GFH reports $349 million net loss for 2010
Gulf Finance House (GFH) made a progres by reducing its net loss from $728 million in 2009 to 349 million US dollars in 2010.
The banks debt profile was restructured by repaying $200 million of $300 million Murabaha financing facility in February 2010 to syndicates arranged by West LB. The bank also shortened its costs by 20%.
By presenting a plan at the Annual General Meeting from November 2010, GFH and its shareholders approved resolutions that contained 4:1 share consolidation and other capital reduction measures including raising up to $500 million through a convertible Murabaha to strengthen the Bank's capital base and fund its growth strategy, and acquiring an additional 10 percent stake in Khaleeji Commercial Bank.
This plan brought $100 million to the bank.