Swicorp has acquired a strategic minority stake in Jordan Aviation, an aviation leasing company. The deal was worth more than $150 million (€108 million), Arabian Business quoted the firm as saying.
Headquartered in Amman, Jordan Aviation is a private airline providing chartered flights in the Middle East. The company, with began operations in 2000, provides leasing services which include airplanes, crews and maintenance services.
The investment was made from Intaj Capital, a $250 million fund focused on sectors driven by a growth in consumer demand in the Middle East and North Africa. These include consumer goods, retail, communications, financial services and construction materials.
The aviation market in the Middle East is the fastest growing market globally, said Nabil Triki, managing director and head of private equity at Swicorp. “In an environment where supply is tight and demand is experiencing steady growth, Jordan Aviation can position itself as a key link in the value chain and take advantage from such environment,” he said.
The additional financial resources will be used for the company’s growth, Triki said.
In July, Swicorp made its first investment in Turkey, with acquisition of a 40 percent stake in carpet manufacturer and retailer Step. Swicorp is looking to increase its stake to 60 percent or more by next year with a total investment of up to $50 million.
Intaj Capital normally provides companies with growth capital, but also makes buyout investments selectively. It has made nine investments out of Intaj since early 2006 and its fund is almost entirely deployed.
Headquartered in Riyadh, the firm manages assets of about $1.5 billion across three private equity funds. It also has offices in Jeddah, Dubai, Tunis, Algiers and Geneva.