ADIC in $180m Egyptian telecom deal

The target, OrasInvest, is a provider of mobile communication infrastructure services such as tower site acquisition, construction and maintenance.

The Abu Dhabi Investment Company and other unnamed investors have agreed to purchase telecom support company OrasInvest from Orascom Telecom Holding, in a leveraged buyout worth $180 million.

OrasInvest focuses on mobile telecommunication tower construction and other services including inventory management, packaging, delivery and collection. Headquartered in Cairo, it operates in Egypt, Algeria, Tunisia, Pakistan, Bangladesh, UAE and Saudi Arabia.

With the investment, OrasInvest is well-positioned to capitalise on the telecom sector’s rapid growth in the region, said Alwaleed Abdelrahman, senior vice president of Abu Dhabi Investment Company’s private equity group, in a statement.

The investment was made out of ADIC MENA Partners, a buyout fund targeting a $500 million close early next year. The fund is focused on MENA, Pakistan and Turkey and invests between $75 million and $200 million per deal, purchasing majority stakes of regional companies.

Abu Dhabi Investment Company has committed $100 million to the fund which is currently being marketed at a minimum subscription of $5 million.

In October, the firm acquired a majority stake in Unitra METS Group, a specialty beverage distributor for an undisclosed sum.

Owned by Abi Dhabi Investment Council, Abu Dhabi Investment Company invests across sectors including asset management, private equity, real estate and infrastructure.