Ardian, a Paris-based alternative-investment firm, has committed $2.5 billion to a private equity portfolio deal with Abu Dhabi's Mubadala Development Company.
Mubadala Capital, the financial investment arm of Mubadala, announced the transaction in which Ardian will acquire an interest in a Mubadala Capital managed private equity portfolio.
The primary component involves Mubadala Capital’s establishment of a new private equity fund, in which Ardian will be a lead investor, a statement said.
This transaction marks the first time Mubadala Capital has accepted capital from third party investors, it added.
The secondary portfolio is comprised of an existing $2.5 billion private equity pool of Mubadala Capital owned and managed assets, in which Ardian has acquired a majority stake.
Mubadala Capital has also established a new $1.5 billion private equity fund with a focus on North America and Europe across multiple sectors, including sports, media, entertainment, consumer food, and energy infrastructure.
Waleed Al Mokarrab Al Muhairi, deputy group CEO and CEO of the Emerging Sectors platform at Mubadala Development Company said: "Managing funds on behalf of third-party investors is both an endorsement of our strong investment track record and part of a longer term strategy to further institutionalize the Mubadala Capital platform.
"We couldn’t be more pleased that Ardian is our lead investor as Ardian is a world-class investment firm that shares our perspective on value creation, and we look forward to building a long-term relationship with their organisation.”
Vincent Gombault, head of funds and private debt at Ardian, added: “This deal represents one of Ardian’s largest transactions with a sovereign wealth fund. We look forward to developing our relationship with Mubadala Capital, and continuing to support their team going forward.”
