Shuaa expects no major Gulfinvest hit

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Financial services group Shuaa Capital SHUA.DU said on Monday it won't suffer a major financial setback as a result of Kuwait's Gulfinvest International (GVES.KW: Quote, Profile, Research) defaulting on a 200 million dirham loan.

Gulfinvest said on Sunday it has defaulted on a 200 million dirham ($54.47 million) loan to Abu Dhabi Commercial Bank ADCB.AD for which Shuaa was a guarantor. [nLDE63307I] It also said it was in talks with Shuaa to restructure the loan.

"Shuaa had entered into a guarantee in respect of this loan in 2007, and confirms that it will fulfil its obligations as they become due," a spokesman for the group said in an emailed statement.