Dubai-based investment bank Shuaa Capital reported a jump in its first-half profit on the back of higher net fee and commission income.
Net profit attributable to owners of the parent for the six-month period to the end of June rose to Dh54 million ($14.7m) from Dh5m reported during the same period last year, the company said in a statement to the Dubai Financial Market, where its shares are traded.
Net fee and commission income during the period climbed more than 52 per cent to Dh157m.
“Shuaa continues to go from strength to strength, as illustrated by our first-half results,” Jassim Alseddiqi, group chief executive of Shuaa Capital, said.
“We have clear sight of our growth potential via our pipeline of new funds and investments, underpinned by the expansion of our team to accelerate opportunities, particularly in areas such as fundraising, technology and our planned digital wealth platform.”
The company’s second-quarter profit fell to Dh29m from Dh267m reported during the same period last year as total operating expenses rose more than 37 per cent to Dh83.1m.
Shuaa Capital merged with the Abu Dhabi Financial Group two years ago to create a business with both an asset management and investment banking platform that offers diversified revenue streams across different countries.
The company also plans to set up three special purpose acquisition companies, or SPACs, with a capital of $200m each as it looks to tap into the growing market for blank-cheque companies.
Shuaa is currently in the early stages of research and negotiations with investment banks on the new initiative, it said last month.
The company, which has assets under management worth $14 billion, led the funding round for music-streaming service Anghami late last year.