Amanat Holdings PJSC (“Amanat”), the GCC’s largest healthcare and education investment company, today reported a net profit of AED 27.9 million in H1 2018, delivering double-digit growth of 12% over the same period last year. The strong half-yearly performance is underpinned by the firm’s active deployment of capital.
Total revenue generated in the first half of 2018 reached AED 51.9 million, up 7.4% compared to H1 2017. Income from associates stood at AED 26.1 million in the half a notable year-on-year increase of 42.2%. This is a further testament of the progress Amanat has made in recent months in deploying its capital, enhancing returns through deployment in Abu Dhabi University Holding Company (acquired in March 2018) and from the additional 5.3% stake in Taaleem Holdings (acquired in December 2017) .
The end of the first half saw Amanat also closing its second investment of the year, acquiring 100% of the real estate assets of North London Collegiate School Dubai for AED 360 million in June 2018, further diversifying the firm’s asset base and bringing an additional, stable income stream in line with Amanat’s long-term commitment to dividends and value creation for its shareholders.
Taking into account the acquisitions completed in the first half of the year, total deployments since inception stood at AED 1.5 billion as at 30 June, equivalent to almost 58% of Amanat’s capital (AED 2.5 billion). Following the period end, Amanat completed the acquisition of Middlesex University Dubai, the branch campus of Middlesex University London, achieving 73% deployment of its capital to date.
The company’s excess cash was efficiently utilized during the first half of the year, delivering a net yield of 3.43% in H1 2018, compared to 3.24% in the same period last year.
Commenting on the results, Mr. Hamad Abdulla Al Shamsi, Chairman of Amanat, said: “Amanat’s strong financial performance in the first half of the year is testament to our investment strategy which has proven to be effective very early on. In addition, Amanat is well placed to deliver solid progress as we continue to create value in our existing portfolio and further diversify our asset base with the acquisition of high-quality education and healthcare assets in the GCC and other markets. We are optimistic about unlocking the full potential of our investments to create sustainable value and impact for our shareholders, partners and society at large.”
Dr. Shamsheer Vayalil, Vice Chairman and Managing Director of Amanat, said: “Amanat has made investments amounting to AED 1.1 billion between December 2017 and August 2018, demonstrating our active approach to investing in high-quality assets with the potential to grow and generate excellent long-term returns for our shareholders. Following our recent investments in Middlesex University Dubai, we have now successfully deployed circa 73% of our paid-up capital, which is a remarkable milestone. As we move forward into the second half of the year, we remain focused on leveraging our expertise and capabilities to help our partners create sustainable value.”
On April 9, 2018, Amanat’s revealed its refreshed investment strategy focused on majority or significant minority stakes in high-quality, high-growth potential companies exclusively in the healthcare and education sectors across the GCC and beyond.
