Abu Dhabi's Mubadala flexes muscles in Russia

Mubadala has taken a stake in Russia's biggest fitness chain. (Supplied)
Updated 28 November 2018
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Abu Dhabi's Mubadala flexes muscles in Russia

  • Abu Dhabi fund invests in Russia's biggest gym chain
  • Mubadala controls assets estimated to be worth $226 billion

ABU DHABI: Mubadala Investment Company has teamed up with the Russian Direct Investment Fund (RDIF) to take a major stake in Russia’s biggest fitness group.
The consortium that also includes other regional investment funds has taken a 22.5 percent stake in Russian Fitness Group, which manages the largest chain of fitness clubs in Russia under the ‘World Class’ brand.
The consortium acquired the stake from VTB Capital. It comes as Moscow increasingly promotes healthy living in a country where heart disease accounts for more than two thirds of all deaths according to the World Health Organization.
“Together we will create the conditions needed to improve the quality of life,” said Kirill Dmitriev, CEO of RDIF. “Through both this project and the mixed martial arts company UFC Russia, which was established in partnership with Mubadala, RDIF is promoting the development and popularization of sports in Russia. ”
RDIF is Russia’s sovereign wealth fund and Mubadala is similarly focused on boosting the wealth of Abu Dhabi. Mubadala is active in 13 sectors and more than 30 countries around the world,.
Russian Fitness Group operates World Class and World Class Lite fitness clubs chains. Today World Class is the largest fitness corporation in Russia operating 39 own and 46 franchised clubs in 34 cities.


Actis takes on management of two Abraaj funds

Updated 15 July 2019
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Actis takes on management of two Abraaj funds

  • US prosecutors have in recent months charged several executives of Abraaj with criminal charges, accusing them of taking part in a massive scheme to defraud investors

DUBAI:Actis said on Monday it had acquired the rights to manage two private equity funds previously managed by collapsed buyout firm Abraaj, in a deal aimed at strengthening its position in the Middle East and Africa.

Actis will take over the management rights to Abraaj Private Equity Fund IV and Abraaj Africa fund III, it said in a statement.
Abraaj, which filed for provisional liquidation in June 2018, was the largest buyout fund in the Middle East and North Africa until it collapsed last year in the aftermath of a row with investors over the use of money in a $1 billion health care fund.
The transaction includes investments in 14 portfolio companies across the two funds, Actis said.
“This Abraaj transaction further bolsters Actis’ footprint in the growth markets and follows the addition and integration of Standard Chartered’s Principal Finance Real Estate business in Asia in 2018,” it said.

BACKGROUND

Abraaj, which filed for provisional liquidation in June 2018, was the largest buyout fund in the Middle East and North Africa.

Actis now has $12 billion under management and more than 250 people across 16 offices.
The Actis transaction comes after the finalization of two other Abraaj deals — the transfer of management of the $1 billion health care fund to US buyout fund TPG and the sale of Abraaj’s Latin America fund to Colony Capital.
NBK Capital Partners, owned by Kuwait’s biggest lender, walked away from advanced talks to buy a global credit fund previously managed by Abraaj, Reuters reported last month.
US prosecutors have in recent months charged several executives of Abraaj with criminal charges, accusing them of taking part in a massive scheme to defraud investors.