Kuwaiti investor Global Investment House’s private equity arm has bought Saudi Arabian textile business Ajlan Bin Abdulaziz Al Ajlan & Brothers ’Ajlan, which has a market capitalisation of SAR 300 million ($80 million, €58 million).
For the financial year ended December 2006, the textile business had revenues in excess of SAR 450 million. It has grown revenues at an annual rate of over 35 percent for the last three years. The company supplies traditional dress such as ’shmaghs’, red/white male head gear; ’ghutras’ ,plain white male head gear; undergarments, and ’thobes’, white male robes, across the region.
It has established production facilities in China allowing it to produce its products at a low cost.
Global Investment House has also invested in Saudi retailers Al Sawani and Modern Marifiq, a mall operator, which should be able to offer synergies for the acquisition according to a statement by the buyout arm. Last year Global Investment House closed a $1 billion (€726 million) fund for investment across the MENA region.