Alternatives manager Gulf Islamic Investments (GII) has bought a majority stake in property investment platform London House Exchange (LHX), with plans to use it to offer Shari’ah-compliant private credit.

UAE-based GII, a Shari’ah-compliant alternatives investor with more than $3bn (£2.3bn) in assets, acquired the stake from Nasdaq-listed Better Home & Finance Holding Company after the deal was approved by the Financial Conduct Authority (FCA).

LHX is a regulated exchange for fractional investments in UK property.

GII said it would take the platform beyond UK property into a wider range of alternative investments, focusing on Shari’ah-compliant income-generating investments, private credit and equity-linked products through an originate-to-distribute model.

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“Together, we aim to broaden the range of investment opportunities available to clients and further strengthen LHX’s position as a leading regulated marketplace for alternative investments,” said Anand Periwal, chief operating officer for financial services at GII.

GII also said it wanted to expand LHX’s geographical reach and explore regulated tokenisation as part of the platform’s next phase of development.

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“With LHX, GII is making its second strategic investment in the UK financial services sector, building on our investment in Offa, the FCA-regulated Sharia-compliant home finance provider,” said Utpal Shah, group chief financial officer at GII.

“Alongside Vision Bank, our wholly owned licensed digital Islamic bank in Abu Dhabi, and our expanding private credit platform across the GCC, LHX further advances our ambition to build a globally connected financial services platform.”

Better will remain in LHX as a strategic minority shareholder.

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