Qatar's Ezdan eyes merger

Qatar's Ezdan Real Estate Co said yesterday it is eyeing a merger with the Group of International Housing Co, as more firms in the world's top exporter of liquefied natural gas look to weather the downturn.

In January, the government ordered Qatar Real Estate Investment Co and Barwa Real Estate Co (Alaqaria) to merge, and both firms have since appointed financial advisors.

"Ezdan Real Estate is looking into conducting a feasibility study of the possibility of merging with the Group of International Housing," Ezdan, the country's largest property company with a market capital of $2.6 billion (Dh9.55bn), said in a statement on Qatar's bourse website.

Barwa has appointed Goldman Sachs and the First Investor to advise on its proposed merger, while Qatar Real Estate appointed JP Morgan.

Consolidation in Qatar has been on the rise, as the financial crisis is forcing firms to search for ways to bolster themselves amid the global financial crisis.

Barwa, an affiliate of state-owned Qatari Diar, and Alaqaria, in which the government owns a minority stake, said in January they were in the early stages of examining terms and conditions of the merger.