Today's Edition
A. SREENIVASA REDDY (ABU DHABI)
Abu Dhabi-based sovereign wealth funds accounted for six of the top 11 global transactions made by sovereign funds in 2024, according to the Sovereign Wealth Fund Institute (SWFI).
Among these six major deals, three were executed by Mubadala, two by the Abu Dhabi Investment Authority (ADIA), and one by the Abu Dhabi Developmental Holding Company (ADQ).
The biggest of the 11 transactions is the acquisition of developmental rights for Ras El-Hekma, a coastal region in Egypt located about 350 kilometers northwest of Cairo. Valued at $24 billion, the project will transform Ras El-Hekma into one of the largest city developments in the region. The massive development, spanning 170 million square metres, is set to become a next-generation city featuring tourism amenities, a free zone, and an investment zone. ADQ, leveraging its diverse portfolio and partnerships, envisions Ras El-Hekma as a premium international financial and tourism hub.
The second-largest deal, worth an estimated $12 billion, involves Mubadala's acquisition of CI Financial, a Canada-based mutual fund manager. The transaction will take CI Financial private and result in its delisting from the Toronto Stock Exchange. Founded in 1965, CI Financial operates primarily in Canada, the United States, and Australia, managing 518.1 billion Canadian dollars in client assets as of September 30, 2024.
The third notable transaction is Mubadala's investment in the Western Australia Urea Project, in partnership with Global Infrastructure Partners. This project is the largest of its kind in Australia and one of the largest urea fertiliser facilities globally, with an annual production capacity exceeding two million tonnes of urea. Mubadala’s share in the deal is estimated to at $2.1 billion by SWFI.
Another significant deal involves the acquisition of Saeta, a Spanish renewable energy company, by Masdar (a subsidiary of Mubadala) for $1.4 billion. Saeta is a prominent developer, owner, and operator of renewable power assets.
The fifth transaction involves a consortium of ADIA, CVC Capital Partners, and Nordic Capital acquiring Hargreaves Lansdown, the largest investment platform in the UK, for $6.9 billion. SWFI estimates ADIA’s share in the deal to be $1.242 billion. Upon completion in the first quarter of 2025, Hargreaves Lansdown, currently listed on the London Stock Exchange, will go private.
The final Abu Dhabi transaction listed by SWFI is ADIA’s acquisition of a minority stake in Fisher Investments, a US-based money management firm, in partnership with Advent International, a US private equity firm. ADIA’s share in the deal is estimated at $1.2 billion.
The remaining five deals include one by Singapore’s GIC Investment Fund, three by China’s Public Investment Fund (PIF), and another by the Qatar Investment Authority (QIA).
SWFI’s list highlights the dominance of Abu Dhabi’s sovereign wealth funds in the global investment arena, showcasing their strategic role in shaping major international transactions.
