Eshraq reports FY 2022 profit jump post Goldilocks acquisition

Eshraq reports FY 2022 profit jump post Goldilocks acquisition

Abu Dhabi-based Eshraq Investments reported a jump in its full year profits to 589.79 UAE Dirhams ($160.6 million) for 2022, following its acquisition of Shuaa Capital-managed Goldilocks Fund, completed in August.

Financial statements posted to Abu Dhabi Securities Exchange (ADX) showed the profit for the year of 589.79 million UAE Dirhams, up from 38.4 UAE Dirhams million for 2021.

The acquisition of the fund was listed as a key audit matter by auditors Deloitte, who said it is still controlled by its fund manager, and not by Eshraq, therefore it is not incorporated into financial statements on a consolidated basis.

In a press release, Eshraq said the profit jump was primarily due to the gain of 436.58 million UAE Dirhams to Eshraq shareholders on account of the acquisition of Goldilocks Fund (“Goldilocks”) and subsequent increase in performance of Goldilocks’ investments on Eshraq’s balance sheet, leading to gain of 564.97 million UAE Dirhams as of December 31, 2022.

The company also said it had made “rapid progress” in monetising its land bank, signing sales and purchase agreements for seven plots, representing 28% of its existing land bank, with sales consideration of 208 million UAE Dirhams.

Chairman Jassim Alseddiqi said that a dividend of 2 fils per