Saudi PIF-anchored Shariah-compliant fund makes first investment
The fund has signed a $20 million financing facility with UAE-based human resource outsourcing company Reach Group to support its expansion into Saudi Arabia.
Reach is entering the Kingdom through the acquisition of a HR recruitment company in partnership with a local conglomerate, NBK Capital said in a statement on Monday (April 12), without identifying the target firm.
Reach Group identifies, recruits, and hires employees directly on its payroll and outsources them to its clients that include government and quasi-government entities on long-term contracts. It works in diverse sectors including healthcare, telecommunications, and financial services and has close to 6,000 outsourced full-time employees, said the statement.
The Shariah Credit Opportunities Fund is advised by Dubai-based NBK Capital Partners.
The fund provides capital to mid-market companies in the Middle East, NBK Capital Partners said when it launched it in February. The firm did not say what PIF’s investment in the fund is, alongside other institutional investors.
The Shariah-compliant fund is expected to make 10 to 12 investments of $15 million to $50 million throughout its eight-year life.
