News

Mubadala to commit €1bn to French state fund

France, Paris, National AssemblyAbu Dhabi’s sovereign wealth fund (SWF) is set to invest €1 billion ($1.08 billion) in a French state-backed fund dedicated to providing capital for French companies facing activist investor campaigns. France’s finance minister, Bruno Le Maire, on a visit to the UAE, announced that Mubadala will be the first SWF to invest in the LAC I Fund. The investment vehicle which will be managed by France’s state fund Bpifrance. Le Maire said that the €1 billion investment “sends a strong signal”, adding that Bpifrance will match Mubadala’s investment. The LAC I Fund has been set up by the French government to provide funding for French companies facing campaigns from activist investors. The fund is set to launch in March with an initial €4 billion made up from additional capital commitments from institutional investors. Over time, Bpifrance aims to raise up to €10 billion for the fund and will deploy its capital on roughly 15 companies with an investment horizon of 10 years. Mubadala’s deputy group chief executive Waleed Al Mokarrab said that the firm has “a strong track record of performance in France” and continues to see “significant investment opportunities in the market”. In November 2017 Mubadala and Bpifrance teamed up to launch a €1 billion investment platform targetting French private companies. © 2020 funds global mena

Sponsored Profiles

There’s no doubt that Africa has been seen increasingly as an attractive prospect for inbound investment in recent years, with investors seeing real potential in the continent, particularly in the private equity, infrastructure and real estate asset classes, as it experiences strong economic growth.

Plausible explanations exist for why low-volatility stocks perform better than their high-volatility counterparts.

Aberdeen Asset Management has set up its first Middle East office in the newly established Abu Dhabi Global Market. Andrew Paul, senior executive officer, explains why.

A recent sovereign bond issue from Saudi Arabia underlines the appeal of emerging market investing. What must investors consider when allocating to this asset class? Firas Mallah of BMO Global Asset Management shares his views.

Executive Interviews

INTERVIEW: ‘Financing is the blood of Iran’s economy’

Amid a fresh wave of American sanctions, Romil Patel spoke to Meysam Hamedi, director of financial markets and instruments at Iran’s Securities & Exchange Organization (SEO).

INTERVIEW: Totally mega

In 2016, global consulting firm PWC forecast the emergence of five global ‘megatrends’ in the next two decades. Stephen Anderson, its Middle East clients and markets leader, talks about their...

INTERVIEW: Protecting the investment

Rasmala’s trade finance fund recently passed $100 million in assets. Doug Bitcon, head of credit strategies, explains why he has to be hands-on.

EXECUTIVE INTERVIEW: A natural interest in the topic

Since 2016, Guillermo Ortiz has been a chairman of Latin America’s BTG Pactual. The former central banker of Mexico talks to Nick Fitzpatrick.

Roundtables

Middle East Investor Roundtable 2020: Dimensions of diversification

Investors in the Middle East consider the tools that will be needed to navigate the Covid-19 crisis, the continued appetite for dividend and why it’s all about tech. Chaired by Romil Patel.

South Africa asset management roundtable: Global rebound on ice

Experts discuss the investment implications of the coronavirus pandemic, a delayed rebound in global growth and dealing with South Africa’s energy issues head on. Chaired by Romil Patel in Cape Town.

South African roundtable: Taking the bull by the horns

Our panel discusses Chinese investment in Africa, financial institutions’ contribution to economic sustainability and regulatory concerns. Chaired by Romil Patel in Cape Town.

ROUNDTABLE: Hooked to the global caravan

With the MENA region at a tipping point, our panellists talk about economic diversification, the impact of regulation and the delayed Saudi Aramco listing. Chaired by Romil Patel in Dubai.