Sabre Capital to acquire a company each in IT, engineering sectors

Sabre Abraaj Private Equity, the 50:50 JV between Sabre Capital Worldwide and Abraaj Capital, is in the process of acquiring two firms in the IT and engineering products space that would be finalized in the next two months. The firm has declined to name the investee companies. Sabre Abraaj Capital has recently launched the $300 mn Sabre Abraaj India Private Equity Fund I and invested around $16 mn in Hyderabad-based Ramky Infrastructure (See Related Post). The fund is scouting for turnaround opportunities; it is a stated strategy of the fund to first acquire the companies and then work out the strategy to achieve turnaround. The fund is targeting sectors like infrastructure, retail, auto components, leisure and entertainment and medical devices as potential sectors for venture fund investments.

Read the article in The Economic Times.

Sabre Capital plans $1bn India fund

Sabre Capital Worldwide, Inc. may launch a new $1 bn fund within the next 9-12 months. Sabre had earlier set up an India-specific $350 mn private equity fund. The company has already raised $50 mn of the $350 mn fund. The second and final tranche of capital, which will include the entire balance amount, will be raised by February.

The fund, called Sabre Abraaj, has already made an investment of $16 mn in an unlisted mid-sized infrastructure company based in Hyderabad. The fund is looking at mid-level corporates and may invest in the range of $15-50 mn. About 50-60% of the investors in the fund are from the Middle-East, while the others hail from Europe, the US and East Asia. Though there is a 10-year commitment for investments, the company intends to give at least 2-3 times returns within four years to investors.

Read the Business Standard article.