The deal will see Terra Real Estate Investments (Terra) acquiring $40 million worth of real estate accounting for 72 per cent of GFH’s landmark Harbour Row Residence in Bahrain as well as $60 million of the GFH real estate development project in Morocco.
Thursday 14, February 2019 BY KUDAKWASHE MUZORIWA
Bahrain-based GFH Financial Group (GFH) has signed a $100 million real estate divestment as part of its $1 billion in exits from its existing real estate portfolio.
The deal comes as part of a planned exit from GFH’s real estate portfolio to be undertaken over the next five years, with proceeds of the deals expected to support profit distribution and the growth strategy.
Hisham Alrayes, the CEO of GFH, said, “We are committed to achieving a series of further exits from our real estate portfolio to allow the Group to minimise and reduce our overall real estate exposure -- such planned exits are aimed to realign all assets classes to have a balanced contributions to the company’s operations and income generation.”
In a statement, GFH stated that this transaction is expected to positively impact the Group’s first quarter 2019 results.