Siraj Capital to raise $100m Saudi fund

Siraj is in negotiations to raise a private equity fund to invest in Saudi Arabian SMEs.

Saudi investment firm Siraj Capital is “in talks” regarding the raise of a $100 million private equity fund aimed at acquiring interests in small- and medium-sized companies in Saudi Arabia.

The fund will make three to four investments and is likely to focus on service industry sectors such as hospitality, food and beverages, the firm said in a statement.

Siraj Capital did not respond to a request for comment.

The firm, which has three business divisions focused on private equity, business development and capital markets, made three investments in Saudi Arabia in 2009. These included a $4 million investment in Saudi clothing brand Lomar; an undisclosed investment in Delta United Contracting Company, a telecom infrastructure service provider; and another undisclosed investment in Holiday Inn Express, a chain of budget hotels.

Founded in 2005, Siraj Capital is a sharia-compliant investment and finance company. The firm’s private equity arm typically invests in small and medium enterprises across the Middle East North Africa region, with a focus on Saudi Arabia. It invests across all sectors and is primarily focused on the telecom, media, technology, consumer goods, food and beverage, real estate and healthcare sectors.

Siraj Capital has offices in Jeddah, Riyadh and Dubai.