How we invest
Investment philosophy
Our investment philosophy rests on disciplined capital allocation, careful management of risk and alignment of interests, and guides our approach to growth companies across the GCC, Asia and Europe.
Principles
Investment principles applied to every decision
We provide long-term capital to growth companies as a minority shareholder in private businesses preparing to list and as a cornerstone investor in listed markets. Our philosophy rests on four principles, each applied by our investment committee in Muscat to every decision.
Value creation
Value creation through earnings growth and entry price
We invest in well-managed, profitable companies, often founder-led, at a stage where capital and support can assist them in preparing for a public listing or their next phase of growth. We engage directly with management on governance, reporting, financial controls and technology readiness, focusing on the areas subject to scrutiny in a listing process and by institutional investors.
Our objective is that the value of our investment derives primarily from the company's earnings growth and the price at which we invest, more than from any gain realised at the point of listing.
Risk management
Preservation of capital
Preservation of capital is the foundation of our investment process. Every opportunity undergoes comprehensive legal, financial, commercial, tax and technology due diligence before consideration by our investment committee.
We test each company and portfolio against a range of market and currency scenarios, and we size positions with diversification across markets and sectors as a guiding principle. We define in advance the conditions under which we would exit an investment.
Primary and secondary markets
Investment before and after listing
We invest both before listing, as a minority shareholder in private companies, and in listed markets as a cornerstone or anchor investor in public offerings, qualified placements and block transactions. This allows us to follow a company from private ownership into the public market and to compare private valuations with those of listed peers.
Our research covers markets, sectors and companies across the GCC, Asia and Europe, with each view dated and sourced. Our research
Alignment of interests
Interests aligned with shareholders and management
Our founders and advisers apply their professional judgement and reputation to every transaction in which we commit capital. We report to our shareholders clearly and regularly, disclose any relationships that could give rise to a conflict, and apply a written conflicts protocol where required.
We seek the same alignment in our portfolio companies, favouring management teams with meaningful ownership stakes and a willingness to adopt governance practices suited to a listed company.