DUBAI Dec 12 Arab Petroleum Investments
Corporation (Apicorp) has bought 30 percent of Falcon
Cement Co, Bahrain's largest cement producer, to help to drive
economic growth in the region, the development bank said on
The stake was bought from Islamic investment bank GFH
Financial Group, which said it would remain a
strategic shareholder in Falcon. The companies did not disclose
the purchase price, but GFH has previously valued Falcon at $120
Apicorp, a multilateral development bank established by the
member states of the Organization of Arab Petroleum Exporting
Countries, will act as a strategic shareholder supporting
expansion of Falcon.
The cement company, which supplies big infrastructure
projects in Bahrain, has production capacity of 1,000 tonnes per
day and plans to raise that to 2,400 tonnes by the end of 2017.
Integrated Capital, part of the Abu Dhabi Financial Group,
owns 10 percent of Falcon, having bought into the business
earlier this year.
GFH has previously proposed an initial public offering (IPO)
of Falcon shares on the Bahrain bourse, but Monday's statement
did not mention that plan and it was not immediately clear
whether an IPO remains on the cards.
(Reporting by Andrew Torchia; Editing by David Goodman)