Bahrain-based Islamic investment bank GFH Financial Group (GFH) has successfully closed its Global Tech Opportunities II offering, comprising of investments in a portfolio of the pre-IPO stage, high-growth firms that specialize in next-gen technologies.
According to the statement, the portfolio offers diversified exposure to tech verticals that are at the forefront of the global digital revolution giving it minority stakes in Automation Anywhere, Tanium, StockX, Rapyd, Scopely, Robinhood, Kraken, Lyra Health, and Klaviyo, among others. GFH has invested in the portfolio alongside strategic partners, which include leading and emerging tech-focused asset managers.
The firms operate in some of the most disruptive tech sub-sectors benefiting from secular trends in digital adoption such as cloud and enterprise software, cybersecurity, fintech, mental health, eCommerce, and mobile gaming.
Further, the companies are driven by highly capable management teams, command a leading position in their respective domains, and are operating at scale across multiple geographies. The venture is expected to provide GFH and its investors with favorable profits.
“This transaction marks GFH’s fourth major technology investment offering and second in the US in under a year. It is an area where we continue to focus and strategically expand our portfolio. This investment offers diversified exposure to high-growth, late-stage pre-IPO businesses with wide economic moats that make it a unique and compelling proposition. Tech is shaping the future of human society and has brought fundamental changes across economic sectors and businesses. It is no wonder that it continues to be one of the best performing and resilient sectors.”
Before this investment, GFH successfully closed its first portfolio offering in the pre-IPO tech space in the fourth quarter of 2020. “Already, three of the portfolio companies of that vintage, i.e. Snowflake, UiPath, and Doordash, have had successful IPOs on the New York Stock Exchange and are currently trading at between 4x to 6x of their late-stage private funding rounds,” as per the reports.
“As we come out of the COVID-19 crisis, we are actively investing in businesses that will benefit from strong economic growth and are backed by robust long-term fundamentals. GFH will continue to draw on its deep experience in software, fintech, eCommerce, and healthcare to build a transformational technology investment platform,” Mr. Younas added.
Related: Bahrain’s GFH acquires mission-critical FedEx facility in Ohio, US