusmann Jr
Wed 08 Aug 2018 12:25 PM

Bahrain’s Investcorp’s net income rose to $125 million in the fiscal year ended June 30, the company has announced.

According to the firm’s financial results, its aggregate net income rose 4 percent from the $120 million reported in FY2017, with fully diluted earnings per share increasing by 4 percent to $1.30.

The firm’s income for the second half of the fiscal year was $70 million.

Additionally, investment activity rose by 36 percent to $2.8 billion from $2.1 billion, while total placement and fundraising activity rose by 77 percent to $7.3 billion from $4.1 billion in FY2017, reflecting a full year’s contribution from Investcorp Credit Management (ICM) and the firm’s broadening client base.

Assets under management grew by 6 percent to $22.6 billion, and have also, as a consequence of the ICM business, resulted in higher recurring income from AuM fees, which grew 27 percent to $173 million. Asset based income also grew by 30 percent to $133 million.

According to the company, three new deals over the course of the fiscal year totaled $406 million, in addition to two follow on fundings, $75 million invested through and alongside Investcorp’s Technology Funds III and IV and a further $48 million invested in two special opportunities. $580 million was raised from investors during the full year period with $789 million returned in distributions.

In MENA, Investcorp made its third healthcare investment to construct a new hospital in Abu Dhabi in partnership with VAMED, a leading global provider of rehabilitation and other services for hospitals.

“As we continue our growth momentum across the business, we are pleased that the firm has continued to report strong performance across a range of our key indicators delivering high quality earnings,” Investcorp executive chairman Mohammed Alardhi said.

“Following the successful integration of Investcorp Credit Management, I am pleased to see the delivery of the anticipated strategic benefits of the acquisition in terms of diversification of both products and clients."

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