Kuwait-based investment company, North Africa Holding Company (NorAH), said it has acquired a minority stake in Moroccan housing developer Dar Saada Company.

A major pan-regional investment firm, NorAH said with this stake buy, it has secured a place in the board of Dar Saada Company (DSC), a Palmeraie Holding affiliate company that specializes in social and intermediate housing development.

NorAH said a consortium of investors including Abu Dhabi fund Aabar Investments, Idraj Capital development fund, RMA Watanya and Wafa assurances were instrumental in helping the company raise MAD1.1 billion ($137 million) for the stake.

NorAH, which has a capital base of KD50 million, aims to capitalise on significant investment opportunities arising in North African economies.

Moreover, it seeks to acquire significant stakes in companies with superior management teams, and firmly believes in partnering with its investee companies in driving their transformation into premier regional and global players, said a top official.

Emad Anwar Al Saleh, chief executive officer of NorAH, said 'Our investment team had identified the social and intermediate housing segment as fast growth segment with huge potential.'

'We believe the current shortage of affordable housing in Morocco and new government incentives to answer this deficit mean that this sector will experience major growth in the next few years,” he remarked.

DSC, part of Palmeraie Holding, a leader in luxury property development in Morocco, was successful in raising MAD1.1 billion, said Hisham Berrada, company spokesperson.

”We will work to further the development of DSC and its contribution to close the housing deficit in Morocco. We are excited to be partnering with NorAH, an international investor with extensive management experience and long term perspectivem,” he added.

Commenting on the DSC partnership, Al Saleh said, “We believe we have chosen the right partner to enter this segment.'

'DSC and its holding company have a long and successful track record in real estate development in Morocco and a very capable management team. This combination provides outstanding potential and we are delighted with the deal we have made with them,' he added.-TradeArabia News Service