The Abu Dhabi Investment Authority, the sovereign wealth fund in the emirate, has postponed the sale of shares of $ 2 billion in the private equity fund that the fund invests in. According to Arabia Net, the move came amid an outbreak of the emerging Corna virus, as 19 and a state of uncertainty afflicting the global market by the pandemic, according to what Bloomberg quoted Know about it. The sources said to the agency that the fund, which has a managed assets size of about $ 580 billion, was in negotiations with several investors, including France-based investment company Ardian. It has to sell these shares, but negotiations have stopped with the turmoil in the markets, which led to uncertainty regarding the valuation of these assets in the midst of the pandemic, which hit the prices of all the assets around the world. One of the sources added to the agency that the fund plans to revive that plan during the second half of this year, with an expected return to calm in the global markets and a clear vision regarding the real evaluation of the planned asset prices. Sell them. Corona pandemic caused a severe blow to companies owned by private equity funds and led to an almost complete cessation of the activities of buying or selling stakes in those companies, at a time when expectations indicate According to Bloomberg, an expected decrease in the value of these types of deals by about 50% during the first half of this year. For major investors such as the Abu Dhabi Investment Authority, the majority of investments are made through private equity funds, at a time when the agency was thinking about exiting those assets and pumping investments in a way Directly in companies what will save costs. The Abu Dhabi Investment Authority is the third largest sovereign wealth fund in the world, according to the data of the Sovereign wealth funds institute. According to the Mubadala Company’s website, the fund’s investment arm, the size of the investment portfolio in the fund’s private equity amounts to about $ 6 billion and includes several sectors, including the media and sports. Entertainment, energy infrastructure, consumer products and food services, light industries and financial services for light assets.
