Insane? Actis proposes to buy Abraaj for $1

abraaj

In the wake of the looming collapse of Abraaj Holdings, there are wild developments surrounding the bidding process to sell the fund management company.

There are indications that Actis, an emerging market investment company is said to have submitted a bid of $1 to buy Abraaj Holdings.

According to a Bloomberg report, other private equity firms such as Helios, Vistria Group, Rohatyn Group, Kuwait’s Agility Public Warehousing Co. and Abu Dhabi Financial Group have all submitted their bids.

If it is true, the $1 bid for Abraaj will be very instructive to know bearing in mind that Abraaj was managing assets to the tune of $14 billion in its glory days.

Bloomberg also reported that there are offers from different quarters. The medium reported that Colony Capital Inc., whose earlier bid for Abraaj’s entire fund business was rejected, made an offer for its Latin American operations, while Helios Capital Management is bidding for the Africa platform, they said. NBK Capital, the investment banking unit of National Bank of Kuwait, made an offer for Abraaj’s Middle East and North Africa business.

What appears to be certain is that Abraaj could be sold for next to nothing to its shareholders and its creditors might have to wait longer for their money.