The Bahrain-based investment group Investcorp announced net profits of $70 million in 2000, down 44 percent from 1999 results. The investment bank blamed the sharp drop on turmoil in financial markets last year and its decision to write off its total investment in US logistics provider Burnham dating back to 1988 that proved impossible to turn around.
Founded in 1982, the company’s main activity is acquiring controlling stakes in American and European firms that it views as undervalued. After restructuring and boosting performance, Investcorp sells or floats them. Investcorp said last year’s unusual turmoil in the financial markets prevented the firm from completing as many exits as planned, adding that it avoided heavy losses in the technology sector.
Investcorp’s assets totaled $2.9 billion at the end of 2000. — ( Lebanon Invest )
© 2001 Mena Report (www.menareport.com )