July 03, 2013 - Gulf’s Private Equity Lowers its Sights - The Financial Times

At the beginning of the Middle East and North Africa private equity gold rush of the late 2000s, most managers of newly formed funds advertised the strategic merits of mega infrastructure deals and the like and promoted the establishment of funds exceeding $1bn.

 

Apart from inflating both the egos and the intakes of financial sponsors, this approach has been costly and unsustainable. Fast forward to 2013, we have hardly any mega deals announced and no noticeable infrastructure assets in play. Moreover, there is a lot of capital “hangover” – a reported $7bn in total committed but undeployed money – amassed by the private equity industry during the exuberant era.

 

 

Gulf’s private equity lowers its sights-1.pdf