Kuwait’s Global Investment House boosted second-quarter net profit by 96 per cent as its investment banking business benefited from booming Gulf economies.

Kuwait’s biggest investment bank by market value, which offers advisory services and buys into firms, raised $1.15 billion by selling global depositary receipts (GDRs) in London to tap growth in the Gulf benefiting from record oil prices.

Quarterly profit rose to 47.5 million dinars ($178.9 million) or 81 fils per share, Reuters calculated based on half-year net of 82.2 million dinars and previous financial data. There are 1,000 fils to the dinar.

Investment banking fees reached a record 11.5 million dinars in the first half, Global said in a statement on Monday, without giving a comparative figure.

Total revenues rose 57 percent to 115.7 million dinars. It gave no quarterly data.

Chairwoman Maha Ghunaim said in a statement that all units including asset management, investment banking, brokerage and real estate had performed well in the first half.

Assets were roughly flat at $9.4 billion at the end of the first half. Last month, Ghunaim told Reuters Global wants to boost assets to $12 billion by 2010.

Global has launched a string of share placements, raising with partners $600 million, by selling stock in a Saudi real estate firm. Global also said earlier this month it raised $500 million in an initial public offering for a private equity fund listed in London.

Global, which is present in Bahrain, Saudi Arabia and Qatar, also has said it wants to boost its brokerage business after buying 70 percent of Kuwait’s First Securities Brokerage Co in May.

Shares of Global, which buys into companies through investment funds, fell 3.64 percent on Monday, closing at 1.060 dinar. The stock is still up 18 percent this year. Earnings were released after the close of the market. - Reuters