Mubadala Bullish On U.S.A.
Posted on 02/14/2024
Khaldoon Al Mubarak, Managing Director and Group CEO of Mubadala Investment Company with US$ 276 billion in assets, discussed the UAE’s trade relationship with the U.S. at the World Government Summit. He said the U.S. will remain a “very attractive market.” Continued growth and innovation is expected to help the U.S. on its path toward increasing prosperity, he reasoned. Creativity and access to talent was also highlighted. India was also mentioned for its technology and rapidly growing economy.
Mubadala has been in the midst of a pivot to Asia, but it is clear that America holds opportunities of interest. One of the biggest deals of 2023 was Mubadala acquiring New York’s Fortress Investment Group. Mubadala, through its wholly owned asset management subsidiary Mubadala Capital, inked a deal to acquire 90.01% of the equity of Fortress that is currently held by Japan-based SoftBank Group Corporation, who have been the owners of Fortress since 2017.
The estimated price tag is approximately US$ 3 billion. After transaction close, Fortress management is expected to own a 30% equity interest in the company and will hold a class of equity entitling Fortress management to appoint a majority of seats on the board. Mubadala Capital (which currently holds a 9.99% stake in Fortress through its Private Equity Funds II and III), will own 70% of Fortress equity.