Omniyat Investment Management (OIM), the newly established funds and asset management subsidiary of Dubai-based Omniyat Holdings, is working on launching two real estate funds worth Dh2 billion in the second half of this year.
The new company has been authorised by the Dubai Financial Services Authority to arrange investment deals, advise on financial products or credit and manage assets.
Omniyat Investment Management will use international investment banks for marketing the close-ended funds, Tan Wui Hua, Chief Financial Officer of OIM, told Emirates Business.
“We will probably be working with a multi-national investment bank, which will handle the private placement of the two real estate funds that will promote some of Omniyat Properties’ real estate units.”
When asked about expected returns on the funds, Tan said: “If you are short of 25 per cent no one looks at you.”
The company has a clear exit strategy, with listing being one of the options.
“We would opt for a concurrent listing on the DIFX and Singapore,” he said.
The initial funds will be seeded by assets from Omniyat Properties and will give external investors instant access to such premium quality assets, said Mehdi Amjad, Chairman, OIM.
“But OIM will be managed separately with clear Chinese walls to protect the interests of external investors investing in our funds,” he said.
“Investors placing money with us will enjoy immediate capital deployment and instant return on equity with no time lag – mitigating capital deployment risk,” said Ehsan Abbas, Chief Executive Officer, OIM.
“We are licensed at the Dubai Financial Services Authority and that will give all our investors the reassurance that we are subject to the highest global standards of corporate governance. We will go where our capital dictates and where we can leverage on the Omniyat Group’s expertise to deliver appropriate risk-adjusted returns to our investors,” Ehsan Abbas said.
Omniyat Investment to launch two realty funds