Investcor to buy 25% minority stake in Leejam business
Leejam was established in 2007 by CEO and founder Abdulmohsen Al Haqbani. The company today employs over 1,400 people and operates over 62 locations currently in Saudi Arabia and 22 branches under construction (two of which are in Dubai). Fitness Time is currently the largest network of Sports and Fitness clubs in the Middle East.
Investcorp's $1 billion Gulf Opportunity Fund invests in companies in the GCC and Turkey as well as the wider MENA region. Its investment in Leejam, follows a recently announced a 38% investment in AYTB, which was preceded by a 35% stake in Kuwait's Automak and a 30% stake in Orka Group, one of Turkey's leading and fastest growing menswear retailers. Last year, the Gulf Opportunity Fund successfully exited from its first investment in UAE-based Redington Gulf.
"Leejam is the Fund's third investment in the Kingdom and ninth in the wider region. This investment reaffirms our commitment to supporting regional businesses that are committed to grow and expand. We are happy to partner with Leejam and we believe that our combined efforts will result in even more success for the company," said Mohammed Al Shroogi, Investcorp's president of Gulf Business.
"A key focus for our team will be to help generate additional growth opportunities for the business, while at the same time working with the management to consolidate the foundations, resources and infrastructure that are needed to support and ensure sustainable growth," said Walid Majdalani, managing director of Investcorp Corporate Investments-MENA.
"We are delighted to be partnering with Investcorp, as we believe this will provide our business with the additional resources and expertise to continue to strengthen our brand, consolidate our position in our domestic market and facilitate potential growth across the Middle East," said Leejam founder and CEO Abdulmohsen Al Haqbani. ■