Abu Dhabi fund takes 5 percent stake in Dana Gas

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DUBAI/ABU DHABI, June 19 (Reuters) - Goldilocks Investment
Co, an open-ended equity fund which is part of Abu Dhabi
Financial Group, said on Monday it had bought 5 percent of Abu
Dhabi-listed gas producer Dana Gas <DANA.AD>.
    The fund was launched last October as a $200 million vehicle
with a strategy of taking minority stakes in companies and
helping them to restructure and develop. Its brief statement did
not say what it intended to do with Dana.
    Dana is struggling to recover hundreds of millions of
dollars in overdue payments from Egypt and Iraqi Kurdistan. Last
week, it proposed a restructuring of $700 million of its Islamic
bonds, arguing that the instruments had become illegal under
United Arab Emirates law since they were issued. [nL8N1JA1I5]
    Dana Gas's shares jumped 66 percent this month after the
company proposed the bond restructuring. Some brokers said they
believed a strategic investor was building a stake.

 (Reporting by Tom Arnold and Stanley Carvalho; Writing by
Andrew Torchia. Editing by Jane Merriman)
 ((andrew.torchia@thomsonreuters.com; +9715 6681 7277; Reuters
Messaging: andrew.torchia.thomsonreuters.com@reuters.net))


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