Dubai-based boutique investment banking firm Badwa Capital has set up a new real estate asset investment arm with an initial fund of $100 million.
In an announcement, the firm said, the new unit will “provide family and institutional investors with income-generating investments”.
The primary focus of the fund will be investments into infrastructure and real estate assets, which will be deployed through sale-leaseback, built-to-suit, and other types of transactions.
“Many companies are seeking to free up capital from real assets as they grow their core businesses. Through our new platform, we are well-positioned to support companies pursuing asset-light strategies while generating attractive risk-adjusted returns for our investors,” said Badwa Capital chairman partner Fawzi Jumean, who will be leading the investment arm together with other members of the Badwa team.
Badwa Capital runs an financial advisory business, which it claims has assisted clients with transactions worth several billion dollars over the past decade.
In 2017, AlRajhi United, a leading Saudi family office with a global footprint, acquired a minority stake in Badwa. The deal saw three AlRajhi executives claim a seat in the company’s board. Badwa says that it continues to be majority-owned by management and is run independently.