GBCORP
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Investment Strategy

 
       

Private Equity & Venture Capital

 
     
Investors in the GCC region have an appertite for private equity investment with approximately USD 2.3 billion raised in private equity funs between 2002 and 2005
 
             
     

Private Equity & Venture Capital

 

Private Equity is a key element of GBCORP’s overall investment strategy offering investors diversification avenues that can reduce overall portfolio risk and focus on long-term investments.

 

Private Equity management includes a variety of investment techniques, strategies and asset classes that are complimentary to the stock and bond portfolios that are used by investors.

 

GBCORP carries out rigorous due diligence on potential investments ensuring that investments are relatively insulated from short-term valuation fluctuations associated with the public securities markets. Applying intensive risk management measures, investments in private equity have balanced risk and reward characteristics of an investment portfolio offering investors the opportunity to generate higher returns with improved portfolio diversification. Companies that are backed or acquired by private equity firms are often made more efficient and produce higher profits, which benefit not only the private equity firm but also the company.

 

GBCORP has a strong Private Equity management team with the professional expertise and experience in studying market trends and identifying opportunities. GBCORP aims to capitalize on the high levels of liquidity prevailing in the regional markets with the ability to create value and sustain growth within clearly defined exit strategies.

 

Venture capital is another aspect of private equity capital typically provided to early-stage, high-potential, growth companies in the interest of generating a return through an eventual realization event such as an IPO or trade sale of the company.

 

GBCORP provides Venture capital as an attractive investment instrument for new companies with limited operating history that are too small to raise capital in the public markets and are too immature to secure a bank loan or complete a debt offering.In exchange for the risk that venture capitalists assume by investing in smaller and less mature companies, venture capitalists usually get larger control over company decisions, in addition to a sizeable portion of the company's ownership (and consequently value).

 

Venture capital funds have a specified limited life cycle, with the possibility of a few years of extensions to allow for private companies still seeking liquidity. The investing cycle for most funds is generally three to five years, after which the focus is managing and making follow-on investments in an existing portfolio.

 

 

Financial Highlights

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