Bahrain-based alternative investment manager Investcorp acquired a 30 percent stake in Saudi Arabia’s Theeb Rent A Car via its Gulf Opportunity Fund.
The acquisition, of which financial terms were not made public, will see Investcorp represented on the board of one of the Gulf kingdom’s biggest car rental firms.
Theeb, founded in 1991, employs about 900 people and has a fleet of 10,000 vehicles. Over the last three years it has grown revenue and net income by about 17 percent.
“Theeb is a well-respected family business and a leading player in the Kingdom’s vibrant car rental industry. It is well positioned to grow driven by Saudi Arabia’s accelerating economy. We will work closely with the Theeb management team to help grow the business,” commented Mohammed Al Shroogi, Investcorp's president, Gulf business.
Investcorp’s Gulf Opportunity Fund, which has about $1bn in capital, has invested in companies across the GCC and Turkey. Recent deals include Saudi Arabian health and fitness brand Leejam Sports Company, in addition to L’azurde, Hydrasun, Automak, Orka, Gulf Cryo and Turkish Tiryaki Agro.
Last year the fund successfully exited from its first investment in UAE-based IT firm Redington Gulf.