Published: October 6, 2015
Private equity in Dubai; Omani banks eyeing mergers; and AMF supports Jordan.
FINE Financial attracts US$225mn equity investment
Despite the challenges associated with private equity investment in the Middle East, a number of foreign acquirers are looking to invest in consumer brands. Standard Chartered Private Equity recently took a significant minority stake in FINE Hygienic Holdings, with key strategic benefits for both sides.
The rise of consumer products across the MENA region has been well documented. With a growing urban population and a fast emerging middle class, the region has seen strong growth across the F&B, luxury goods and automotive sectors. Take the beauty and personal care industry for example, which is forecast to register a 27% CAGR in the years up to 2019.
As a result, despite a dip in M&A activity more broadly, there have been a number of deals by foreign acquirers across consumer brands. Last year, Danone increased its existing majority stake in Centrale Laitiere in Morocco, reducing its dependence on slow-growing Europe.