Buyout firm sells 5.4% stake in Egyptian construction giant as it seeks to restructure amid allegations of misused funds
Abraaj Group has sold its entire stake in Egypt’s Orascom Construction as the private equity firm seeks to restructure amid allegations of misused funds.
The Dubai-based company sold its 5.4 percent holding in Orascom Construction at $8.30 per share, according to a statement on Nasdaq Dubai. The value of the stake is $52 million.
Abraaj has been under pressure since February when some of its investors commissioned an audit to investigate the alleged mismanagement of money in its healthcare fund.
Kuwait’s Public Institution for Social Security last week filed a petition for the liquidation of the holding firm.
The buyout firm, which once managed almost $14 billion for institutions and supranational agencies from the US, UK and other countries, faces growing concerns about its viability and impending loan repayments.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.