Gulf Capital and NBK Capital funds successfully exit Jordan’s Classic Fashion Apparel Industries
Funds advised by Gulf Capital and NBK Capital Partners, have announced a full and successful exit of their growth capital facility in Jordan’s Classic Fashion Apparel Industries (Classic Fashion). The exit was financed with support from a leading global bank, which provided new facilities to the company for debt refinancing and further expansion.
This exit represents Gulf Capital’s third realisation in 2021 and demonstrates the firm’s ability to provide flexible growth capital to support the ambitious growth of market leaders across the Middle East and Africa. Gulf Capital has a long and proven track record of investing in Growth Markets, having closed 36 investments since inception. The Firm currently manages over $2.5 billion in assets across seven funds and investment vehicles.
This exit also represents the ninth successful realisation for private credit funds advised by NBK Capital Partners. Headquartered at Dubai International Financial Centre, NBK Capital Partners has advised on investments of more than US$1.2 billion and has a track record of 18 profitable realizations from 36 investments, the highest number of profitable exits by an alternative investments firm in the region over the past decade.
At the time of the investment in April 2018, Gulf Capital and NBK Capital Partners partnered with Sanal Kumar, the founder of Classic Fashion, to provide the company capital for production expansion and to support a refinancing plan. During this period, the company grew its revenues from US$ 450 million in 2017 to more than US$ 600 million in 2020.
Sanal Kumar, Chairman and Managing Director of Classic Fashion, stated, “Our partnership with Gulf Capital and NBK Capital Partners gave us access to growth capital at a critical juncture, which enabled us to grow our capacity, meet the demands of our international clients and increase our contribution to the Jordanian economy. We are thankful for the support of both Gulf Capital and NBK Capital Partners’s management teams along our journey of success.”
Founded in 2003, Classic Fashion has achieved impressive growth and is now a recognised international industry player with longstanding relationships with global retail giants such as Walmart, Under Armour, Adidas, American Eagle, JC Penney, Hanes, and GAP. The company accounts for a 30 percent share of Jordan’s apparel exports, thus continuing to contribute significantly to the country’s economy. Classic Fashion today employs more than 30,000 staff and is the largest private sector employer in Jordan.