Abraaj Raises $52 Million From Orascom Construction Stake Sale
(Bloomberg) -- Abraaj Group sold its entire stake in Egypt’s Orascom Construction Ltd. as the private equity firm seeks to restructure amid allegations of misused funds.
The Dubai-based company sold its 5.4 percent holding in Orascom Construction at $8.30 per share, according to a statement on Nasdaq Dubai. The value of the stake is $52 million.
Abraaj has been under pressure since February when some of its investors commissioned an audit to investigate the alleged mismanagement of money in its health-care fund. Kuwait’s Public Institution for Social Security last week filed a petition for the liquidation of the holding firm.
The buyout firm, which once managed almost $14 billion for institutions and supranational agencies from the U.S., U.K. and other countries, faces growing concerns about its viability and impending loan repayments.
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