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Gulf Capital eyes business opportunities

Gulf Capital, a private joint stock company got the final approval of the UAE Ministry of Economy and Planning and the Executive Council of Abu Dhabi, was incorporated in Abu Dhabi yesterday.

The company which has roots spread all over the GCC got a tremendous response to its private placement raising Dh1.225 billion from 300 regional shareholders, with 60 per cent shares subscribed by UAE institutional and individual investors and the remaining 40 per cent by regional shareholders, said Dr Karim Al Solh CEO of Gulf Capital while speaking to Khaleej Times.

"The private share offering was more than five times oversubscribed, a rare feat for a private placement, highlighting the firm's unique positioning and solid business model", he said.

Principal institutional backers include the Abu Dhabi Retirement Pensions and Benefits Fund, the UAE General Pension and Social Security Fund, the Qatar General Retirement & Pension Authority, Abu Dhabi Commercial Bank, Al Ahli Bank of Kuwait, Al Nokhitha Fund, Emirates Insurance Co., Bayan Investment Co. and Kuwait Finance & Investment Co among many others. Al Tamimi & Co acted as the legal adviser on the structuring and incorporation of the Company.

On the Private Equity side, Dr Karim said that the Company's strategy is to acquire controlling stakes in highly profitable and fast growing companies in select industries throughout the Gulf region and through active ownership, accelerate their growth rates and enhance their profit margin with a view to exiting them profitably in the future. Gulf Capital's investment objective is to achieve above-average capital appreciation by generating long-term returns to shareholders superior to alternative methods of investing.