Saudi investment opportunities beat competition; AUM at $60B: Investcorp

Investcorp Saudi Arabia board member Yusef Al Yusef said that Investcorp currently has around $60 billion in assets under management in Saudi Arabia, distributed across three main sectors

Investcorp Saudi Arabia board member Yusef Al Yusef said that the Saudi market offers multiple investment opportunities, making it a strategic destination for both local and international investors.

In an interview with Argaam, he said that the Kingdom offers a growing appeal for private investments, supported by a regulatory environment comparable to developed markets, as well as a strong government backing.

Al Yusef explained that Vision 2030 projects have made Saudi Arabia one of the world’s leading investment destinations, with significant support provided to private equity firms and investors.

Moreover, there is growing openness and awareness of the importance of forming partnerships between family-owned businesses and specialized investment firms such as Investcorp, he stated.

Al Yusef clarified that the evolving environment is creating attractive opportunities, whether through direct sales deals or listings on the stock market.

He pointed out that Investcorp currently has around $60 billion in assets under management in Saudi Arabia, distributed across three main sectors: private equity, debt instruments, and real assets, including real estate and infrastructure.

Al Yusef said the company has been operating in the Kingdom since 2009 and is considered one of the largest non-local investors in private equity. It has invested in more than 12 Saudi companies and executed four local market listings, in addition to launching specialized portfolios in private equity and infrastructure.

The senior executive further explained that the company’s investments in Saudi Arabia align with the priorities of Vision 2030 and span sectors such as healthcare, logistics, infrastructure, technology, and e-commerce.

The Kingdom is a cornerstone in Investcorp’s strategy, Al Yusef said.

He revealed that several deals are currently under negotiation and will be announced soon, explaining that Investcorp aims to build alliances with Saudi financial institutions to reach a broader base of local investors.

The board member also noted that the company sees promising opportunities in other emerging markets such as the GCC, India, Southeast Asia, and certain sectors in China, particularly in technology, healthcare, education, food security, and logistics.

He emphasized that the company invests with a medium- to long-term vision of five to 10 years, capitalizing on macro trends in these sectors.

Al Yusef further indicated that the GCC economies have demonstrated resilience, thanks to income diversification policies and reduced reliance on oil. The move has created significant opportunities for the private sector and increasing investor appetite for alternative investments such as private equity, real estate, and infrastructure, alongside a growing interest in AI and modern technologies.

Speaking on debt instruments, he explained that rising interest rates have had a positive impact on this sector, which represents around 45% of the company’s assets, approximately $24 billion, as most instruments are structured with variable interest rates, leading to increased returns. He stated that the company attracted over $4 billion in debt instrument investments during 2025.

As for the private equity sector, Al Yusef confirmed that the impact of higher interest rates was limited, as the firm’s investments carry low leverage (only 30–35% of total value) and enjoy strong cash flows.

He said that the real estate impact was also limited, thanks to a strategic decision to exit offices, hotels, and retail centers, with a focus on family and student housing, as well as industrial warehouses.

Additionally, geopolitical tensions have not disrupted the company’s regional strategy, he stated, affirming strong confidence in GCC leaders and their ability to control regional imbalances.

Meanwhile, Al Yusef noted that Investcorp attracted new foreign capital last year from Chinese state-owned companies and European financial institutions to invest in the Kingdom.

The infrastructure sector presents an exceptional opportunity with low risk levels, he said, adding that Saudi Arabia offers vast potential in this field, especially with family-owned businesses showing greater openness to partnerships.