Abraaj Capital, the most dominant private equity firm in the Middle East, has beefed up its operations by acquiring the UK's Aureos Capital.
Post-deal, Abraaj will have $7.5bn (€5.7bn) under management, access to 30 frontier markets and 153 investments.
Aureos manages $1.3bn worth of investments in Asia, Africa and Latin America and has made more than 250 deals in the past 20 years.
As part of the arrangement, Aureos will retain its brand and take on Abraaj’s existing $650m SME platform, Riyada Enterprise Development.
Abraaj is headed up by chief executive Arif Naqvi, who joined in 2002 after he started his career at accountancy firm Arthur Andersen in London in the early 1980s.
He later returned to Pakistan to set up the country's first investment banks and a private equity house called Cupola.