Wednesday, 21 March 2012

Troubled times for Gulf Finance House - The National

Arcapita's filing for Chapter 11 creditor protection has sparked speculation among investors that Gulf Finance House, the investment bank, could be the next to face troubles.

The lender, which has already embarked on an extensive restructuring process and started asset sales, is in a difficult position, said Ahmad Alanani, the senior executive officer at Exotix.

"The company has burned through cash for the last two years," he said. "Cash flow is negative at the moment, and their ability to generate meaningful revenue is non-existent."

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