UAE-based Alpha Dhabi has doubled its commitment to $1 billion in its private credit joint venture with Abu Dhabi wealth fund Mubadala Investment Company, the companies said in a statement on Monday, as the conglomerate eyes further growth opportunities in the asset class.
Alpha Dhabi will increase its ownership interest in the joint venture to 40% from 20% previously.
The joint venture – called MICAD Credit JV – manages approximately $1.7 billion in assets across 45 portfolio companies.
Investment mandate broadened to diverse global private credit strategies offered by Mubadala Capital’s long-standing relationship, the companies said.
“This expanded partnership with Mubadala Capital reflects our conviction in private credit as a strategic pillar of Alpha Dhabi‘s investment portfolio,” said Alpha Dhabi Holding Managing Director and Group CEO Hamad Salem Al Ameri.
In recent years, investment firms in the Gulf have expanded into the private credit space, a form of non-bank lending, typically involving direct loans to mid-sized companies, real estate developers, or asset-backed borrowers.
Mubadala Investment Company, among the biggest sovereign wealth funds globally, had assets under management of $385 billion at the end of last year.
Reuters
