Shuaa Capital, a leading regional financial services company based in Dubai, said it has successfully closed its Partners Fund 1, yielding significant returns for investors despite the tough market conditions.

Announcing the achievement, Shuaa Capital said following the sale of two remaining investments, Shuaa Partners Fund 1 has generated an internal rate of return (IRR) of 7.6 per cent over its investment period.

'We are extremely pleased that we have been able to exit the fund on a positive note and return excess capital to our investors,' said Sheikh Maktoum bin Hasher Al Maktoum, the executive chairman of Shuaa Capital.

'The fund has performed well, delivering solid returns over its seven year investment period. This is all the more pleasing, given the challenging market conditions in recent years,' he stated.   

During the fund’s vintage period, from 2005 to 2012, public equity markets in the UAE posted a decline of 78 per cent, he added.

Shuaa Partners Fund 1 was launched in 2005 to invest in regional companies, including investments such as Petrofac, Air Arabia, Drake & Scull and Rotana Hotel Management Company.

Late last year, Shuaa announced that the private equity division would be managed by Shuaa Asset Management going forward. Shuaa Asset Management is the UAE’s premier fund and portfolio manager.-TradeArabia News Service