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Mon 2 Jul 2018 01:55 PM

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UAE's Amanat agrees deal to buy Dubai university campus firm

Investment firm set to acquire 100% of Middlesex Associates, the owner of Middlesex University's campus in Dubai

UAE's Amanat agrees deal to buy Dubai university campus firm

UAE-based education and healthcare investment firm Amanat Holdings said on Monday that it has agreed to acquire the company that owns Middlesex University’s campus in Dubai.

Amanat said in a statement posted on Dubai Financial Market that it entered into a share purchase agreement on an “arm’s length basis” on June 8 to acquire 100 percent of Middlesex Associates from Mocha Education Holdings Limited.

The campus is partly owned by troubled private equity company Abraaj but Amanat said it is not an investors in Abraaj or any of its projects and funds.

The company added that the transaction is subject to a number of conditions, without elaborating.

Last month, Bloomberg reported that Abraaj had reached an agreement to sell its stake in Middlesex University’s Dubai campus to Amanat Holdings for about $100 million.

It said Amanat would own all of the UK-based university’s campus, which had annual revenue of about $40 million.

Founded in 2002 by Naqvi, a Pakistani financier, the Abraaj Group had nearly $14 billion of assets under management before being granted a court-supervised restructuring last month in the Cayman Islands, where it is registered, following allegations of the misuse of funds.

The Cayman Islands court appointed liquidators to oversee an "orderly restructuring" of the group amid suspicions that the investment giant could collapse.

Four key investors in a $1 billion healthcare fund managed by Abraaj, including Bill and Melinda Gates and a World Bank affiliate, have demanded an inquiry into allegations that money from the fund was used for other operations.

That in turn triggered investor demands for their funds back. Abraaj had the funds to repay secured investors but could not repay unsecured investors.

The company has categorically denied any wrongdoing.

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