MANAMA, 18 November 2007 — Seef Properties strong share price performance has set a new benchmark for not only Bahrain government’s ongoing privatization initiatives but also for other GCC countries.
Shares of Seef Properties were listed on Bahrain Stock Exchange on July 29 and have so far outperformed all other IPO listings in Bahrain and set a successful model for privatization in Bahrain and the region as a whole.
Seef Properties shares have substantially created value for retail investors amounting to over 60 percent (excluding benefits of the zero-interest financing of MOF) and increase in value of over 41 percent for institutional investors.
Since it’s listing, the stock is up 41.6 percent in comparison to an increase of 5.8 percent in the BSE Index and 0.8 percent increase in the Bahrain Services Sector Index.
Despite this increase in price, at the price of BD0.184, Seef was trading at a 2007 expected price-to-earning (P/E) ratio of 10.6 times, an 8.6 percent discount to the general services sector in Bahrain which traded at P/E of 11.6 during the same period.
