Mubadala Deal Making Surges
Bloomberg Businessweek Middle East|16 August, 2018

UAE sovereign wealth fund uses extra scale to compete for deals

Mahmoud Habboush and Dinesh Nair, with Roger Field
While Saudi Arabia’s sovereign wealth fund might be attracting all the hype, business is brisk a little to the east in Abu Dhabi.

Mubadala Investment Co., which doubled in size after a tie-up with another local fund, is using its new scale to compete for global deals and sell assets. Since the start of 2017, it’s completed 31 deals, according to the Sovereign Wealth Fund Institute (SWFI), with more in the works. In comparison Saudi Arabia’s Public Investment Fund completed 16 deals.

“Mubadala has always been an active investor, but in the past two years the focus has been shifting away from operational assets to investing,” said Rachel Pether, a senior adviser at the SWFI. “Although Mubadala has a long-term horizon, it’s only natural that they monetise assets when the capital can be better deployed elsewhere.”

Created in 2002, Mubadala is part of Abu Dhabi’s effort to diversify its economy by turning oil revenue into profitable investments, while attracting technology and jobs to the emirate.

After combining with Abu Dhabi Investment Council in March, Mubadala became an entity with more than $250 billion of assets, enough to join an exclusive club of sovereign wealth funds and national state pension plans that compete globally with private equity for the largest acquisitions.

Continue reading your story on the app

Continue reading your story in the magazine

MORE STORIES FROM BLOOMBERG BUSINESSWEEK MIDDLE EASTView All

The Novo Abides

Mike Novogratz, former Goldman Sachs partner and the loudest crypto bull on Wall Street, has made and lost a fortune on Bitcoin. He’s still all-in.

5 mins read
Bloomberg Businessweek Middle East
1 January, 2019

Weaponizing Uncertainty

Trump’s tariffs were meant to make the U.S. a safe option for businesses looking to expand. It’s not working out that way.

4 mins read
Bloomberg Businessweek Middle East
1 January, 2019

The Immigration Hackers

An Obama-era department of techies is working to streamline paperwork from inside the Trump administration. Results are mixed.

4 mins read
Bloomberg Businessweek Middle East
1 January, 2019

Letter From London, March 2029

A message from post-Brexit Britain about what the 2019 split from the EU hasn’t delivered.

8 mins read
Bloomberg Businessweek Middle East
1 January, 2019

Saudi Weighs More Bank Mergers

Gulf bank consolidation trend gathers pace with Saudi plans.

2 mins read
Bloomberg Businessweek Middle East
1 January, 2019

Money Markets Mixed Over Fed Rate Hikes

There is little agreement among commentators as to whether the Fed will continue to hike rates in 2019.

1 min read
Bloomberg Businessweek Middle East
1 January, 2019

Hey, Paul Ryan, What's Up? Budget Deficits

The professed fiscal hawk leaves behind a legacy of unsustainable shortfalls.

4 mins read
Bloomberg Businessweek Middle East
1 January, 2019

Dell EMC Bullish On 2019 Outlook

Cloud and technology giant plans further expansion in the Middle East.

2 mins read
Bloomberg Businessweek Middle East
1 January, 2019

Artificial Intelligence Has Some Explaining To Do

Software makers offer more transparent machine-learning tools—but there’s a trade-off.

4 mins read
Bloomberg Businessweek Middle East
1 January, 2019

What Buffalo Got, And Didn't Get, When Tesla Came To Town

After $750 million in subsidies and years of delays, critics say Elon Musk hasn’t done enough for his solar panel factory

10+ mins read
Bloomberg Businessweek Middle East
December 16, 2018