Published On:December 16 2014
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Qatari firm Al Alfia to invest in Spanish construction group.
Qatar-based Al Alfia Holding has invested USD 49 million in Spanish construction group, Eris Compania General de Construcciones.
According to the investment deal, Al Alfia will have a 25 percent stake in the Spanish holding entity, coupled with additional expansion capital and a 51 percent interest in the company's Qatar-based subsidiary Harinsa Contracting Company.
The partnership will support the Ecisa group's international expansion plans and give might to the firm's ambitions of tripling its 2013 revenues by 2018.
Global law firm DLA Pipe advised the Qatari company on the transaction, with the firm's Doha and Madrid teams negotiating the investment documentation in their respective jurisdictions.
Mel Sims, Partner and Office Managing Partner, Doha, DLA Piper, said: 'We're seeing a raft of new deals across the Gulf and the construction industry is obviously key for Qatar, particularly in sectors such as real estate, hospitality and education.'
Earlier in the year, Qatari sovereign QIA had raised its stake in Spanish real estate company Colonial to 13.1 percent, becoming its second largest shareholder after completion of a USD 1.5 million capital and USD 1.2 billion debt restructuring.
Moreover, in the first half of 2014, the total value of Qatari deals and investments conducted abroad crossed the US 10 billion mark, covering 11 countries around the world. Britain, France, and Germany has attracted Qatari investments valued at US 83 billion, according to media reports. With US 40 billion worth of investments, Britain is the top destination for Qatari investments, followed by France with US 25 billion worth of Qatari investments, and Germany with investments more than US 18 billion.