The Gulf Time Newspaper One of the finest business newspapers in the UAE brought to you by our professional writers and editors.
DUBAI / Reuters
Private equity firm Abraaj Group is considering selling part of its investment management business as it seeks to stem the fallout from a dispute with investors in one of its funds, sources said. Dubai-based Abraaj is in early stage talks with several possible buyers, the sources said, with one source saying Abu Dhabi Financial Group was among them and another source saying Abraaj had received interest from international financial firms.
The talks are focussed on Abraaj’s investment management business, a core part of its operations, two of the sources said.
The Wall Street Journal earlier reported that Abu Dhabi-state-owned investment vehicle Mubadala Development and Abu Dhabi Financial Group had held talks with Abraaj about a possible sale of the firm’s private equity business. Abraaj, Abu Dhabi Financial Group and Mubadala declined to comment when contacted by Reuters. A sale of part of the business could be helpful in diversifying the company’s shareholder base and improving governance standards, one of the sources said.