BLBG:Goldman Sachs Buys $40 Million of Warrants in Drake & Scull
Goldman Sachs International bought warrants representing about 8.5 percent of the market value of Drake & Scull International PJSC, (DSI) a Dubai-based supplier of‘ engineering services to the construction industry.
The warrants have a notional value equal to 147 million dirhams ($40 million) with a five-year maturity and can be exercised after two years, Drake & Scull said today in a statement to the Dubai stock market.
The company, whose shareholders include HSBC Private Bank, reported a 93 percent drop in third-quarter profit, missing analysts’ estimates. Drake & Scull said on Nov. 14 that it obtained a $120 million loan, coordinated by Goldman Sachs, (GS) to help it pursue “growth plans in North Africa, Asia and other growth markets and provide the liquidity to capitalize on various private public partnership projects.”
The shares fell 0.5 percent to 74.6 fils at 10:34 a.m. in Dubai. The stock declined 0.5 percent this year compared with a 17 percent advance for the benchmark DFM General Index.
To contact the reporter on this story: Shaji Mathew in Dubai at shajimathew@bloomberg.net
To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net
