Apollo to buy stake in Abu Dhabi asset manager Mubadala Capital
The deal deepens a 15-year partnership and follows a $2.5 billion joint venture formed in 2023.
By Samir Patterson ·
Apollo Global Management is finalizing a deal to purchase nearly a 10% stake in Mubadala Capital, the alternative asset manager arm of Abu Dhabi's sovereign wealth fund. People familiar with the matter said the announcement is expected later on Monday morning. Financial terms were not immediately known.
This move extends a relationship that has developed over the last 15 years. Apollo has spent that time building strategic ties with the country's investment arm and its leadership. The two firms first established a multibillion-dollar partnership in 2022. They extended that agreement two years ago. At the time, Apollo said the deal would help its Capital Solutions platform source customized debt and equity financing for companies worldwide.
In 2023, the institutions created a $2.5 billion joint venture. That vehicle is designed to co-invest in global private credit opportunities over a five-year period. The new investment marks a step forward for Mubadala Capital's growth strategy under CEO Hani Barhoush. The firm advises and administers more than $755 billion in assets. Its core alternatives business has grown to more than $60 billion.
John Zito, co-president of Apollo's Asset Management arm, and Barhoush have worked closely together for several years. Sources said their relationship and the success of prior deals led to talks of deepening ties. They also believed that scale in the asset management business matters more than ever. One person familiar with the deal said, "Capital as a moat is a big thing."
The transaction continues a shift in how American investment firms interact with the Middle East. Abu Dhabi has long been a source of capital for global firms. This deal reverses that dynamic by having Apollo make a direct investment in the country's investment vision. The move is similar to deals Apollo has done with other platforms, including Diameter Capital, Thoreau, and Motive Partners.
Mubadala Capital maintains international offices in London, New York, Rio de Janeiro, and San Francisco. Spokespersons for both firms declined to comment on the transaction.
The deal is expected to be announced later on Monday morning. No further details on the financial structure were provided at the time of reporting.
More Business · Customer Complaints · Report a business · Got a Story?
