Alpha Dhabi’s strategy powers Dhs7.3b net profit

Alpha Dhabi Holding, one of the fastest-growing investment holding companies in the Mena region, listed on the Abu Dhabi Securities Exchange (ADX: AlphaDhabi), has announced its financial results for the three-month period ending  March, 31st 2023.

Alpha Dhabi reported a strong set of first quarter financial results with net profit up 161 percent year-on-year to Dhs7.3 billion (Q1 2022: Dhs 2.8 billion), which includes a fair value gain as a result of the derecognition of Pure Health Holding LLC. Revenues also grew significantly to reach Dhs 12.8 billion, representing a 56 percent year-on-year increase (Q1 2022: AED 8.2 billion), with contributions from the existing real estate and industrial portfolio continuing to be strong drivers of growth for the Group.

Alpha Dhabi continues to pursue acquisitions and investments as part of Its growth strategy and announced a partnership with Mubadala to co-invest in global credit opportunities. Alpha Dhabi and Mubadala aim to collectively deploy up to ~Dhs 9 billion (approximately $2.5 billion) over the next five years, leveraging Mubadala’s long-term and strategic partnership with Apollo (NYSE: APO), one of the world’s largest alternative asset managers, to access high-quality private credit investment opportunities. Mubadala will hold 80 percent ownership in the Abu Dhabi Global Market-based joint venture entity, with the remaining 20 percent to be held by Alpha Dhabi

This transaction also represents Alpha Dhabi’s entry into the private credit market as it continues to execute on its diversification strategy and capitalise on investment opportunities in new markets.

Alpha Dhabi’s portfolio expansion outside of the UAE is supporting growth with overseas revenue accounting for Dhs 0.9 billion in the first three months of 2023, representing a 7 percent increase year-on-year.

Alpha Dhabi’s balance sheet remains strong with Dhs 120.6 billion in total assets, representing a 129% increase year-on-year, on the back of strong investment activity. The Group remains well-funded with a strong cash position of Dhs 16.6 billion to support and drive growth and expansion across both sectors and geographies. Through our strong operating model, financial position, capital deployment track record and agile investment approach Alpha Dhabi remains uniquely positioned to continue to drive further growth and capitalise on investment opportunities while also generating value for shareholders in both the short and long term.

Hamad Al Ameri, CEO of Alpha Dhabi Holding, said, “Alpha Dhabi has delivered another set of excellent financial results as we continue to cement our position as a leading regional investment holding company. Our diversified business continues to grow from strength to strength with a positive market sentiment in the UAE, underpinned by strong economic fundamentals and a buoyant capital markets landscape in contrast with the global outlook.”

“We have started this year robustly, with our diversified portfolio delivering results which continue the momentum from last year. Looking ahead we will continue to develop our core verticals both organically and through additional investment and acquisition. We continue to deploy capital effectively in value-accretive opportunities that support the market leadership of our portfolio companies.”

BHM Capital: Abu Dhabi Securities Exchange (ADX) granted BHM Capital Financial Services PSC, a leading investment firm in the UAE’s financial market, the approval to use Omnibus accounts, making it the first financial services company in the UAE to offer this activity to its clients.

From his side, Abdel Hadi Al Sa’di, Chief Executive Officer, BHM Capital said, “It is an honor to be the first firm in the UAE to obtain Abu Dhabi Securities Exchange’s approval to use Omnibus accounts to its clients. This milestone reflects BHM Capital’s vision of increasing attractiveness and competitiveness as this activity will allow BHM Capital to register the securities purchased in its name for the account of its clients through consolidated accounts.”

“We extend our sincere gratitude to Abu Dhabi Securities Exchange (ADX) for its methodology in developing its business system according to a clear and flexible strategy and vision that anticipates the future towards excellence and innovation. This approval to provide the service of Omnibus accounts granted to BHM Capital reflects ADX’s confidence in the company in this way, which enables it to efficiently achieve its objectives.” added Al Sa’di.

BHM Capital is a leading financial services company listed in the Dubai Financial Market (DFM) and regulated by the UAE Securities and Commodities Authority providing services to individual and corporate investors. Since its establishment, it has been one of the top-ranked firms in the country’s financial markets and a pioneer in financial technology, making it a regional leader in providing essential tools for corporate and individual clients.