10th Consecutive Profitable Realization for Firm’s Private Credit Portfolio, and 19th from 37 Investments, Make NBK Capital Partners Region’s Leader Over Past Decade
Fund advised by NBK Capital Partners – an alternative investments firm that advises on providing flexible growth capital to mid-sized companies in the Middle East, North Africa, and Turkey – announced today its successful exit of its $26 million growth capital facility in Saudi’s Energia Model Trading & Contracting LLC (“Energia”).
The exit was financed with support from an Abu Dhabi-based investment firm which provided new facilities to the company for debt refinancing and further expansion including sustainable and green energy solutions.
At the time of the investment in November 2017, NBK Capital Partners partnered with founders of Energia to expand and take advantage of the increased construction activity and infrastructure spending stimulated by Saudi Vision 2030. During this period, the company more than doubled its revenues, widened its geographic coverage, and increased its fleet size by more than 20 percent.
Headquartered in Jubail, Energia has a nationwide presence with offices across all major cities in the Kingdom, a high-quality fleet, and deep engineering capabilities. The company has been a leading player in the Saudi temporary power solutions sector over the past decade and plays an integral role in providing turn-key power solutions to the Kingdom's rapidly growing economy and its evolving power needs.
NBK Capital Partners is a pioneer in regional private credit investing, having launched three fund vehicles since the launch of its first mezzanine debt fund in 2009. This exit represents the tenth successful realization for private credit funds advised by NBK Capital Partners.
Yaser Moustafa, Chief Executive Officer at NBK Capital Partners, said: “We are pleased to have supported Energia and its founders with flexible capital to achieve its growth ambitions. In this investment, we saw the opportunity to partner with an exceptional management team in a sector underpinned by infrastructure investment, and we are proud of the role NBK Capital Partners played in unlocking the tremendous growth that the company has since delivered.”
NBK Capital Partners has a strong track record in the Kingdom to date, having led seven investments – including three through private credit vehicles, and the firm continues to see attractive opportunities in the country. The firm plans to deploy more capital in attractive regional credit opportunities from its recently launched NBK Capital Partners Shari’ah Credit Opportunities Fund, anchored by Saudi Arabia’s Public Investment Fund and other institutional investors.
Sikander Ahmed, Managing Director and Head of Private Credit at NBK Capital Partners, said: “We have consistently and reliably provided flexible, long-term financing to middle-market companies during periods of rapid growth allowing them to exploit market opportunities. Energia effectively utilized the growth capital facility to become one of the strongest players in its sector in the Kingdom.”
Headquartered at Dubai International Financial Centre, NBK Capital Partners has advised on investments of more than US$1.2 billion and now has a track record of 19 profitable realizations from 37 investments, the highest number of profitable exits by an alternative investments firm in the region over the past decade.
Earlier this year, the company announced its NBK Capital Partners Mezzanine Fund II closed a US$ 10 million financing facility with Uber’s exclusive vehicle supply partner in Africa, the mobility fintech Moove. The innovative asset-backed venture debt marked the sixth investment from the Fund advised by NBK Capital Partners.