EIIB has completed an investment in Rasmala Holdings Limited, an investment bank operating in the Gulf Cooperation Council (GCC) countries and Egypt specialising in asset management, investment banking, brokerage and research.
Rasmala was one of the first regional investment banks to be licensed by the Dubai Financial Services Authority with expertise and relationships in the region maintained through its regulated subsidiaries in the UAE, Saudi Arabia, Egypt and Oman. Rasmala serves a wide range of private and institutional clients including government institutions, corporations, family offices and high net worth individuals. Rasmala employs approximately 140 people in the region.
Rasmala has substantial assets under management and a prominent shareholder base of over 50 leading investors including Deutsche Bank AG, HH Sheikh Saud Bin Saqr Al Qassemi (Ruler of Ras Al-Khaimah), HH Sheikh Mansour bin Zayed Al Nahyan, Diwan of Royal Court Pension Fund of Oman, Bank Muscat, SAMBA Financial Group, and a prominent group of private investors from the Kingdom of Saudi Arabia.
Zulfi Caar Hydari, Chief Executive of EIIB, says: "Rasmala has a strong regional franchise, and together with EIIB’s international capital markets and asset management experience this will be a powerful partnership to seize current opportunities in the GCC.
“The GCC is growing in importance as an economic and trading hub as its overall GDP is expected to reach $2 trillion in less than 10 years. Our goal as a public company is to give international investors exposure via a London quoted vehicle to this fast growing region which provides nearly one-quarter of the world’s oil supplies.”
Ali al Shihabi, a pioneer of regional investment banking and Chairman of Rasmala, says: “The strength of EIIB and its leadership team will assist Rasmala to capture market share in our high priority markets over the next 24 months. I look forward to supporting the business in my role as Chairman of the Rasmala Supervisory Board.”
Anwar Abu Sbaitan, Rasmala CEO, says: “This year there will be opportunities for regional investment banking transactions as well as asset management. With a strong regional platform and an experienced management team we are well positioned to take advantage of this and grow our business in the region.”
The transaction has been structured as a USD16m financing facility that is convertible into a strategic minority stake in Rasmala. EIIB will also own a majority of management shares which will allow EIIB to take a leading role in the management of Rasmala. EIIB has also acquired 7.4 per cent of Rasmala’s existing share capital from shareholders.
