Investcorp is seeking more opportunities in Saudi Arabia, aiming to capitalise on the kingdom's plans for a significant reform of its economy, the co-chief executive of the alternative investment specialist said on Wednesday.

Under Saudi Arabia's Vision 2030 initiative the kingdom is targeting greater diversification of its economy away from hydrocarbon revenue, including measures to improve private investment flows and privatisations of state assets, most notably state oil giant Saudi Aramco.

"Vision 2030 has definitely led us to focus more on Saudi Arabia. We believe the market now will offer more opportunities," Investcorp's Mohammed Al Shroogi told Reuters on Wednesday.

Among the sectors Shroogi considers to be "very attractive" are health, education and food. The company has already invested in the oil and gas sector in the kingdom.

Asked if it Investcorp is working on any specific transactions, Shroogi said it is looking for a company in the healthcare sector but declined to elaborate.

Sources told Reuters this month that Investcorp was one of three private equity firms competing to acquire a minority stake in Saudi Arabia's Al Borg Medical Laboratories.

Shroogi's comments were made on the sidelines of a listing event for jewellery company L'azurde, which began trading on the Saudi bourse on Wednesday after raising 477.3 million riyals ($127.28 million) from its initial public offering this month. Investcorp was part of the consortium that offered shares in the float.

The investment was part of its first Gulf Opportunity Fund and Executive Chairman Mohammed al-Ardhi told Reuters in November that Investcorp was planning a follow-up to the $1 billion fund.

When asked on Wednesday on the second fund's progress, Shroogi said it is still concentrating on completing sales of assets within the initial pool.

"When we complete a few more exits, then will be the time to go to the market and raise a second fund," he said.-Reuters