Abu Dhabi-headquartered Gulf Capital announced on Tuesday the acquisition of two healthcare technology companies in the United States for $60 million, and its CEO said the investment firm is looking to expand over the coming year.
Gulf Capital, which manages over $2.5 billion in assets, said it had completed the purchase of majority stakes in U.S.-based Eclat Health and Hansei Solutions, which specialise in revenue cycle management solutions for healthcare providers.
The investments were worth $60 million roughly evenly split, Gulf Capital CEO Karim El Solh told Reuters.
"Our focus on healthcare has paid off very nicely because it’s been one of the very few sectors that’s been growing during the pandemic," he said. "The other two sectors that are doing very well for us are technology and payments."
Gulf Capital's third private equity fund, worth $750 million, has been 78% deployed, El Solh said.
"Next year we hope to come to market with a new fund," he said, adding the company plans to add about 10 people to its 50 employees.
The new private equity fund, which it plans to launch next year, would be roughly the same size as the third fund, he said.
The firm is also planning new fundraising next year for private debt investments.
"SMEs (small and medium-sized enterprises) are looking for financing, the region has one of the lowest SME financing rates, and they need growth capital," said El Solh.
There's "definitely big thirst and need for liquidity for these companies during the pandemic", he said.
(Reporting by Davide Barbuscia; editing by Jason Neely)
