Investcorp Sets Up $1 Billion Mideast Fund Backed by China’s CIC - Bloomberg

Investcorp Sets Up $1 Billion Mideast Fund Backed by China’s CIC - Bloomberg

The Middle East’s biggest alternative asset manager is setting up a $1 billion investment vehicle backed by Beijing’s sovereign wealth fund to invest in companies across the Persian Gulf and China.

Investcorp Holdings’ new Golden Horizon Fund will be anchored by China Investment Corp., as well as other investors from the Middle East, according to a statement Wednesday.

The new vehicle will also include Investcorp’s Pre-IPO Growth Fund, which was launched in 2021 and had targeted raising $500 million. It will invest in firms across sectors including consumer, health care and logistics.

CIC is among the world’s largest sovereign investors and manages about $1.3 trillion in assets. The fund’s partnership with Investcorp will enable it to look for opportunities in the Middle East, Bloomberg has previously reported, and is the latest sign of growing trade ties between Gulf oil exporters and the world’s second biggest economy.

“Investcorp is perfectly placed to facilitate cross border cooperation and investments,” Investcorp’s Co-Chief Executive Officer Hazem Ben-Gacem said.

Investcorp has assets under management of about $50 billion, according to its website. It is expanding in Asia and reportedly partnered with the private equity arm of the Fung brothers’ family office in 2022 to set up a $500 million fund to invest in mid-cap companies across China’s Greater Bay Area.