Sphinx Egypt unveils Turnaround Fund

CITADEL CAPITAL: Unit of Cairo-based private equity company launches fund investing in distressed economic sectors. (Getty Images)

Sphinx Egypt, a private equity management company, confirmed on Monday the launch of a $100 million fund targeting distressed assets in Egypt. 

World Bank Group member, International Finance Corporation (IFC) and the European Investment Bank, will each be investing $17 million in the fund.
 
Sphinx Egypt’s majority shareholder, Citadel Capital, will be putting in $10 million. Geneva-based Swiss Investment Fund for Emerging Markets (SIFEM) is in the process of finalising a $7.5 million  commitment.

The Sphinx Turnaround Fund will be investing in Egypt-based small and medium-sized enterprises that are distressed, in default, or in need of restructuring. In some instances, the fund may also consider investing in companies that are in need of expansion capital to pursue specific growth opportunities.

''The fact that we were able to close on this fund now, amidst such turbulent economic conditions, is a clear indication that institutional investors continue to view Egypt as an attractive investment opportunity,'' said Marianne Ghali, Managing Director of Sphinx Egypt and the Sphinx Turnaround Fund.

''With a fund that mainly targets distressed assets and turnaround situations we are providing timely access to finance and managerial expertise during one of the worst credit crunches in recent history,'' she added.

Beyond institutional investors the fund will also be targeting high net worth individuals.

Ghali says the Fund has already identified a number of investment opportunities. Projects already in the pipeline cover seven sectors, including geo-textiles, automotive assembly, cosmetics, logistics, food processing, specialty glass and pharmaceuticals.

Print | Email | Discuss this article

| Share |

READERS' COMMENTS

Click here to post a comment

Add your Comment All posts are sent to the administrator for review and are published only after approval. ArabianBusiness.com reserves the right to remove any comment at any time for any reason. Please keep your responses appropriate and on topic. Arabian Business would like to point out that only comments relevant to the story will be published. Any containing personal insults or inappropriate language will not be approved.
Name *
Remember me on this computer
Email *	(Your email address will not be published)
City
Country
Subject *
Comment *
Notify me of further comments
Enter the words above *
Please click post only once - your comment will not be published immediately.

MORE FROM ARABIANBUSINESS.COM