Mubadala reports first half profits

Mubadala-owned Cleveland Clinic. (Supplied)
Updated 20 September 2018
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Mubadala reports first half profits

  • Plans to float at least 35 percent of Cepsa
  • Also setting up $400m venture fund

LONDON: Abu Dhabi’s Mubadala Investment Company reported first half profit of 10.9 billion dirhams ($2.97 billion) as it expanded its global investment portfolio.
It did not provide comparative figures for the year-earlier period.
Mubadala Group CEO Khaldoon Khalifa Al-Mubarak, said: “In the first half of the year, we continued to deploy capital in new sectors and geographies, in line with our long-term strategy. We also monetized select assets at good valuations, to deliver financial returns.”
In a statement, the group said that historically reported figures such as revenue and net operating income were no longer relevant to its business model.
Mubadala said this week it planned to float at least 25 percent of Spain’s Cepsa by the end of 2018, in what would be the largest listing in a decade on the Madrid stock exchange.
Cepsa, which operates in the oil and gas industry, did not say how much the deal would be worth, but market sources said the listing could value the firm at around €10 billion.
Mubadala also this year announced plans to create a $400 million venture fund to invest in leading European technology companies. The fund will be managed by Mubadala Ventures, the venture capital arm of Mubadala with SoftBank Group as a strategic investor.
The Abu Dhabi investment group also announced the sale of its consortium’s majority interest in EMI Music Publishing to Sony Corporationfor about $4.75 billion.
Mubadala manages a worldwide portfolio worth $225 billion with assets in sectors such as aerospace, ICT, semiconductors, metals and mining, renewable energy, oil and gas, petrochemicals and finance.


Shareholders of India’s Jet Airways approve debt-for-equity swap

Updated 23 February 2019
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Shareholders of India’s Jet Airways approve debt-for-equity swap

  • The plan will mean the lenders will have a bigger holding than any other shareholder
  • Currently, Chairman Naresh Goyal owns a 51 percent stake in the company and Abu Dhabi’s Etihad Airways owns 24 percent

MUMBAI: India’s Jet Airways said late on Friday that its shareholders approved a plan to convert existing debt to equity, paving the way for the troubled company’s lenders to infuse funds and nominate directors to its board.
Jet’s board last week approved a plan by lenders, led by State Bank of India, for an equity infusion, debt restructuring and the sale or sale-and-lease-back of aircraft.
The plan will mean the lenders will have a bigger holding than any other shareholder.
Currently, Chairman Naresh Goyal owns a 51 percent stake in the company and Abu Dhabi’s Etihad Airways owns 24 percent.
Jet, which had net debt of 72.99 billion rupees ($1.03 billion) as of end-December, has debt payments looming next month, according to rating agency ICRA. It has been unable to pay pilots’ salaries and has outstanding bills to aircraft lessors.
The company, India’s biggest full-service carrier, is struggling with competition from budget rivals, high oil prices and a weaker rupee. The share price took a beating in 2018, losing nearly 70 percent of its value.
In a regulatory filing, Jet said on Friday that 98 percent of its shareholders voted to increase the share capital to 22 billion rupees ($309.8 million) from 2 billion rupees at a special meeting.
Jet, whose financial woes are set against the backdrop of wider aviation industry problems, has been in the red for four straight quarters.