Bahrain's finance firm to invest $ 630 mn in M'shtra

Dubai, Oct 28: Gulf Finance House (GFH) of Bahrain, an Islamic investment bank, said it will fund a mega housing project in Navi Mumbai spread over 300 acres at an estimated investment of 630 million dollars.

The GFH has raised over 630 million dollars from investors across the Gulf Cooperation Council (GCC) as equity to fund the infrastructure development of Energy City India.

Energy City India, a part of the infrastructure projects that the GFH is constructing at various locations, is expected to house companies in the entire oil and gas value chain.

The equity issue was underwritten by Kuwait Investment Company (KIC).

''The success of the exercise to raise equity for Energy City India underscores the strong appetite of our clients for opportunities in India,'' said Mr Esam Janahi, Chairman, GFH.

''Sophisticated global investors have been eyeing India for some time and are looking for opportunities to invest in India's economic development, particularly after the liberalisation reforms introduced a few years ago. There is no doubt that the Indian economy is dynamic -- you only have to visit India regularly to see the country is changing,'' he said in a statement in Manama.

''Our CEO and his team have analysed the economy of Mumbai and evaluated further opportunities to work with the government of the State of Maharashtra,'' he added.

Mr Peter Panayiotou, acting CEO of GFH, said the response to the India offer was overwhelming and unexpected. ''The issue was oversubscribed by almost 60 per cent,'' he said adding that the investment offered 75 per cent return to investors over a period of three years from the project, a business hub for the oil and gas industry in Maharashtra.

UNI