Abraaj Capital finalised the largest private equity acquisition in the history of the Middle East and North Africa, said a press release issued on Sunday. This transaction related to Abraaj Capital's $1.41 billion leveraged buyout (LBO) acquisition of 100 percent of the shares of Egyptian Fertilisers Company (EFC).
EFC is a private joint stock company and one of Egypt's largest private sector fertiliser manufacturers and exporters. Abraaj made this transaction through its Infrastructure and Growth Capital Fund (IGCF) and Abraaj Buyout Fund II (ABOF II). Deutsche Bank acted as advisors and provided the acquisition finance for the EFC transaction.
(It may be recalled that Abraaj Capital and BMA Capital had launched a $300 million Abraaj BMA Pakistan Buyout Fund L.P last year. It is the largest private equity fund targeted to investments in Pakistan). Dubai Capital Groupt (DCG) the regional asset management arm of Dubai Group, Saudi-based Rashed Al Rashed and Sons Group and other prominent regional firms have co-invested in this historic transaction. Chief Executive Officer of DCG, will join Abraaj representatives on the Board of EFC.
Arif Naqvi, Vice Chairman and Chief Executive Officer of Abraaj Capital, said "the size and scope of this transaction represents a landmark for the region and the private equity industry here.
Sheikh Abdulrahman Ali Al Turki, Chairman of Abraaj Capital said: "The region is witnessing unprecedented growth in both foreign and domestic investment. The acquisition of EFC exemplifies our confidence in Egypt's increased attractiveness as an investment destination.-PR