?? Good morning, Smashi Business Readers!
In today’s update, Apollo and Mubadala have extended their multi-billion-dollar partnership, aiming to enhance their global origination capabilities to meet growing demand for private financing. Meanwhile, BlackRock has expanded its footprint in the Middle East, securing a commercial license in Abu Dhabi and advancing plans to support AI and sustainable investments. Lastly, Pure Harvest Smart Farms continues its international growth, targeting climate-resilient farming solutions with expansions into the US, Mexico, Morocco, and Singapore, while preparing for a potential IPO by 2028.
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???? Apollo and Mubadala Extend Multi-Billion-Dollar Global Partnership
?? What is it about?
- Apollo and Mubadala Investment Company extended their multi-billion-dollar strategic partnership, first established in 2022, focusing on global private credit and equity origination opportunities.
- The partnership aims to address growing global demand for private financing solutions across asset classes.
- Recent collaborations include a $2.5 billion joint venture for private credit opportunities and Mubadala’s support of Apollo’s middle-market lending vehicle launched earlier this year.
?? Why it matters?
- The partnership aligns with a global trend toward private market execution, with companies increasingly favoring bespoke private debt and equity solutions.
- Mubadala gains enhanced access to Apollo’s origination ecosystem, while Apollo leverages Mubadala’s investment expertise to scale financing initiatives in areas like clean energy and digital infrastructure.
- This collaboration strengthens both entities’ abilities to serve high-quality corporate borrowers, addressing critical financing needs while fostering innovation in capital solutions.
?? What’s next?
- Apollo plans to achieve $275 billion in annual origination volumes over the next five years, supported by Mubadala’s partnership.
- Continued investments in key sectors like power & utilities, clean energy transitions, and digital infrastructure to meet global financing demands.
- Mubadala and Apollo are expected to expand their partnership into new private debt asset classes and other innovative financing opportunities.
???? BlackRock Expands Middle East Footprint with Abu Dhabi License and Regional Growth Plans
?? What is it about?
- BlackRock Inc., the world’s largest asset manager with $11.4 trillion in assets under management (AUM), has obtained a commercial license in Abu Dhabi.
- Plans to seek regulatory approval to operate within the Abu Dhabi Global Market (ADGM), marking a strategic push in the UAE.
- Focus areas include AI infrastructure and transition-oriented investment solutions, aiming to collaborate with sovereign wealth funds and investment entities in the UAE.
?? Why it matters?
- Abu Dhabi move complements BlackRock’s recently announced regional headquarters in Saudi Arabia, underscoring the firm's growing presence in the region.
- Access to sovereign wealth funds like ADIA (Abu Dhabi Investment Authority) positions BlackRock to manage significant regional capital.
- CEO Larry Fink emphasized the massive capital required for digitization, decarbonization, and infrastructure development, aligning with regional economic priorities.
?? What’s next?
- BlackRock aims to finalize its operational status in Abu Dhabi’s financial hub.
- Further engagement with regional entities, potentially expanding collaboration on AI and sustainable investment solutions.
- Building on its partnership with Saudi’s Public Investment Fund (PIF) through a planned $5 billion investment platform.
???? UAE-born Pure Harvest is on Track for IPO by 2028 ??
?? What is it about?
- Pure Harvest plans to expand its operations to the USA’s Sun Belt and Mexico, regions offering optimal conditions for controlled environment agriculture.
- The company is pursuing short-term farming initiatives in Morocco and Singapore, leveraging local advantages for sustainable food production.
- Pure Harvest is on track for an IPO in 2027 or 2028, with a $100 million fundraising round currently underway to support its growth ambitions.
?? Why it matters?
- The expansion addresses global food security concerns by producing fresh, high-quality produce closer to consumers in import-dependent regions like Singapore.
- Pure Harvest’s technology-driven farming solutions combat climate change impacts, reducing the carbon footprint of traditional agriculture.
- The company’s growth stimulates local economies by creating jobs, attracting investment, and promoting innovation in sustainable farming.
?? What’s next?
- Pure Harvest plans to establish a proof-of-concept farm in Singapore under a government initiative to reduce reliance on imported food.
- Farming operations in Morocco are set to become a key export hub, supplying produce to Europe with lower energy costs and emissions.
- The company aims to further expand in the USA and Mexico, leveraging advancements in controlled environment agriculture to address challenging climates.
??In other news…
- Ras Al Khaima property prices are already rising,
with amid construction of Wynn Resorts.
- Dubai inflation cooled
down in October, dropping to lowest levels of 2024.
- X or Bluesky?
What are you choosing?
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