Abraaj raises US$191 million for Mexico investment

Private equity firm Abraaj Group has raised US$191 million through Mexican publicly traded certificates for investments in the country, it said on Tuesday.

Certificates of Development Capital (CKD) will be used to invest in mid-sized Mexican businesses that have strong growth potential and which show capabilities of regional and international expansion, Abraaj said in a statement.

Target sectors for the CKD include retail, fast-moving consumer goods, healthcare, education, logistics and financial services. Abraaj said the first transaction using the development capital may be closed by the end of the year.

Abraaj is a Dubai-based private equity firm which tends to focus on emerging markets. In recent transactions, Abraaj with TPG Capital purchased a majority stake in Saudi Arabian fast-food chain Kudu earlier this year.

Abraaj has made 14 investments worth US$350 million in Mexico, Colombia and Peru in various sectors since 2007, it said.