Abu Dhabi public joint stock company Mubadala Development Company has held a first close on $300 million for the Mubadala Infrastructure Partners Fund.
Mubadala, General Electric and Credit Suisse are principal investors and sponsors of the fund, which will be managed by Mubadala. The fund is targeting a final close on $500 million, according to media reports.
The fund, focused on the MENA region and Turkey, will invest in sectors such as power, water, utilities, social infrastructure, telecommunication infrastructure and transportation, Mubadala said in a statement.
The MENA region requires more than $100 billion-worth of investments in infrastructure through public private partnerships over the next five years, according to a study by accounting firm Ernst & Young.
The development of the infrastructure sector will continue to be a critical driver of economic growth in the region, said Waleed Al Mokarrab Al Muhairi, Mubadala chairman.
Established in 2002, Mubadala invests in aerospace and technology, energy and industry, healthcare, real estate and hospitality, infrastructure and services. It has approximately $10 billion in assets under management and its sole shareholder is the government of the Emirate of Abu Dhabi.
In 2007, Mubadala bought a 7.5 percent stake in global alternative investment firm the Carlyle Group, for $1.35 billion. It also acquired a 10 percent stake in buyout giant Apollo Global Management, for $1.5 billion.
Mubadala could not be reached for comment.