51% owned and managed by Global Buyout Fund

Kuwait - 23 March 2015 - Global Investment House (Global) announced today that Al Jazeera Steel Products Company ("Al Jazeera"), a company 51% owned by Global Buyout Fund and listed on Muscat Securities Market, will distribute 22% in cash dividends for the year 2014, the largest dividend payment in the history of the Company.           

Al Jazeera achieved record net profits of USD 13.5 million in 2014 as compared to USD 11.8 million in 2013, a growth by 14.4%. In addition, revenues have also grown by 7.9% from USD 229 million in 2013 to USD 247 million in 2014. Al Jazeera has also a strong financial position with total assets of USD 194 million compared to USD 180 million in 2013, growing by 7.7%, whereas its shareholders' equity stood at USD 103.6 million in 2014 compared to USD 96.6 million in 2013 growing by 7.3%. 

Although steel markets have endured significant challenges in 2014 especially with the massive drop in oil prices during the fourth quarter of 2014 and the volatile steel prices associated with it, Al Jazeera's team was capable enough to confront these challenges effectively.

Mr. Sulaiman Al Rubaie, Chairman of Al-Jazeera Steel Products Company representing Global Buyout Fund said: "We are proud to have another successful year for Al Jazeera and its stakeholders. Al Jazeera has achieved, for the fifth consecutive year, tremendous growth and performance backed by a relatively stable demand and a strong order book. These outstanding results could not have been achieved without the efficient purchasing and inventory management, cautiousness of the management team and their exceptional performance in these challenging market environments".

Regarding the Company's future strategy, Mr. Al Rubaie stated: "Al Jazeera's strong balance sheet will reinforce its ability to implement its strategy in enhancing its penetration in the Saudi Arabia market as well as North America. This will ensure continuous growth and revenue diversification and thus reducing operational risks especially in light of the challenging steel market conditions".

It is worth mentioning that the addition of the new Rebar line has been completed and is already in trial production, and is expected to start the commercial production in the second quarter of 2015. This is expected to lead to enhancing the Company's revenues and diversifying its product offerings. This will also increase the capacity utilization of the Merchant Bar Mill from its current 35% utilization, offering significant growth potential. 

Mr. Al Rubaie concluded by thanking the Omani government for all the support extended to the industrial sector, foreign investors and to Al Jazeera in all fronts.  

For further information:
Moustafa Zantout
Senior Vice President
Marketing & Communications
Global Investment House
Tel: +965 2295 1615
Fax: +965 2295 1638
E-mail: mzantout@global.com.kw

Press Release 2015