Recognized as a visionary in the financial sector, Abdeslam Ababou has guided his company since 2004, turning it into a success story. In this interview, he shares the key steps in Red Med Capital’s growth, the creation of its subsidiaries, and the emergence of its latest entity dedicated to real estate. An overview of a rapidly expanding group. Details.
Red Med Capital is an investment bank that has experienced sustained growth in recent years; could you remind us of the key milestones in this development?
Our story began in 2004 with the creation of Red Med Finance, specializing in corporate finance and financial advisory. We took part in major transactions in sectors such as transport, retail, and the pharmaceutical industry, and from 2009, in the renewable energy sector. In fact, 2009 was a pivotal year in our development as we became involved in renewable energy by advising top-tier international and national developers.
In 2011, we created Red Med Asset Management, an asset management company, and launched three UCITS (Undertakings for Collective Investment in Transferable Securities) to enter the capital markets. Similar to the investment bank, Red Med Asset Management has experienced significant growth, starting with assets under management of less than 200 million MAD, which have now reached 19 billion MAD. Between 2011 and 2020, we strengthened these two subsidiaries by recruiting high-quality human resources, improving our processes, and enhancing our expertise. These elements allowed us to establish governance according to the highest standards.
On this basis, in 2020, we decided to accelerate our growth and cover all areas of investment banking within three years. We started with private equity by creating Red Med Private Equity, a private equity management company (OPCC), with its first fund dedicated to SMEs. Columbus 1 is in an advanced implementation phase, and we are working on launching additional funds aimed at high-potential sectors such as digital.
In 2021, we acquired Mena CP, a brokerage company offering services in securities trading, stock brokerage, and account management. Renamed Red Med Securities, this company is now one of the most active brokers on the Casablanca Stock Exchange.
In 2022, we created Red Med Real Estate to address the real estate sector through advisory services, project structuring and development, and asset management. We launched this activity with the development of two flagship projects in partnership with the Mfadel group. So, I am proud to say that, after 20 years, we are a fully integrated independent group, benefiting from synergies between different business lines.
Could you give us a brief overview of the various businesses of Red Med and the opportunities each subsidiary offers?
Through its five subsidiaries, Red Med Capital covers all areas of investment banking in Morocco. Red Med Corporate Finance offers M&A services, financing, and strategic advisory. We also advise major developers on renewable energy and green hydrogen projects and have gained solid expertise across the entire value chain (advising on over 1,100 MW of solar and wind projects now in operation). Opportunities are linked to the scaling up of our economy, which will require, among other things, the consolidation of certain sectors through corporate mergers and the provision of innovative and competitive financial tools.
Red Med Asset Management offers, through its 13 UCITS, investment solutions covering the full range of institutional, corporate, and individual needs to optimize the return on their savings. Regulatory changes should generate new opportunities with the opening of new investment vehicles to investors as well as UCITS denominated in foreign currency. Red Med Private Equity is a private equity management company (OPCC) targeting Moroccan SMEs in high-consumption sectors, with investment amounts between 30 and 90 million MAD. Columbus 1 has already invested in three companies (Groupe Raji, Brior, and Eriser) and is currently evaluating new investments. Opportunities are plentiful in an economy where SMEs represent 93% of companies and are often undercapitalized. Private equity is a complement to bank financing and offers companies the opportunity to implement the best management standards with the support of our teams and partners.
Red Med Securities, a brokerage firm that has already executed several major transactions (nearly 3 billion MAD placed in 2023 and 2024), has all the resources to facilitate market operations, thereby strengthening the financial means of our companies. Additionally, Red Med Securities, where fintech is a priority, has developed an online trading platform to make the stock market more accessible to a wider audience.
Red Med Real Estate offers advisory, development, and real estate asset management services. We are convinced that our vision, combining Mfadel’s proven industry expertise with our financial expertise, addresses the main challenge in this sector: providing tailored products that sell quickly. Our natural and complementary alliance allows us to achieve better financial costs while selecting the best suppliers at the most competitive prices. Red Med Capital thus has a complete toolbox to support companies looking to expand in Morocco or assist Moroccan businesses in their growth.
What links do Red Med Capital’s services have with the needs of the Moroccan economy?
Our economy is currently undergoing significant change. When an economy evolves at this pace, it’s essential for private operators to adapt. The state has made enormous efforts over the last 20 years, including substantial public investments and an extremely attractive investment charter. To succeed in this evolution and scale up, our companies must have the best tools, innovative and efficient, suited to their sectors.
In this context, in addition to the financing provided by a robust banking system, it is essential that more companies fund themselves through capital markets via IPOs and/or bond issuances. Furthermore, in terms of wealth management, it is crucial for large families and groups to maximize resource optimization, which represents additional sources of financing.
Finally, we have major upcoming sporting events, such as the Africa Cup of Nations in 2025 and the World Cup in 2030, which will require massive investments. This is a national project that will need the contribution of all stakeholders. The goal is to present the best image of our country, encouraging visitors to return as tourists and investors. The public sector is doing remarkable work, and the private sector must be ready to meet the challenge. This is a real opportunity.
Regarding the latest subsidiary, Red Med Real Estate, a luxury residential project, Sohaus, was launched last May. Could you tell us more?
In this business, we decided to start by developing two large-scale, high-end projects with our strategic partner, Mfadel, to meet the demands of a discerning clientele.
The first project is an exceptional residential development facing the sea, right in the heart of Domaine d’Anfa, two minutes from Morocco Mall. It offers 300 luxury apartments with 2 to 5 bedrooms ranging from 89 to 300 square meters. Sohaus also offers residents an array of exclusive amenities and services (coworking space, fitness center, rooftop pool, etc.). Prices range from 2 to 10 million MAD. Pre-sales began last May, and we plan to deliver the complex on time.
The second project is a 32-story tower with CFC status, offering office spaces for sale from 50 to 750 square meters. These offices will be part of a service-rich environment with modern management and social facilities.
We are confident that our comprehensive approach to real estate development, combining industry and financial expertise, will enable us to develop ambitious projects to the highest quality standards, on optimized timelines, and at very competitive prices.
What, in your opinion, are Red Med Capital’s strengths?
The two main strengths of Red Med Capital are its human resources and its governance. The group has eight partners/colleagues and is composed of a homogeneous, complementary, and diverse team in all respects, united by strong values: hard work, loyalty to our clients and colleagues, and the pursuit of performance. This team was built gradually, recruit by recruit, and is distinguished by its effectiveness, cohesion, and passion for collaborative work. We are proud to have created our employer brand and attracted top professionals in finance.
In my opinion, Red Med Capital’s other strengths lie in the strong expertise within its business lines, allowing us to offer high-value-added services to our clients and in our independence, which lets us prioritize only the client’s interests.
Corporate social responsibility is close to our hearts. It is essential to adhere to the highest standards in governance while considering social and environmental issues. We have received the CGEM’s CSR Label and are a member of the United Nations Global Compact initiative.
Finally, the group’s most important asset, which I believe is essential for sustainable progress in this field, is our reputation. From the beginning, we have highlighted our values centered around ethics, transparency, and integrity.