TNI, Kamco to form $150 mln Islamic fund

The National Investor's private equity arm and Kipco Asset Management Co plan to set up a $150 million Islamic fund, in a sign that private equity activity in the Gulf region is picking up.

The shariah-compliant fund is expected to be launched within three months and will make six to seven investments with an average equity of $25 million each in mid-sized, family-owned companies.

"The market opportunity really lies in family businesses in the region who may have entered into too many disparate business lines and now feel they need to pick and choose and are looking into divestitures," Yahya Jalil, director of private equity at The National Investor, told the news agency Reuters.