Abraaj fund investors said to hire advisers for debt recovery

Abraaj fund investors said to hire advisers for debt recovery:

Investors in a $1.6bn-Abraaj Group fund have hired advisory firm Alvarez & Marsal Holdings to help recover money owed by the floundering Middle Eastern private equity firm, people with knowledge of the matter said.

The New York-based company will represent Abraaj Private Equity Fund IV’s backers in talks with liquidators as they seek to recover more than $99mn owed by the Dubai-based buyout firm, said the people, asking not to be identified because the information is confidential. The stakeholders have formed an investor committee led by Boston-based HarbourVest Partners, two of the people said.

Alvarez will also represent the fund if it’s elected to a liquidators’ committee for Abraaj Investment Management Ltd, which is the buyout firm’s asset management business, two of the people said. Representatives for Alvarez and HarbourVest declined to comment.