By Shane McGinley
Firm completes $375m capital increase to shareholders, raises company's paid-in capital to $1.5bn.
The investment community in the Middle East was given a boost when it was announced that a recent rights issue was fully subscribed.
Abraaj Capital Holdings Limited, the parent entity for the Abraaj Group, announces that it has completed a $375 million capital increase to existing shareholders, which increases the company’s paid-in capital to $1.5 billion.
The right issue was fully subscribed and the company aims to use the capital to “capitalise on strategic buying opportunities, expand its geographic and product coverage, and consolidate its market-leading position”.
“The success of the rights issue, with its focus on raising strategic capital, stands in contrast to the current global fundraising environment. On a consolidated basis, the investment portfolio of the funds Abraaj manages is healthy on account of robust performance of our portfolio companies. Most of these operate in defensive or growth-oriented industries that are less impacted by the recession,” said Sheikh Abdulrahman al Turki, Chairman of Abraaj Capital Holdings Limited.
Abraaj Capital is the largest private equity group in the Middle East, North Africa and South Asia and since its inception in 2002 it has raised around $7 billion and distributed almost $3 billion to investors.