MENA Opportunities

Initiated back in 2011, Enterprise Qatar's Al Fikra Business Plan Competition sought "to encourage entrepreneurship amongst young people, and to help foster an entrepreneurship culture in Qatar". Each year, the competition has been drawing more and more participants across various age groups and nationalities with a wide range of business ideas in addition to established start-ups. This year the competition attracted 127 business ideas, 69 of which were converted into business plans and shortlisted for evaluation, in both the professional and the student categories. A few weeks, several business plan writing and financial statement analysis workshops and two entrepreneurship workshops later, the participants were asked to pitch their business ideas to the panel of judges, who then selected three winners from each of the categories. It is interesting to note that all three of the professional category winners were technology-based businesses. In fact, Enterprise Qatar sa...

In its efforts to stimulate an emerging VC ecosystem around the MENA region, the MENA Private Equity and Venture Capital Association has partnered with Mr. Victor W. Hwang, a venture capitalist and entrepreneur in Silicon Valley, to draw on lessons from Silicon Valley’s past on how to grow successful and innovative Venture Capital ecosystems. Money knows no boundaries, the saying goes. Apparently, no one bothered to tell venture capital. Despite the fact that money can theoretically travel almost anywhere in the world, venture capital (VC) to fuel growing companies is still strongly correlated to geography. And most regions have little or none. Why should that be so? Why are free markets not so free? What are the lessons for new regions trying to create their own venture capital?Governments around the US and the world have invested billions of dollars in attempts to foster their own vibrant, sustainable VC industries. They have almost all failed. The geographical imbalance is stark...

About the Author Rami Al-Karmi is the founding partner of Arcoten Holdings - the pan-Arab entrepreneurship development and venture foundry. He is a venture partner at Startup Labs where he primarily focuses on early-stage investments across the Middle East, a mentor at 500 start-ups and a regular lecturer at the region's leading universities and entrepreneurship centers. Al-Karmi currently serves on the boards of trustees at Elia Nuqul Foundation and as a partner at FastForward Accelerator in Palestine. He acts as a mentor/advisor to management/board member to more than 30 successful ventures in the region. Previously, Al-Karmi served as the CEO of N2VLabs (the web, social, and cloud accelerator, investment and engineering arm of the N2V Group - the largest internet investment holding company in Arabia). A rising entrepreneurially driven generation across Arabia and a burgeoning age of digital commerce could deliver the next billion-dollar start-up. Although 'entreprene...

U.S. oil prices soared to an 18-month high as traders worried that a potential military strike against Syria could disrupt the region's oil supplies. October crude futures surged 2.9%, to $109.01 a barrel on the New York Mercantile Exchange, their highest close since February 2012. Brent futures ended up 3.2% at $114.28 a barrel, a six-month high. Prices climbed Tuesday as leaders in Europe and the Middle East condemned the alleged use of chemical weapons against Syrian rebels by the government of Bashar al-Assad. The statements–following harsh words by U.S. Secretary of State John Kerry on Monday–were seen laying the groundwork for foreign intervention in Syria's civil war. A U.S.-led intervention would mark an escalation to the conflict in Syria, and raises the prospect that violence could spill over into other countries in the region, where roughly one-third of the world's crude is produced. Oil prices have risen about 15% already this summer as turmoil has swept throu...

Tourist numbers in Lebanon have plunged by 27 per cent over security concerns and travel restrictions from neighbouring Arab states. The dip comes during the state's peak season, but tourism figures were already down in 2012. Visitor numbers totalled 1.5 million last year - 2010 saw a peak of 2 million, before the uprising in neighbouring Syria. To date, more than 100,000 people have been killed in the conflict. "The first six months were down by about 6.5 per cent compared to 2012. July was down by even more, by 27 per cent. Really, the situation is difficult. It is not catastrophic," said Fadi Abboud, Lebanon's caretaker Minister for Tourism.

The MENA region commands abundant human and natural resources, accounts for a large share of world petroleum production and exports, and enjoys on average a reasonable standard of living. Within this general characterization, countries vary substantially in resources, economic and geographical size, population, and standards of living. At the same time, intra-regional interaction is weak, being restricted principally to labor flows, with limited trade in goods and services. MENA covers a surface of over 15 million square kilometers and contains some 6 percent of the world's population, about the same as the population of the European Union (EU). The three smallest countries (Bahrain, Djibouti, and Qatar) each have a population of about half a million inhabitants. By contrast, the two largest countries (Egypt and the Islamic Republic of Iran) comprise about 60 million inhabitants each. Together with Algeria, Morocco, and Sudan, these five most populated countries account for about...

It's simply mesmerizing to see in one simple animation Dubai's Coastal Expansion over the 1984 to 2012 stretch. This shows and proves (if needed) that Dubai is not limited by its "natural" geography and can expand practically endlessly by gaining on the sea (although we still need to learn what is the official status of "The World"). And that's just the Coastal Expansion. Imagine capturing the Real Estate Boom in a similar way... Quite frankly fascinating no matter what is your take on the subject, whether you are a fan of Dubai's crazy boom or consider it like many an artificial location with nothing really genuine about it. In all cases, enjoy and appreciate what can be done in a matter of just 28 years!

If the reports are true, that’s a golden opportunity to close our national debt and revive the economy. Let’s wait and see now how we will manage to screw things up like we always do in Lebanon. “The value of the gas and crude oil reserves in Lebanon is worth $140 billion… (Our) company has found (in Lebanon) a quantity of oil that could make the country one of the biggest gas producers in the Middle East,” British newspaper The Times quoted chief executive officer of the British Spectrum Geo Inc. David Rowlands as saying.

Emirates and Qatar Airways were ranked respectively the first and second best airlines in the Middle East and in the World. Middle East Airlines came in 8th spot ahead of Air Arabia and flyDubai in the Top 10 Airlines In the Middle East list, which isn’t something to be proud of. Below are the Top 10 Airlines in the Middle East for 2013.  

Since the onset of the global financial crisis in 2007, energy investment growth in the Middle East and North Africa (MENA) has seriously contracted. As the ‘‎option to wait’ was becoming more valuable for some investors, we advocated the exclusion of enabling ‎energy infrastructure such as power ‎from any such option. Long-standing underinvestment in this sector has caused shortfalls in electricity supply and led to serious economic ‎bottlenecks and social frustrations. Ongoing turmoil in parts of the region has somewhat vindicated our stance. Power may indeed emerge as a critical sector featuring prominently on top of governments’ policy agendas. Catching up ‎large unmet potential demand needs massive ‎investment, which cannot be achieved without addressing broader challenges.‎ This commentary discusses the growth potential of MENA power sector, the investment requirements and the challenges involved.  

Australia, Canada and New Zealand had previously comprised the top three in the NatWest International Personal Banking Quality of Life Report. The antipodean nation has now been usurped from the podium by the UAE . Career opportunities are the key driver for expats heading to the UAE (75 per cent). Only eight per cent of respondents believe they will stay in the UAE for ever with the majority (92 per cent) consider themselves on a 'temporary assignment'. A large disposable income is enjoyed by 96 per cent of those living in the UAE , Hong Kong, China and Singapore on a temporary basis. "The most notable shifts in our Quality of Life results this year is the rise of the UAE as an expat destination," said Dave Isley, head of NatWest International Personal Banking. "The once loved traditional expat communities of France, Spain and Portugal are diminishing, with quality of life drastically reducing for expats living there, making way for newcomers such as the UA...

The Mena Mining Report Q3 2013, from Business Monitor International, claims that low-base effects and the determination to boost non-oil revenues and significant resources will be the main factors for growth. Most of the capacity additions in phosphates will come from Saudi Arabia and Morocco. Ma'aden kicked off the production of diammonium phosphate in the kingdom in 2011 and is expected to steady off at approximately three million tonnes by 2013. Turkey and Northern Iraq were also identified as crucial areas for growth. Despite the downturn in metals, fertilisers were strong in 2012, as agriculture remains key to the global economy. With a sharp slump in China's demand for base metals, fertilisers' demand, paired with delayed projects and plant closers, has led to a strong year for phosphates. Global phosphoric acid production is expected to reach 43 million tonnes by 2015. "We do not expect this market tightness to continue though, as additional supply from Saudi ...

Prospects for investment across the MENA region after the Arab Spring last year are unclear. Ahmed Heikal, Chairman of Egypt-based private equity firm Citadel Capital, tells Dow Jones's Paul Hodkinson why he is optimistic about growth in his part of the world.   Dow Jones Video

With nearly 400 million people the Middle East and North Africa, the MENA region has the population to support an entrepreneurial culture. But can serious obstacles be overcome? WSJ’s Ben Rooney reports.   WSJ Video

The Middle East and North Africa region has the potential to become an emerging market leader, said global and regional leaders in the opening plenary of the World Economic Forum on the Middle East and North Africa. Salaheddine Mezouar, Minister of Economy and Finance of Morocco, highlighted the need for the MENA region to position itself on the global economic map as an integrated regional bloc. “The importance of the region is enhanced by its exceptional location,” he said. “It acts as a bridge between vibrant Asian economies, European-Mediterranean partnership opportunities and Africa’s significant potential for development.” “The future lies in the emerging markets such as the MENA region,” said Carlos Ghosn, Chairman and Chief Executive Officer, Renault-Nissan Alliance (France and Japan), France. “Regional leaders should actively shape this future by improving intra-regional cooperation and integration – building on the successful Gulf Cooperation Council model.”

So you have closed the deal, or thinking about closing a deal with a Venture Capital or Private Equity investor for your firm. What are the implications of a PE/VC investment on a company? Here is a good presentation from the recent DIFC Private Equity Forum by PricewaterhouseCoopers. Enjoy!

TechCrunch, a major Tech website, has an interview with Fadi Ghandour, one of the most notable angel investors from Dubai and the Middle East. Fadi Ghandour is the Founder and Vice Chairman of Aramex where he served for 30 years as the company’s CEO. Aramex is one of the leading global logistics and transportation companies. Fadi is also the co-Founder and Director of MENA Venture Investments, a seed capital investment company investing in early stage tech companies in the MENA region. He is a member of the Board of Abraaj Capital, and the Chairman of WAMDA.com, an entrepreneurship support platform for the MENA region. He is a Member of the Board of Trustees at the American University of Beirut. He is a Member of the Board of Yemeksepeti a leading Turkish ecommerce company and Founding Investor in Maktoob.com sold to Yahoo in 2009. Fadi also serves as a board member of Oasis 500, a leading early stage and seed investment company in Jordan that provides entrepreneurship training, men...

In a move that appears to be more of a consolidation in a holding group than an acquisition, it is announced that Souq.com, an e-commerce portal from the Middle East has acquired the private shopping portal Sukar.com. Sukar.com is majority owned by the same group that owns Souq.com. So for us this seems more like a consolidation against the big force of another shopping portal, MarkaVIP.com which has recently closed a Series B of $10 million investment. Souq.com had announced investing $2.5 million in start-up Run2Sport.com earlier.

J.P. Morgan Chase and Blakeney Management have invested over $20 million in Dubai-based ecommerce firm Namshi.com - Reuters is reporting Namshi.com, which was officially launched in January 2012, sells footwear and fashion online and ship to fashion consumers across the GCC.

A consortium of international property investors including Abu Dhabi Investment Council have agreed to buy a prominent Tokyo office building for $1 billion. It will be Japan's biggest property investment including foreign investors since the 2008-09 global financial crisis. The group, led by property investor Asia Pacific Land, includes Abu Dhabi Investment Council, Japan's Secured Capital Investment Management Co and C.V. Starr & Co Inc, which is run by the billionaire former chief executive of American International Group - Reuters is reporting.

The basic principle of Islamic banking is based on risk sharing, which is a component of trade rather than risk-transfer, which is also seen in conventional banking. This is because Sharia Islamic law prohibits any investment from paying interest, as making money from money itself is considered sinful. Islamic banking is a growing series of financial products developed to allow Muslims to invest and raise finance in a way that does not compromise their religious or ethical beliefs. Sharia law also bans investment in certain industries, such as tobacco, alcohol, gambling or firearms, which are considered as 'haram'. However, both Muslims and non-Muslims can take advantage of Islamic banking products. Although the industry is quite young, Islamic economic theories date back more than a millennium. By the middle of the 12th century, many Muslim scholars had already presented several key concepts that are relevant even today. However, social and political turmoil put those conce...

A group of top mobile phone distributors from across the Kingdom held a press conference on Sunday 28th July, 2013, at the Sheraton Hotel in Amman. Attended by a group of prominent local media representatives, the press conference was aimed at discussing the recent increase on the special tax imposed on mobile phones, based on law no. 64 for the year 2013, which was amended on 10th July, 2013. The press conference drew the participation of representatives from New Vision, the exclusive distributor of LG Electronics’ household appliances, home entertainment devices, ACs and mobile phones in Jordan; BCI, the Official distributor of Samsung mobiles r; i2, the exclusive Nokia distributor; Tab Communications & Technologies Company, the exclusive HTC distributor; Al Waseet Mobile Company, the exclusive Sony distributor; in addition to a representative of the top companies importing cellular devices. Prior to the press conference, the attendees had sent a letter to Jordan’s Prime Minist...

The only thing as hot as launching a group buying website in the Middle East: launching a startup incubator / seed fund. Tenmou , which calls itself a "business angels' company" and had a soft launch a couple of months ago, just announced its official launch with an initial start up capital of $2.7 million. Tenmou joins a relatively long (and young) list of incubators and seed funds from the region like Oasis500 , Seeqnce and SeedStartup . We sincerely hope they end up in a better place than similar firms like Intilaq , a business incubator launched by Bayt.com, which died very early; very quietly.

A Saudi Arabian trust is interested in purchasing the Wilhelmshaven oil refinery in Germany put up for sale by US group ConocoPhillips, broadcaster NDR reported on its website this month. The prospective buyer, who has links to the Saudi king, is keen to process Saudi crude at the site and is pushing for talks with ConocoPhillips - Bloomgerg is reporting.

Abu Dhabi based investor Hasan Abdullah Ismaik, has acquired 49 per cent of German soccer club 1860 Munich for $25 million. Ismaik, 34, through his investment firm Marya, is ready to invest total $47 million into the ailing second division club which were one of the founder members of the Bundesliga, but relegation in 2004 has left it with severe financial difficulties.

Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud, and Kingdom Holding Company announced investment of $300 million in Twitter. Dow Jones is reporting that this $300 million represents a 3 percent stake in the company. Kingdom Holding already holds roughly 7 percent stake in News Corp as well.

The number of Middle Eastern clients setting up family offices in Singapore has doubled in the past year and will continue to grow as they focus more on Asia - DBS Private Bank in Singapore says. Speaking at the Asia-Middle East Investment Summit in Singapore last week, Terry Farris, head of family office services at DBS Private Bank in Singapore , says he expects 50% of his firm’s discretionary portfolio management to be on behalf of Middle Eastern wealth by the end of June.

INSEAD Abu Dhabi in partnership with PwC (PricewaterhouseCoopers) has released a new report on Private Equity entitled “The next five years: MENA PE”. This research examines the recent impact of the Middle East unrest on PE firms, as well as the key drivers and trends that will shape the PE landscape in the next five years. It is based on interviews with leading global and regional GPs and LPs investing in the region, as well as on a web-based survey. You can download the report from here .

Deloitte has released a new report on Middle East Private Equity entitled “Private Equity Confidence Survey”. The results of the survey reflect a bounce back in confidence amongst regional general partners (GPs) and a more positive outlook for the long term prospects for PE in the MENA region. You can download the report from here (PDF) . More details and summary of the report follows.

Burgan Bank, the commercial banking arm of Kuwait's largest investment firm KIPCO, announced that it has acquired stake in Eurobank Tekfen Turkey from its Greek owners for $350 million. The total consideration will be funded fully from Burgan's existing internal cash resources. The Bank has extensive geographic coverage within Turkey through its network of 60 branches.

The Kuwait-based Warba Bank has announced the acquisition of the new headquarters of British Telecom located in the town of West Bromwich in the UK for $33 million. This is in-line with their acquisition in New York a couple of weeks ago in which they announced the conclusion of a financing deal to purchase a property and develop it into a multi-family residential complex by Criterion Group based in New York. A total of 24 percent of the stocks of this bank is held by Kuwait Investment Authority (KIA).

Dimah Capital , a Kuwait based investment firm, has announced its first acquisition of a real estate in Britain for $70 million. They acquired the students' village of Parham Road in Canterbury, consisting of 16 buildings of student housing. Dimah Capital, with Sameer Al Gharaballi as Vice Chairman and Managing Director, used to be called Beyoo Investment and is majority owned by Al Imtiaz Investment which is also a Kuwait based investment firm.

Al-Tuwairqi Group , a Saudi holding group, has acquired a steel manufacturer in Kent England out of administration. At their height, Thamesteel was one of the fastest growing steel manufacturers in the UK with annual revenue of over £100 million, but went into administration earlier this year with the loss of more than 350 jobs. The sale will mean that steel production on the site can recommence.

Saudi Aramco has announced the launch of its corporate venturing subsidiary Saudi Aramco Energy Ventures (SAEV). Headquartered in Dhahran, SAEV’s global investments will target start-up and high growth companie in renewable energy, water and energy efficiency technologies. Individual investments were expected to range from $1 million to $30 million per company. They also joined with Energy Capital Management , a European venture capital firm specialized in the oil & gas sector, for corporate venturing activities in the upstream oil and gas sector in Europe.

Sedco , a Saudi private equity firm, has invested $45 million in 10 global companies in the past months - Reuters is reporting. Sedco’s private equity fund which is launched a year ago has raised $113 million of which 40 percent is invested in 10 companies globally. Sedco has also invested globally in real estate and currently eyes Asian markets as well. The two-year old Jeddah-based firm manages about $3 billion in assets.

Kingdom Holding, a Saudi family office, has acquired Four Seasons Toronto Canada for $200 million. The Four Seasons Hotel Toronto offers 259 spacious luxury hotel guest rooms, including 42 suites, in Toronto's Yorkville neighborhood.

Abu Dhabi investment firm Finance House is to buy privately-owned investment bank CAPM Investment to expand into investment banking and asset management - Reuters is reporting. Under an agreement between the two parties, Finance House will acquire CAPM's investment banking and asset management license, offering a premium of between 5 to 10 percent to the value of those businesses, one of the sources said speaking on condition of anonymity.

US private investment company Paladin Capital Group and Abu Dhabi-based investment company Invest AD have established a private equity joint venture that will channel investments into the Middle East and North Africa (MENA) region and Turkey. The joint investment team has already identified a deal pipeline in the Middle East, North Africa and Turkey.

A Middle Eastern investor has acquired the London-based Anya Hindmarch, a luxury handbag company, in a deal in the region of £20 to £30 million - the Telegraph is reporting. ASHS, the company’s holding vehicle, made a pre-tax profit of £829,907 in the 12 months to December 2010, on sales of £20 million. It is run by James McArthur, former chief executive of Harrods.

Abu Dhabi and Qatar Sovereign wealth funds are front-runners to acquire 42 U.K.-based Marriott hotels for around $1 billion USD - the Wall Street Journal is reporting. Press reports Sunday said the Qatar Investment Authority, which is working on a deal with Blue Coast, an Indian hotels chain, had outbid the Abu Dhabi Investment Authority, but that the Abu Dhabi Investment Authority believed it could execute the deal more quickly. The auction, which has been running for several months, is expected to conclude in the coming weeks.

Qatar First Investment Bank , a Qatari investment bank, acquired two hotels in Central London - The Leinster Inn Hotel and Westbourne House. They acquired these properties in association with a consortium of investors from the GCC and want to convert both properties into high-end luxury residential apartments.

MerchantBridge , the London-based direct investment and private equity company focused on Middle East investments, has closed a deal worth $200 million in Kerbala Cement Rehabilitation Program. This transaction marks the largest privatization and debt arrangement in Iraq (outside oil and gas). The plant will go through a rehabilitation program. The project has already attracted investment interest from foreign direct investors, including the International Finance Corporation (IFC), the private arm of the World Bank, and France's Proparco.

Two new private equity firms have launched in Iraq and Oman. In Iraq, Trade Bank of Iraq plans to set up a $500 million private-equity fund and is looking to identify a global player to act as the fund's general partner. In Oman, the Financial Corporation (FinCorp) launched Oman's first private equity fund with a capital of $51.9 million. The primary objective of the Oman Private Equity Fund is to make private equity investments in select local companies and those firms that have cross border linkages.

Dubai conglomerate Al Habtoor Group is in the final stages of acquiring a five-star hotel in Budapest for $80 million - Arabian Business is reporting. The group was looking to buy hotels in Europe. It is also in talks with officials in France to buy a second hotel in Paris, its chairman says.

Legatum , a private investment group based in Dubai, announces the acquisition of Precinct Building 6 at the Dubai International Financial Centre (DIFC) , the financial and business hub based in the UAE. The nine-level 128,000 sq ft property, to be renamed Legatum Plaza, was purchased from a private investor and is located in the Gate Precinct of the DIFC.

Hassad Australia , an Australian company backed by Qatari investors, has acquired 27,000 hectares of farming lands in Westerns Australia - ABC News of Australia is reporting. Hassad Australia's head office is in Sydney and its operations are managed and staffed by Australians. The Board of Hassad Australia consists of six directors, including three Australian Directors (Nasser Mohamed Al Hajri, Hassan Abdulla Al Thawadi, Professor J. Lindsay Falvey, John Corbett, Gary Spiel and Tarek Hashem).

Alkhabeer Capital , a Saudi-based boutique investment and asset management firm, announced that is currently planning a $400 million investment programme to be rolled out over the next two years and covering the region and Europe. The firm intends to raise three funds targeting a total of $140 million including, for the first time, a fund targeting investments outside of the MENA region. In addition, the firm plans to raise $30 million for a residential development fund specifically in the UK. (The firm is already fully invested on its previous Saudi development funds, Alkhabeer Land Development Fund I and Alkhabeer Land Development Fund II).

Kuwait investors of Taameer Real Estate Investment have acquired a plot of land in Morocco for $53 million to develop a real estate project - Kuwait News Agency reports. The project will involve the construction of a hotel, a mall, villas, and residential apartments, Fawaz Al Bader, the company's chief executive said, according to Zawya Dow Jones, adding that the plot of land, valued at KWD1.2 million, covers an area of 35,000 square meters in Tangier city.

Egyptian investors of Link Online , a subsidiary of OT Ventures , announced the acquisition of Arabia.com, an Arabic web portal. They have chosen Dubai to be the hub of launching the new look of Arabia.com. OT Ventures' subsidiary Link Online, launched in 2004, has been the force behind some portals including Masrawy.com, Yallakora.com, and Otlob.com and most recently the launch of Jawhara.me, which took place in Dubai.

D. E. Shaw & Co , the world's fourth largest hedge fund, have announced opening their first regional office in Dubai as D. E. Shaw & Co. MENA, Ltd. The New York-based hedge fund, private equity and technology development firm was founded by David E. Shaw, who was formerly a faculty member in the computer science department at Columbia University. The firm specializes in applying quantitative and qualitative trading strategies to hedge fund management and other investments. the D. E. Shaw group has more than 1,600 employees and approximately $29bn in investment and committed capital. Read more about the firm here . Reuters has a good report on their opening in Dubai here .

Gulfmena Investments has announced the launch of its hedge fund, the "Gulfmena Arab Opportunities Fund Limited". According to the firm, this is the first directional absolute return hedge fund focusing on the MENA equity markets to be managed by a GCC based and DFSA regulated asset management business.

Prince Alwaleed bin Talal, chairman of Kingdom Holding , and the firm have placed an order for $400 million but received $60 million in Glencore IPO. This represents 3.6 percent of the value of Glencore’s IPO and the offering was substantially oversubscribed.

BECO Capital , an investment firm based in Dubai, and a consortium of angel investors announced investing $1 million in the hotel booking website TravelerVIP.com .  The website offers its members up to 50% discount on luxury hotels and has deals with 1,000 hotels. The angel investors in this round included Soha Nashaat, former CEO of Barclays Wealth MENA & Turkey, and Jakob Beck Thomsen, CEO of SaxoBank MENA & Turkey.

Iran Tourism Development Company sold the former 5-star 370 rooms Intercontinential Hotel in Tehran (plus three of its other smaller hotels and complexes) to an unnamed Iranian investor through a tender process for $130 million. The base price for Laleh Hotels (the new name of Intercontinential Hotels after Iranian revolution) has been $95 million and had been advertised on Iranian English papers ( PDF ), their website, as well as other sources like MEED . It was open for foreign bids as well.

Iranian investors of Entekhab Industrial Group have been named as the buyer for South Korea's Daewoo Electronics in a deal worth more than $540 million - The Reuters is reporting . The financial terms of the deal were not disclosed, but local online news service eDaily said Entekhab offered slightly more than $540 million. It is the fourth attempt to sell Daewoo Electronics, once the flagship unit of the failed Daewoo Group and now almost wholly owned by its creditors. Daewoo sold off non-core assets and unprofitable businesses to focus on washing machines and refrigerators.

MENA Infrastructure Fund , the Dubai-based private equity fund sponsored by HSBC, Waha Capital and Fajr Capital, has acquired 20% of Sohar Power Company. The $300 million MENA Infrastructure Fund LP was launched in 2007. The Sohar Power acquisition marks the fund’s fourth major investment, having previously acquired stakes in Alexandria International Container Terminals in Egypt, United Power Company in Oman and Hajr Electricity Production Company in Saudi Arabia.

Middle East Venture Partners (MEVP) has announced a couple of new investments in 3 companies. It is investing $400,000 in the fast food chain Shawarmanji, $250,000 in Arab recipe web portal Shahiya and $500,000 in the online book distribution company Cedar Books. These are co-investments between MEVP’s two funds Middle East Venture Fund MEVF and Building Block Equity Fund BBEF.

Dubai's family-owned conglomerate Al-Futtaim Group is planning to invest up to $1 billion globally in the next few years - with five deals in advanced stages. Deals close to completion include purchases in the east African automotive sector, a construction equipment deal in Saudi Arabia and real estate in Morocco - the Financial Times is reporting .

Al-Homaizi Group , a Kuwaiti conglomerate, has acquired UK roadside restaurant Little Chef for $23 million. The transaction went through the UK arm of Kout Food Group, a member of the Al Homaizi Group. It already owns the Maison Blanc brand, as well as more than 40 Burger King and KFC outlets in the UK. Little Chef employs 1100 staff in 78 outlets.

Businesses looking to emerging rapidly growing markets should check out huge opportunities now presenting themselves in the Middle East. That’s the clear message from author Chris Schroeder in his new book.  Acknowledging concerns about political stability, openness and human rights, witnessed in events such as the Arab Spring, Schroeder says that the region is undergoing another revolution with a new generation of entrepreneurs and foreign direct investors leading the way. “There’s a tendency to dwell on the problems and to zone in on what’s happening in Damascus rather than Dubai, for example. There’s great instability in many parts of the world but great businesses figure out how to overcome difficulties.” Schroeder, a US internet entrepreneur, who traveled widely through the region to research business opportunities, admits he was curious but skeptical himself at first about the region.

Xternalize Holdings ® is a Technology Holding Company owned by the Brazilian Haddad family. It holds significant investments in the South America and United States Technology Sector. Xternalize Holdings' advantages include significant and reliable capital, a patient investment philosophy and a subsequently long-term investment horizon. Since its inception in 1997, Xternalize Holdings has made investments in more than 30 South America and United States companies for a total amount of over 250 million USD. Xternalize Holdings is now currently looking to invest big time in MENA Startups! Xternalize Holdings

In the years to come, investors will look at opportunities where growth is highest, where population growth is highest, urbanisation and industrialisation is highest and where the ability to finance is good," said Dr Ghadir Abu Leil-Cooper, Head of Emea Equities, Baring Asset Management, a firm that provides services in developed and emerging equity and bond markets on behalf of institutional, retail and private clients worldwide. With more than half of its $44.7 billion (Dh164.18bn) assets under management in emerging markets and Asian equities, the company plans to continue focusing on these markets while the Middle East and North Africa (Mena) will be a key area, she told Emirates Business. "Emerging markets is a long-term story," said Leil-Cooper, describing the concerns of overheating as "short-term".

Ithmar Capital , a private equity firm based in Dubai, has announced the initial public offering of its portfolio company, Al Noor Hospitals Group, on the London Stock Exchange. Ithmar Capital will retain a 28 percent stake in Al Noor after selling some shares in the offering. As DubaiBeat reported back in 2010 , it had taken a $272 million equity stake in Al Noor Hospital back then. Their IPO prospectus is here .

BECO Capital , an investment firm based in Dubai, and a group of angel investors from Dubai and Silicon Valley, announced investing in a regional property website PropertyFinder.ae PropertyFinder employs over 60 people across its four offices in the UAE, Qatar, Egypt and Lebanon. Other investors include Evren Ucok, the co-founder of Trendyol and Peak Games, Patrick Grove, the founder of property portal iProperty Group, some Silicon Valley investors and Dubai-based angel investor Mustafa Abdel-Wadood of Abraaj Capital.

Iraq is poised to be the next regional hotspot and local marketers are urged to get to grips faster with the nuances of the market, according to Steve Hamilton-Clark, CEO, TNS MENA, the world’s largest custom market research organization. He said that Iraq’s GDP is set for rapid growth, pegged at some 33 per cent over the next three years, with income levels set to follow suit, creating a distinct middle class. “As Iraq moves into its next cycle it is fast emerging as the next big consumer market, home to the region’s third largest population, estimated at 32 million.   “This provides a huge opportunity for brands across all categories to increase penetration, introduce new products and services, and build loyalty.” Hamilton-Clark was citing the Iraqi As Consumer 2012 (IRAC) study carried out by TNS MENA and IIACSS which unveils a deeper understanding of what makes the Iraqi consumer tick. He said the findings reveal key aspirations as national stability and security, stron...

You’re a gifted entrepreneur with an idea so brilliant it will work anywhere. Right? Wrong! The first part I’m sure you have. The second part will be stunted by cultural differences which could cause chasms between an idea or business that floats or sinks like a stone. For those considering starting your business in the Middle East or expanding into the region, here are five pointers: 1. Pick your partners prudently. A lot of people perceive the region as having streets lined with gold. But with all the opportunities there are pitfalls. Once you learn to see through the mirage, only then will you be able to discover the fruitful oasis. One often makes ‘apple to apple’ comparisons between choosing business partners in the west, where you may focus mainly on credentials such as professional position and reputation, and in the Middle East where you will do better focusing on: does your prospective partner have the character and integrity you can depend on? How much do you feel he/s...