News

Investcorp posts 5% bump in profits

Profits upBahrain-based alternative asset manager Investcorp has recorded a 5% rise in annual profit for the last financial year. According to the firm’s chief financial officer, Jan Erik Back, the $131 million profit was generated through higher fee income which rose by 17%. Meanwhile assets under management (AuM) rose by $1.9 billion to $28.2 billion, which is just over half of Investcorp’s medium-term target to raise $50 billion in AuM across its hedge fund, real estate, credit and private equity businesses Back added that Investcorp also decided to cut the number of co-investments in the private equity (PE) market by 19% to $505 million in order to reduce balance sheet risk. “That is another way of saying we have more dry powder,” said Back. As a result of the private equity (PE) exits and the creation of a European PE fund with UK-based Coller Capital, Investcorp now has access to $1.1 billion of liquidity while its capital adequacy ratio has risen from 31.5% to 33.8%. Investcorp is also finalising its conversion from a wholesale bank to a holding company, a structure more in line with its peers, said Back. The central bank of Bahrain has approved the delicensing of its wholesale banking license and the move should be completed before the end of the summer, according to Investcorp. ©2019 funds global mena

Executive Interviews

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Roundtables

Middle East Investor Roundtable 2020: Dimensions of diversification

Investors in the Middle East consider the tools that will be needed to navigate the Covid-19 crisis, the continued appetite for dividend and why it’s all about tech. Chaired by Romil Patel.

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Experts discuss the investment implications of the coronavirus pandemic, a delayed rebound in global growth and dealing with South Africa’s energy issues head on. Chaired by Romil Patel in Cape Town.

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Our panel discusses Chinese investment in Africa, financial institutions’ contribution to economic sustainability and regulatory concerns. Chaired by Romil Patel in Cape Town.

ROUNDTABLE: Hooked to the global caravan

With the MENA region at a tipping point, our panellists talk about economic diversification, the impact of regulation and the delayed Saudi Aramco listing. Chaired by Romil Patel in Dubai.