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Global expects to post 'good results' in Q2

Kuwait's Global Investment House is expected to post "good results" in the second quarter due to an improvement in the financial markets, the company's chief executive said in remarks published on Sunday.

Global, like other investment firms, has benefited from a recent rise in the Kuwaiti stock market, Badr al-Sumait said in an interview published in local newspaper Al-Anbaa.

The investment bank began talks to reschedule its debt in December, appointing HSBC as an adviser to hold talks with its lenders. It defaulted on most of its debt earlier this year.

Global will meet with its creditors soon to sign a final agreement for rescheduling its loans, Sumait told the paper, without elaborating.

He also said the firm was not considering merging any of its units and had no plans to lay off any employees in the coming period. A Global spokesman could not immediately comment on the report.

Last month, Global's shareholders agreed to more than double its capital to 281.2 million dinars ($979.1 million), as part of the firm's plans to restructure its debt and revamp its business.

The troubles of Global and other investment firms, including major Islamic firm Investment Dar, led the government of the world's fourth-largest oil exporter to approve a rescue package worth 1.5 billion dinars earlier this year.

Shares of Global fell 3.08 percent on Sunday, underperforming the Kuwait bourse which was down 1.9 percent.


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Reuters
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