Source : Staff Report

Kuwait Finance and Investment Company (KFIC) and Abu Dhabi Commercial Bank (ADCB) have signed a memorandum of understanding (MoU) to jointly launch a private equity fund with a target size of $155 million. KFIC is undergoing registration and approval processes with a target launch date this month. The fund will comprise 10 holdings pre-selected and allocated across six sectors including telecommunications, banks, investments, insurance, real estate and media. These holdings are further diversified across 10 countries including those in the GCC, Lebanon, Pakistan, Yemen and Jordan. The fund expects an internal return rate of 30 per cent per annum. This investment cooperation is the second after the Al Bashaer Sharia'a Compliant GCC equities fund, which achieved the highest initial subscription in the GCC at $540 million. It has already succeeded in establishing a strong presence in the region.