ENERGY-ADNOC
Abu Dhabi Pension Fund to Partner with ADNOC in new Investment Partnership
ADNOC Trading Office.
Partnership allows ADNOC to unlock further value from non-oil and gas strategic infrastructure Abu Dhabi Pension Fund to gain further financial exposure to high-quality ADNOC assets with superior, long-term risk-adjusted return and income profile
he Abu Dhabi National Oil Company (ADNOC) recently announced that it has signed and completed a strategic real estate investment partnership with Abu Dhabi Pension Fund (ADPF). The partnership will enable ADNOC redeploy into its core business and strategic growth projects.
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Global Management and its subsidiaries, one of the world’s largest alternative investment managers, and a group of institutional investors, for an underlying real estate portfolio valued at US$ 5.5bn.
The transaction is ADPF’s third successive energy infrastructure and real estate asset partnership with ADNOC and marks ADPF’s largest single transaction with ADNOC to date. The ADPF partnership follows the announcement by ADNOC in September 2020 that it had entered into a long-term strategic investment with accounts and entities owned and / or advised by Apollo
Under the terms of the agreement, ADPF will acquire a 31% holding in Abu Dhabi Energy Real Estate Company, the company created to hold ADNOC’s 51% stake in Abu Dhabi Property Leasing Holding Company, for a consideration of US$ 900mn. “This innovative partnership reinforces ADNOC’s ability to unlock and drive incremental value from our unique
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ADPF stake
energy infrastructure and real estate asset base, while simultaneously creating attractive opportunities for the long-term financial well-being of the UAE,” affirmed Dr. Sultan Al Jaber, UAE Minister of Industry and Advanced Technology and ADNOC Group CEO. For ADPF, this new investment presents another opportunity to access high-quality lease assets with superior, risk-adjusted returns and income profiles, and lock in long-term, recurring and stable cash-flows. The portfolio of assets is expected to achieve strong future occupancy and rental rates. “This agreement aligns with the Fund’s investment strategy, aimed at investing in high-quality diversified portfolios to
