Unicorn Global Private Equity Fund I completes investment - Bank launches second round of capital raising for fund
Bahrain, 29 May 2007 - Unicorn Global Private Equity Fund I announces its acquisition of an equity stake in Kuwait-based Al-Assriya Industries Holding Company (Al-Assriya). Established in 2002, Al-Assriya is a holding company for investments in the industrial sector and currently holds significant equity stakes in seven companies, located primarily in Kuwait, operating across a range of industries, including carpet manufacturing, printing and publishing, oil and gas services, chemicals and packaging. Al-Assriya’s strategy is to take advantage of the current economic boom in Kuwait and the region to invest in industrial companies demonstrating significant growth potential.The investment in Al-Assriya marks the Fund’s fourth investment to date. The Fund previously completed investments in UAE-based readymix supplier Orimix Concrete Products LLC as well as two US-based companies: Ellington Leather, a lifestyle handbag and leather goods company; and Precision Time, a leading provider of while-you-wait watch repair services, fashion watches and watch accessories with a rapidly expanding presence across the United States.
Unicorn Investment Bank, the Fund’s Investment Manager, and Al Safat Investment Company, the Fund’s Investment Advisor, recently launched a second round of capital raising for the Fund, with the aim of achieving a final close by 30 June 2007. The Fund’s objective is to achieve mid- to long-term capital appreciation by acquiring positions in existing businesses and to create value through the use of prudent leverage, consolidation, financial restructuring, operational enhancements and the granting of management incentives. The targeted geographic breakdown of the Fund is 50% in the GCC region, 25% in the Levant and Turkey, and 25% in the United States and Southeast Asia.
Commenting on the launch of the second round of fund raising, Aamir H. Khan, Managing Director of Global Private Equity at Unicorn and Chairman of the Fund Investment Committee, said: “Although there are several players now active in the PE sector in the region, we nevertheless believe that we have a compelling story and a differentiated approach. This is an exceptional opportunity for investors to acquire a stake in a fund that has already invested in four profitable companies with proven business models and strong growth prospects in their respective markets. Furthermore, investors have the opportunity to participate in the Fund at par, which, given that the Fund’s current investments are performing well ahead of target, is effectively a discount to the current fair value of the Fund.”