The Abraaj Group
Cork Gully was engaged by one of the largest investor groups in connection with the collapse of the Abraaj Group, to represent and pursue the interests of those investors.
The Abraaj Group, established in 2002 by Arif Naqvi, was once the world’s largest emerging markets-focused private equity firm, managing USD 13.6 billion in assets across the EMEA region. Following significant losses, the group became the subject of an SEC investigation in 2018, with multiple regulatory and criminal proceedings subsequently initiated against certain fund principals.
Cork Gully was responsible for protecting the interests of the investors by investigating the historic dealings of the Abraaj Global Growth Markets Strategic Fund, reconciling secondary positions acquired in other funds managed by the Abraaj Group, negotiating with third parties, and litigating or settling potential claims where necessary. We also undertook all other actions required to safeguard and advance the collective interests of the investor group through the fund.
As part of its mandate, Cork Gully conducted a detailed forensic investigation of the fund’s records (to the extent available) in order to reconstruct its activities and defend the fund’s capital position in Abraaj Private Equity Fund IV, which was at risk of being extinguished by the replacement fund manager. Through these efforts, Cork Gully successfully preserved the funds’ existing interests and prevented an attempt to compel further capital contributions.
Cork Gully also protected the fund, and as a result its investors from unwarranted claims for substantial management and other fees asserted by the former manager, which the investors through the fund would otherwise have been required to pay.
Drawing on our extensive experience in investment fund restructurings, Cork Gully’s senior restructuring professionals were able to quickly and effectively protect investor value at a time when their interests were being challenged from multiple directions.