Kingdom Holding Company, the investment firm chaired by Saudi billionaire Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud, and PineBridge Investments Middle East has signed an agreement to set up a joint venture platform to invest in direct private equity opportunities in Africa.
The joint venture deal comes in response to rising investor demand for exposure to Africa's fast growing economies, the companies said in a statement.
It added tha key focus sectors will include manufacturing, consumer driven sectors, infrastructure and financial services.
Alwaleed said: "The investment in this platform is a continuation of KHC's successful investment strategy in Africa that began in 2003, and reflects our confidence in achieving long-term returns for investors in this venture."
The memorandum of understanding was signed by Dr Adel Alsayed, KHC's executive director for Private Equity and International Investments, and Talal Al Zain, CEO of PineBridge Investments Middle East.
Al Zain added: "We have strong conviction that the African continent is going through positive socio-economic transformations. PineBridge has a long track record of direct investing in Africa since the 1990s, with extensive experience in investing in sectors including infrastructure, banking and consumer sectors."
Kingdom Holding has minority stakes in some of the world's top companies. Aside from being one of the largest shareholders in Citigroup, it owns stakes in Rupert Murdoch's News Corp and microblogging site Twitter.