Arcapita has been named best Islamic private equity house in recognition of its leading position in the world of international shariah-compliant private equity. The firm was created in 1997 and currently employs more than 140 people in its offices in Bahrain, Atlanta and London.
Its corporate investment team operates out of Atlanta and London, and deals with private equity and corporate buy-outs. The firm acts as a principal and arranger in the acquisition of controlling interests in established companies in the US and Europe. Arcapita focuses on growth-oriented corporate acquisitions, usually with a total transaction value between $50 million and $400 million.
Acquisitions between December 2004 and November 2005 included Cypress Communications, a US communication solution provider with more than 1,300 commercial office buildings; Southland Log Homes, the largest manufacturer and marketer of pre-cut log home kits in North America; and Church’s Chicken, one of world’s largest fast-food chicken restaurants.
As these purchases indicate, while Arcapita’s focus is on the North American market, it is investing in a wide range of industries. According to Mounzer Nasr, of the London corporate investment team, the company focuses for now on healthcare, consumer products and retail, oil and gas, and business services, with sectors such as media, restaurants, casinos, defence, conventional financial institutions and alcohol-related industries off limits because of shariah restrictions.