110 Million of Qurain Shares Are Sold in a Single Auction at 30% above the opening price

  • Al-Marzouk: The deal affirms the market ability to accommodate the purchase of grand companies shares.
  • Al-Azmi: The sale proved share’s quality and durability of Qurain’s position and plans.
  • KFH Capital proved its competency to arrange successful mega transactions.

Kuwait 29th Dec. 2021: The Chief Executive Officer of KFH Capital (The investment arm of Kuwait Finance House), Abdulaziz Naser Al-Marzouk, said that the success of the sale transaction of 110 Million of Qurain shares to Petrochemical Industries Company in a single auction and in one day against a value exceeding the opening price by 30% affirms the market readiness to accommodate such major deals. The market has all the means to conclude and finalize this kind of deals. Accordingly, this represents an opportunity to expand the private sector role and achieve better employment of liquidity. He indicated that the market needs this kind of stock deals. KFH Capital is currently considering the possibility of executing this type of new deals in collaboration with local partners considering the major success achieved from the sale of Qurain shares.

Al-Marzouk added, in a press release, that Qurain shares were offered for sale in an auction with an opening price of Fils 320 per share i.e., a total value of KD 46.750 Million. He affirmed KFH Capital ability to execute sale and acquisition transactions of major companies shares. KFH Capital provides all human expertise, facilities, technical and organizational arrangements to achieve such deals, thus providing more investment opportunities to the company’s customers and the market in general.

He praised the success which the sale transaction has achieved, which makes it a model for similar future successful deals. Also, he appreciated the remarkable cooperation which KFH Capital received from Kuwait Petrochemical Industries and Bourse Kuwait who have exerted all efforts to make this deal a success and facilitate the conclusion thereof.

Al-Marzouk reiterated that the advisory services team at KFH Capital has managed the sale transaction in a professional manner. The sale was made at the highest price in a transparent and direct auction comprising 3 competitors. He added that since the day KFH Capital was appointed by Petrochemical Industries Company as a sale advisor for the sale of 10% of Qurain Petrochemical Industries Company shares, the specialized team of the company started the financial study process and the marketing of this investment opportunity to several local and global investors. The team has also followed up the successful completion of the sale transaction in an auction at Bourse Kuwait.

From his side, the CEO – Petrochemical Industries Company, Mutlaq Rashed Al-Azmi appreciated and praised the arrangements and preparations made by all parties to execute the sale transactions of 10% of Qurain shares in an auction with returns reaching KD 46.750 Million. He indicated that KFH Capital has managed the deal in a highly professional; manner and achieved the best results. The remarkable demand on the auction and the increase in the share price compared to the opening price depict the quality of the offered shares, durability of Qurain financial position, investors trust and the volume of future accomplishments and plan.

Al-Azmi added that Qurain Company achieved major success and remarkable results since the day it was listed in the Kuwait Stock Exchange. The company currently controls several companies working in several fields in the petrochemicals market, thus achieving remarkable financial performance, sundry cash flows, enhancing profitability and minimizing the risks of depending on a single market or field of business. He reiterated that the deal which coincides with the ending of 2021 is the most important and successful deal by all measures. He appreciated the efforts exerted by KFH Capital which has proven its capability to achieve the best marketing calibers and utilize all its facilities to conclude this successful deal. The results of the deal have fulfilled the expectations and aspirations of Petrochemical Industries Company considering the proceeds from selling this amount of shares.

Photo: Abdul-Aziz Al-Marzouk

          - Mutlaq Al-Azmi