Riyadh - Sharikat Mubasher: Brookfield, one of the world's largest alternative investment management companies, announced the first close of the PIF-anchored Brookfield Middle East Partners (BMEP) fund, raising approximately $2 billion from strategic anchor investors, including PIF and other global and regional institutional partners.

The investment represents another step in the PIF’s strategy to deepen and diversify the Saudi capital market by partnering with global investors on commercially attractive opportunities, empowering financial institutions, broadening financing options for local businesses and introducing new products, the sovereign fund announced in a press release yesterday.

BMEP is a new private equity fund dedicated to investing in businesses based in Saudi Arabia and the wider Middle East region. It leverages Brookfield’s expertise through its offices in Riyadh and across its broader global network to pursue buyouts, minority growth equity and other investment opportunities across a range of sectors including financial, business and consumer services, industrials, technology and healthcare.

Capital from the fund will be allocated to investments in the Middle East with a focus on the GCC in high-growth markets. The fund targets allocating 50% of its investments in Saudi Arabia, as PIF continues to attract capital inflows.

Yazeed Al-Humied, Deputy Governor and Head of MENA Investments at PIF, stated that the partnership with Brookfield aims to help anchor international private equity into Saudi Arabia and the region and accelerate deal flow, while continuing to bring world-class expertise to the local capital market ecosystem.

“PIF continues to build upon Saudi Arabia’s position as a global hub for investments, through partnering with international industry leaders to drive product innovation and ensure further access to local opportunities,” he added.

Brookfield is committing $500 million to the fund consistent with its longstanding approach of ensuring alignment with its partners.

Commenting on this milestone, Bruce Flatt, CEO of Brookfield Corporation, stated: “We are grateful for the collaboration with PIF and our other strategic anchor partners, reflecting the global confidence and strong demand for private equity opportunities in Saudi Arabia and the region. Brookfield has been active in the Middle East for nearly three decades, and we bring deep local investment expertise, local networks and an owner-operator approach to transforming high-quality businesses. We see a compelling opportunity to partner with businesses across the region and position them for long-term growth.”

As part of this initiative, Brookfield will launch the Brookfield Academy available in Saudi Arabia. Founded in 2019, the Brookfield Academy provides interactive learning opportunities for Brookfield partners’ professionals.