Private equity groups engage region

Two private equity groups, Kohlberg Kravis Roberts (KKR) and Citadel Capital, plan to increase their investments in the Middle East as they seek to profit from what they say are attractive asset valuations created by the global financial crisis.

KKR, a US firm that is a global player in private equity and specialises in leveraged buyouts, intends to establish partnerships with financial institutions across the Gulf after opening an office in Dubai. KKR’s Middle East unit said this week it received a licence to operate in the Dubai International Financial Centre (DIFC), which will be its regional hub.

Makram Azar, the managing director of KKR MENA, said: “We plan to partner up with local institutions and our objective is to deal with the top players in each country, not only the main private equity players, but also big corporates and big families, as well as sovereign wealth funds.