Investcorp Capital Delivers $360 Million Return from U.S. Real Estate Sale
Deal News | Apr 08, 2025 | Zawya
Investcorp Capital plc, listed on the Abu Dhabi Securities Exchange under the symbol ICAP, has sold its U.S. National I Portfolio of industrial real estate for $360 million, marking an approximate 40% increase over its initial purchase price of around $262 million just under four years ago. The portfolio, which includes investments across six states totalizing 2.3 million square feet, was sold to leverage the strong industrial capital market and robust property fundamentals. This divestment achieved an Internal Rate of Return of 12% and a 1.4x Multiple on Invested Capital, surpassing the anticipated 8.5% IRR. Properties part of this sale included the Tempe Commerce Park, Minneapolis, Florida, California, New Jersey, and Nevada industrial portfolios. Mohammed Aamer, the company’s interim CEO, cited that the sector's growth, influenced by e-commerce expansion and limited new supply, validated the successful execution of their investment thesis. Investcorp Capital aims to continue exploring opportunities in the industrial sector, stressing its capacity to deliver long-term value despite economic fluctuations.
Sectors
- Real Estate
- Private Equity and Alternative Investment
Geography
- United States – The industrial real estate portfolio sold by Investcorp Capital is based in the United States, spanning six states.
- Abu Dhabi, UAE – Investcorp Capital is listed on the Abu Dhabi Securities Exchange and is managed by the Bahrain-based Investcorp Group.
Industry
- Real Estate – This article pertains to the real estate industry, focusing on the transaction of a US-based industrial portfolio investment by Investcorp Capital.
- Private Equity and Alternative Investment – Investcorp Capital operates within the private equity and alternative investment sector, engaging in strategic asset management and capital allocation for robust shareholder returns.
Financials
- $360 million – The aggregate sale price for the U.S. National I Portfolio sold by Investcorp Capital.
- 12% IRR – The internal rate of return achieved from the portfolio's sale.
- 1.4x MOIC – The multiple on invested capital realized from the portfolio's sale.
- $262 million – Initial purchase price of the U.S. National I Portfolio by Investcorp Capital.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Investcorp Capital plc | Seller | Company | A company listed on the Abu Dhabi Securities Exchange, known for its focus on private markets and alternative investment opportunities. |
| Investcorp Group | Parent Company | Company | The founder of Investcorp Capital, a leading independent manager of alternative investments with substantial assets under management. |
| Mohamed Aamer | Interim Chief Executive Officer | Person | Interim CEO of Investcorp Capital, providing commentary on the strategic sale of the portfolio. |