ARCAPITA COMPLETES $100 MILLION EQUITY RAISE

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Arcapita, the global alternative investment manager, announced today that it has successfully raised its targeted $100 million in equity capital from shareholders in the GCC region to fund its growth strategy.

Arcapita is now focused on two clear areas of opportunity: asset management of an existing $3 billion investment portfolio and the growth opportunity of new Shari’ah-compliant alternative investment products and services.

The new equity will allow Arcapita to grow its asset management capabilities and develop further revenue streams. The firm will focus on originating investments in asset classes, sectors and geographical regions where its management has built significant expertise over the past 17 years.

Mr. Atif A. Abdulmalik, Arcapita’s Chief Executive Officer, said, “Arcapita was formed to originate high-quality Shari’ah-compliant alternative investment opportunities for investors. With the support of our shareholders and investor base, we have built a strong platform to source and manage Shari’ah compliant investments worldwide. Over the last 17 years, Arcapita’s investment professionals have completed more than 70 investments with a transaction value of approximately $30 billion across the globe.”

Arcapita will initially pursue new investment opportunities within the GCC region followed by other international markets including the US, Asia and Europe. Arcapita’s investment teams will offer real estate and private equity investments on a “deal-by-deal” and funds basis to a select group of investors. In addition, Arcapita will offer services, including asset management and advisory services.

Mr. Abdulaziz H. Aljomaih, Arcapita’s Chairman of the Board of Directors, added, “We are pleased that the equity offering was oversubscribed and to have expanded our shareholder base to include a prominent group of sovereign wealth funds, institutional investors, high net worth individuals and family offices from across GCC region.”

As well as growing the shareholder base, Arcapita will expand its Board of Directors, adding further depth and specialist experience and strengthening the firm’s governance structure. The expanded Board of Directors will consist of Mr. Abdulaziz H. Aljomaih, Head of International Investments at Aljomaih Holding Co.; Mr. Ghazi F. Al Nafisi, Co-Founder and Chairman of Salhia Real Estate Company K.S.C.; Mr. Abdulrahman A. Al Muhanna, Managing Director and Member of the Board of Directors of Almarai Company; Mr. Amer A. Al Fahim, a Supervisory Board Member of Al Fahim Group; Mr. Khalid J. Bin Kalban, Managing Director and Chief Executive Officer of Dubai Investments PJSC; Mr. Usama M. Al Barwani, Executive Director of MB Holding; Mr. Noor Rahman Abid, previously the Assurance Leader for Ernst and Young in the Middle East; a member from Bahrain Mumtalakat Holding Company; and Mr. Atif A. Abdulmalik, Chief Executive Officer of Arcapita.

Arcapita’s business strategy reflects a commitment to generating long-term value for its shareholders and clients through a risk-adjusted investment approach. The firm’s business model will leverage long-standing relationships with its investors and operating partners. Arcapita’s balance sheet is fully-equity funded and the firm will aim to maintain a lower and more flexible cost base relative to its peers.

Arcapita recorded net income of approximately $10.1 million during the fiscal year ended June 30, 2014. The firm’s global investment management talent operates from its offices in Bahrain, Atlanta, London and Singapore.

The equity offering for a related Bahraini entity will be completed after obtaining certain regulatory approvals.

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