Tadhamon Capital in $28m UK acquisition
Manama, November 29, 2010
Bahrain-based Islamic investment company Tadhamon Capital has announced the successful acquisition of Coxlease School in the UK by a consortium of investors.
The transaction is valued at £17.5 million ($28 million). Tadhamon Capital advised on the transaction and acted as an arranger of the financing.
The Coxlease Special Needs School is situated south of London in the New Forest
in Lyndhurts, Hampshire. It is a specialist residential school for boys aged nine to 18 with severe behavioural, emotional, social and learning difficulties and is run by the Priory Group.
The school was acquired at a net initial yield of 7.8 per cent and will generate an attractive average cash yield of around 9 per cent to its investors, with a 30-year lease guaranteed by the Priory Group.
“The Coxlease acquisition marks the first of a number of UK deals which we intend
to close over the next two to three years,” said Tadhamon Capital chief executive officer Waleed Abdulla Rashdan.
“These transactions should diversify the portfolios of our shareholders and investors, providing them with exposure to the social infrastructure sector.”-TradeArabia News Service