Dubai-based Union Properties has acquired 5.68 percent stake in Egyptian real estate developer Palm Hills, it said on Wednesday.
In a statement to the Dubai Financial Market, the developer said said it acquired the stake through its investment arm, UPP Capital Investment, which was created last year to carry out direct and indirect real estate investments.
Union Properties said it decided to buy the stake as part of a plan to diversify income and expand its investments abroad.
Palm Hills’ project portfolio includes 26 real estate projects at different stages, occupying 27 million square meters across Egypt, the statement noted.
Union Properties reported a third quarter net loss of AED45 million ($12 million) for the three months ending September 30, 2017, compared with a net profit of AED32 million in the corresponding period in the previous year.