Investcorp, a Bahrain-based manager of alternative investment products, has posted a net income $50.9m for the first half of fiscal year 2016, a rise of 12% compared with $45.3m in the year ago period.

Fee income for the period ended 31 December 2015 was $134.7m compared with $156.7m in first half of fiscal year 2015. The company attributed the decline in fee income to the exceptionally high performance fees from the sale of Berlin Packaging in the comparative period last year.

Gross operating income for the first half of fiscal year 2016 stood at $178.4m, up 16% from $154m in the corresponding year ago period.

The investment manager in its financial statement said that the period was marked by strong transactional fee income and a record deployment of investment capital of $658m, an increase of 41% year-on-year for corporate investment and real estate.

In aggregate, the firm’s portfolio companies delivered robust EBITDA growth of close to 10% during 2015, contributing to this growth in asset based income. Asset based income for the real estate business was $4.6m compared with $5.6m in the first half of fiscal year 2015.

Aggregate placement of corporate investments and real estate was $482m, a similar level to the $490m placed in the first half of fiscal year 2015.

During the period, the company’s operating expenses increased 14% to $89m.

Investcorp executive chairman Mohammed Al Ardhi said: "We have maintained our prudent approach to investing, and we believe this approach enables us to deliver sustainable returns to our loyal and growing community of investors throughout the cycle. The performance of our corporate investments, the outperformance of our hedge funds, and the continued strength of our US real estate business underlines this ability.

"Looking ahead as we embark on the delivery of our growth strategy, we intend to retain our vigilance in these markets and to continue to meet our commitment to our investors to provide attractive alternative investment opportunities in the Gulf, in Europe and in the US."