Abraaj Capital today became the first pure private equity firm to be registered by DFSA to operate out of Dubai International Financial Centre (DIFC).
Dr. Omar Bin Sulaiman, Director General of the DIFC Authority, welcoming the organisation commented: “It is with great pleasure that we welcome Abraaj Capital. The track record of this company is second to none. It has been a pioneer in its field, establishing the private equity industry in the UAE and the region, and we are delighted that Abraaj has chosen to come to DIFC as the next stage of its development. Abraaj Capital is a great regional success story, and we welcome them to the DIFC.”
CEO and Vice Chairman of Abraaj Arif Naqvi said:
“It is a tremendous achievement to be the first pure private equity firm to be registered by the DFSA. This is doubly significant when you consider that we have never been a regulated business, and it is testament to the high standards of corporate governance that we adhere to that the DFSA has given us this licence.”
Abraaj Capital will use its status as a DIFC company to further expand its business and activities in the Middle East, North Africa, and South Asia. Abraaj currently has $1 billion in assets under management, and was recently named “Best Private Equity Company in the Middle East” by Private Equity International magazine.
It has investments throughout the Middle East and recently announced a landmark joint venture with Sabre Capital in India to expand into that market.
About the DIFC: The Dubai International Financial Centre (DIFC) is an onshore hub for global finance. It bridges the time gap between the financial centres of Hong Kong and London and services a region with the largest untapped emerging market for financial services.
In just over one year, more than a hundred top international institutions have joined the DIFC as members. They operate in an open environment complemented with world-class regulations and standards. The DIFC offers its member institutions incentives such as 100 per cent foreign ownership, zero tax on income and profits and no restrictions on foreign exchange. In addition their business benefits from modern infrastructure, operational support and business continuity facilities of uncompromisingly high standards.
The DIFC is made up of the following core bodies:
1. The DIFC Authority (DIFCA) - Responsible for the Companies and Security Registries and attracting financial as well as non-financial institutions to set up in the DIFC. (www.difc.ae)
2. The Dubai Financial Services Authority (DFSA) - An independent, unitary regulatory authority, responsible for the regulation of all DIFC operations. Its principle-based primary legislation is modelled on that used in London and New York, and its regulatory regime operates to standards that meet or exceed those in major financial centres. (www.dfsa.ae)
3. The Dubai International Financial Exchange (DIFX) – A liquid and transparent electronic market trading securities, bonds and derivatives, launched in September 2005, the DIFX eases access to regional and international investment opportunities and funds. (www.difx.ae )
4. The DIFC Courts - An independent court system set up to uphold the provisions of DIFC laws and regulations, the courts provide comprehensive legal redress in civil and commercial matters within the DIFC. The laws, enacted by His Highness Sheikh Maktoum bin Rashid Al Maktoum, UAE Vice President and Prime Minister, and Ruler of Dubai, provide for a new court system designed especially for the DIFC and the sophisticated transactions that will be conducted within it.
• The law establishing the Judicial Authority at the DIFC creates and sets out the jurisdiction of the court and provides for a dispute resolution services, including arbitration and mediation, thus allowing for the independent administration of justice in the DIFC; and
• The DIFC Courts Law sets out the jurisdiction, powers, procedures, functions and administration of the court. ( www.difccourts.ae )
