Fortress Prime secures $200 million round of funding; undergoes restructure
Emirati prime brokerage Fortress Prime has today begun a process of turning its fortunes around, having closed a deal which involves a $200 million round of funding. This is the second round of funding that the company has received since establishment, and the likelihood is that concerns regarding withdrawals, which were in some cases being […]
Emirati prime brokerage Fortress Prime has today begun a process of turning its fortunes around, having closed a deal which involves a $200 million round of funding.
This is the second round of funding that the company has received since establishment, and the likelihood is that concerns regarding withdrawals, which were in some cases being paid to customers at 10%.
The company had experienced certain difficulties in recent months with regard to recovering funds from counterparties that were part of what the company terms ‘risk share agreements’ and subsequently went down the route of a restructure in addition to the securing of funding from major shareholders, some of whom are members of the UAE Royal Family.
In addition to the capital injection, Fortress Prime has appointed a new senior executive, Moustafa Gamaledine.
Today he made a commercial statement on the restructure and second round of funding
“We are rectifying our credit issue with stronger than normal underwriting guidelines in this lucrative industry and taking a more stringent approach to credit default management. As far as our operational issues are concerned we are implementing some key organizational restructuring that will be critical in eliminating current AML and cash management issues effectively diminishing any kinks in Fortress Prime’s armor.”
Mr. Gamaledine continued:
“We hope Fortress Prime’s realignment will satisfy some of the curiosity surrounding the company,” Gamaledine explained. “Fortress Prime is focused and committed to smart, sustainable growth”
