Unicorn investment bank wins award for ‘deal of the year’
The sale of UAE cement company Orimix Concrete Products LLC (Orimix) by Bahrain-based Unicorn Investment Bank (Unicorn) has been named the ‘Islamic Finance Deal of the Year’ by pre-eminent international financial magazine Euromoney. In citing the transaction, Euromoney noted the outstanding return to investors achieved by the Unicorn Global Private Equity Fund I upon its exit from the transaction following a holding period of under two years.
The fund acquired a controlling stake in Orimix in November 2006 for a price of $17.2 million and sold it in February 2008 for $44.9 million to Al Safat Investment Company, a Kuwait listed investment group. This represented a return on capital of 160% and an Internal Rate of Return (IRR) of 98%.
Commenting on the award, Aamir Khan, Managing Director of Global Private Equity at Unicorn, said: “We are honoured to receive this award which recognises the success of Unicorn’s private equity business model. Our team worked closely with the management of Orimix to almost double it in size, by expanding capacity and improving profitability. The sale of this single investment allowed us to distribute over 50% of the Fund’s initial invested capital to Unitholders in less than two years.”
The Unicorn Global Private Equity Fund I was established in 2006 and is regulated by the Central Bank of Bahrain. To date, the fund has made investments in middle-market companies based in Bahrain, Jordan, the United Arab Emirates, Kuwait and the United States.
