Oaktree Provides Debt Support to Arzan for Gulf Growth - InforCapital

Oaktree Capital Management has committed debt financing to Arzan Investment Management (AIM), marking a decisive entry into the Gulf region’s accelerating private credit sector. The exact financial terms are undisclosed.

This injection will empower AIM to advance its acquisition agenda in Gulf hospitality and real estate markets. In Dubai, AIM already closed two deals totaling around USD 400 million. The firm has flagged an additional USD 1 billion of potential investments across the region.

Talal Al Bahar, AIM’s chairman, described the deal as a milestone in the “institutionalisation” of regional markets, reinforcing the Gulf’s growing appeal to global credit investors. This partnership underscores how private credit is emerging as a strategic financing tool in the region.

Oaktree’s participation reflects a broader shift: alternative asset managers are increasingly channeling private credit into the Middle East, supplementing traditional banking. Saudi Arabia’s Public Investment Fund recently anchored new debt and equity vehicles with global partners to target opportunities across the GCC. Similarly, Mubadala of Abu Dhabi partnered with Goldman Sachs in a US $1 billion private credit initiative focused on Asia Pacific, signaling cross‑regional ambition.

In the Gulf specifically, the private credit market is gaining traction. PwC projects the GCC and Egypt private credit sector may grow at a compound annual rate of 15–30 % in coming years. Meanwhile, early deals are already emerging: in 2024, Property Finder (a GCC real estate technology platform) secured a USD 90 million debt package from Francisco Partners. These deals reveal how private credit is stepping in to finance mid‑sized growth companies and underserved sectors.