The Abu Dhabi National Oil Company, ADNOC, today signed a real estate investment partnership agreement with the Abu Dhabi Pension Fund. This deal represents the third partnership of the Abu Dhabi Pension Fund in the field of energy infrastructure and real estate assets and its largest single deal with ADNOC so far.
According to the Emirates News Agency, this partnership with the Abu Dhabi Pension Fund follows the conclusion of ADNOC in September 2020 a long-term investment agreement with a consortium of a number of investment institutions led by Apollo Global Management Apollo, one of the world's largest alternative investment management companies listed on the New York Stock Exchange under the symbol NYSE: APO, to invest in a slice of ADNOC's real estate portfolio worth 20 billion dirhams $ 5.5 billion.
His Excellency Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology, CEO of Abu Dhabi National Oil Company, ADNOC and its group of companies said - on this occasion -: We are pleased to sign a new partnership agreement with Abu Dhabi Retirement Fund, as the fund is a reliable investor of citizens' savings in the long run .. This step is in line with the directives of the wise leadership to seek to conclude smart and quality partnerships that achieve maximum value from our various assets, and this deal confirms ADNOC's ability to enhance and increase the value of its real estate assets and infrastructure. It possesses the unique energy sector, and at the same time, creates attractive opportunities for sustainable economic development in the UAE.
His Excellency added: The strategic partnership that we entered into with Apollo last year enabled ADNOC to obtain cash from real estate assets not linked to its core business to be reinvested in support and financing. Strategic growth projects and initiatives in its major oil and gas businesses.
noting that through the innovative structure of this partnership, ADNOC ensures that it retains control and ownership of its real estate assets to support its financial performance and enhance its monetary flexibility.
Under the agreement, for 3.3 billion dirhams, 900 million US dollars, the Abu Dhabi Pension Fund will acquire a 31% stake in the Abu Dhabi Power Real Estate Company, in which ADNOC owns a 69% stake It was created to acquire ADNOC's 51% stake in Abu Dhabi Real Estate Leasing Holding Company Ltd. ADPLHC.
The Abu Dhabi Real Estate Leasing Holding Company Limited - ADPLHC was created to benefit from the rental returns of a specific group of ADNOC real estate assets, under a lease agreement of a maximum period of 24 years .. and owns Abu Dhabi Real Estate Leasing Holding Company Limited has long-term rental stakes in a large portfolio of diversified ADNOC real estate assets in the emirate of Abu Dhabi .. After completing the deal, Apollo and its subsidiaries will retain a 49% stake in Abu Dhabi Real Estate Leasing Holding Company Ltd. ADPLHC .. and ADNOC will retain ...
