Mubadala Investment Company seeks to nearly double its exposure in Asia, becoming part of a group of Abu Dhabi-based institutions looking to seize opportunities in the fastest-growing emerging markets.
“Of the approximately $300 billion in assets we manage, we have only 12% in Asia today, and we aim for that number to increase to 25% by 2030,” Camilla Macapele Langwell, head of life sciences and healthcare investments at Mubadala Investment, said in an interview. .
Makabili Langwell, whose unit is responsible for Mubadala's healthcare investments globally, believes: Investments in North America and Europe constitute a large part of the Abu Dhabi-based sovereign wealth fund's portfolio, but it will shift its attention to emerging markets, which are currently considered undervalued, specifically in China, India and Japan. And South Korea.
Mubadala investments in Asia
She added: The United States will remain a key market for us, not only in health care, but in broader private company stocks in general. However, we have always had an interest in Asia.
She continued: Mubadala's healthcare investment unit issues limited investments worth $200 million to $500 million in Asia, compared to up to $1 billion in North America and Europe, but we have the flexibility to increase investments.
Companies and funds in the UAE are strengthening their rapprochement with China and India, and increasing their investments and trade relations by signing agreements worth billions of dollars. The Gulf country recently joined the BRICS group of major emerging markets, which includes these two Asian countries.
Abu Dhabi is considering announcing investment pledges to India of up to $50 billion, Bloomberg reported, through deals still under discussion that include stakes in major Indian infrastructure projects and state-owned assets. China has also emerged as an increasingly attractive region, although UAE dealmaking there has come under scrutiny from US officials.
Possible IPO
Mubadala is one of Abu Dhabi's three main wealth funds, tasked with supporting efforts to diversify the oil-rich emirate's economy. Last year, the company merged its healthcare business with G42 Healthcare, creating a new entity called M42, which is the largest company of its kind in the Middle East, according to its website.
Langwell said: The comprehensive plan for this unit includes a possible initial public offering. She pointed out that although there are no immediate plans to move in this direction yet, if the IPO goes ahead, I think that would be a great outcome for the unit.
It is likely that deal flow in the global healthcare sector will stabilize during the current year, adding that interest rates have begun to stabilize.
Despite continuing high levels of macroeconomic instability and geopolitical climate, management teams and boards are becoming more comfortable operating in that environment.
