Dubai – Mubasher: The US-based Cerberus Capital Management has withdrawn its $25 million bidding offer for the right to manage The Abraaj Group’s platform as its offer was turned down by liquidators of the Dubai-based private equity firm, sources familiar with the matter said.

It has been confirmed by a representative for the joint provisional liquidators of Abraaj that Cerberus has pulled out of the bidding process after not getting enough support from investors of the UAE-based group, according to Arabian Business.

“We are committed to ensuring the stability of Abraaj Holdings and Abraaj Investment Management and are making the necessary provisions to ensure that all employees remain motivated and focused on achieving stable returns within the portfolio against a backdrop of support in relation to their salaries and end of service benefits,” the joint provisional liquidators said in the statement.

On the other hand, a representative for Cerberus declined to comment.

It is worth noting that Cerberus had made a $25 million bid for Abraaj’s asset-management platform, the lowest among several bidders.

Meanwhile, York Capital Management has offered around $400 million in bid, including $350 million to buy Abraaj’s stakes in some of its private equity funds and the rest for the asset-management platform, sources said.

Abraaj has been in turmoil following alleged disputes with four investors, including the Bill & Melinda Gates Foundation and International Financial Corporation (IFC) that it misused money in the healthcare fund.

Cayman Islands court had approved a request submitted by Abraaj Group for a provisional liquidation of its business, allowing for a court-supervised restructuring and the protection of stakeholders’ rights.