Dana Group International Investments - formerly Makkah & Madinah Holdings - posts a comprehensive loss for the 18 months period to the end of 30 June of US$89.67m (2014: comprehensive income of $14.50m) and the net loss was $65.72m (2014: net profit of $8.11n).
The company said the 18-month period under review was challenging for the regional economies owing to lower world oil and gas prices and to an increase in the perception of the geopolitical risks associated with the Middle East region as a whole.
These factors resulted in a marked slow-down in the real estate sector in the region, and specifically in Saudi Arabia, where the company's associates, Makkah and Madinah Commercial Investment Company JSCs (MMCI), property assets were located, with consequential, negative impact on asset prices there.
At a general meeting held on 30 May shareholders approved:
- Disposal of 100% interest in Makkah and Madinah International Limited (MMI), which held 34.12% of the issued ordinary shares of MMCI;
- Acquisition of a 21.68% interest in the issued share capital of Bonyan International Investment Group (Holding) LLC (Bonyan);
- Redemption of 1,018,759,378 class A voting shares (Shares) of the capital of the Company, as part consideration;
- Change of name from Makkah & Madinah Holdings Limited to Dana Group International Investments Limited.
The consequences of the acquisition and disposal and of the decrease over the period of $89.42 million in the carrying value of the company's former investment in MMCI, were that net assets at the end of the period under review stood at $77.68 million (2014: $486.86 million).