The company is moving forward to complete the capital reduction to offset accumulated losses and issue new shares in exchange for the acquisition of Goldilocks Fund
7.29 million dirhams net profit for the first half of 2022
In the first half of 2022, the company achieved a growth in income from commercial operations by 151% compared to the same period last year
Abu Dhabi, United Arab Emirates: Eshraq Investments PJSC (“Eshraq” or the “Company”), listed on the Abu Dhabi Securities Exchange, announced the imminent completion of the acquisition of “Goldilocks Fund” by issuing new shares. The company is also working on reducing the capital from 2.325 billion dirhams to 1.427 billion dirhams to extinguish the accumulated losses, in addition to the subsequent increase in capital once morest the acquisition. This acquisition is expected to enable Eshraq to increase its profitability, improve its share price, and enhance its ability to grow a strong business, in addition to creating long-term sustainable value for Eshraq shareholders.
Eshraq also announced its condensed consolidated financial results for the six months ending on June 30, 2022. In terms of core operations, the company’s total profits resulting from commercial operations increased by 151.7% over the same period – that is, the first half – of last year; While the company’s net profit for that period amounted to 7.29 million UAE dirhams, a decrease of 59% on an annual basis, as a result of the company achieving more profits last year for its portfolio of public shares compared to this year.
Eshraq recorded a total operating income of 15.6 million dirhams, driven by the leasing and hospitality business; Burj Daman and Nuran Marina serviced apartments achieved occupancy rates of 99% and 89% respectively, and Nuran Marina serviced apartments recorded a 70% increase in average room rates thanks to the company’s proactive and strategic efforts in the leasing sector.
Marina Rise – the company’s first mixed-use project on Reem Island – achieved an occupancy rate of 98% in the second quarter, boosting the company’s recurring revenue.
and a monetization strategy for its land portfolio. The company is looking at further development opportunities, including joint venture opportunities, for its other land portfolio on Reem Island in Abu Dhabi and Jumeirah Village Circle in Dubai.
In this regard, Jassim Al Seddiqi, Chairman of Eshraq Investments, said: “We are currently working hard to complete the acquisition of Goldilocks Fund. In line with the mandate given by our shareholders, we have set the wheel to enhance the company’s financial performance and improve operational effectiveness. We are optimistic. This acquisition will accelerate future growth opportunities and create long-term value for our shareholders, and we look forward to providing further updates to our shareholders in the coming weeks.”
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About Ishraq Investments
Ishraq Investments is a leading development and investment company with a wide range of residential, hospitality and real estate projects. The company also has a diversified investment portfolio across equities, fixed income, private equity and debt products. For more information, please visit the website: www.eshraquae.com
For media information, please contact:
Dania Isaac
Echoes of BCW
Dubai United Arab Emirates
Tel: 971-4-450-7600
Email: global.com-dhanya.issac@bcw
