Al Mal Capital, a UAE Central Bank-regulated investment company, has launched its private equity program with the introduction of two new funds.

The two funds - Al Mal Capital Partners Fund LP and the Shariah-compliant Al Fares Private Equity Fund -  will operate side-by-side, scouting opportunities in the Middle East and North Africa region.

Besides the two funds will provide investors access to highly sought-after stakes in founder shares, pre-IPO and late stage investments in prominent companies preparing for public entry.

With an initial subscription period from January until late-February, the program funds intend to raise a committed capital of Dh350 million. Both funds will be available to all nationalities, and will target a return in excess of 20 per cent over a five-year term.

Al Mal Capital is a full service investment institution, with investment banking, brokerage and asset management. The company has fully paid-up capital of Dh333 million.

It will be responsible for due diligence, investment selection, ongoing management of the portfolio assets and overall portfolio risk management as fund manager, a role undertaken in these funds by its in-house private equity team.

An investment advisory committee comprising senior Al Mal Capital executives will provide guidance to the program. Al Mal Capital intends to seed the program with Dh35 million of its own capital, to participate alongside investors.

“We have a private equity management team with a depth of experience, that have been identifying, qualifying and investing in private equity opportunities for many years, through market conditions of all types”, said Naser Nabulsi, Al Mal Capital Executive Chairman.  “Teamed with an advisory committee which channels our management expertise, and our founder base of leading institutions and prominent business families, we have unrivalled local and regional access and resources to call on,” he added.

Blair Look, managing director of Asset Management at Al Mal Capital, added: “We feel that investors will appreciate our value proposition: Al Mal Capital and our team will unearth and provide access to attractive investment ideas, and work to develop a clear exit for the portfolio of investments.  We have extensive experience in direct private equity investing and in the alternative investment space that we plan to put to work in the program.” 

“Our managed funds and direct investments in public and private equity have shown tremendous results in 2006 and 2007, and we expect this success to continue in this new range of offerings.” - TradeArabia News Service