Abu Dhabi's IHC unveils new holding company 2PointZero with more than $27bn in assets

It will cover sectors including AI, financial services, mineral management and cryptocurrency

Abu Dhabi-based IHC's new holding company is 'committed to having a transformative impact globally'. Khushnum Bhandari / The National

Abu Dhabi-based International Holding Company has announced the formation of a new holding company, 2PointZero, which will have more than Dh100 billion ($27.2 billion) in assets.

IHC's board approved the initiation of the transfer of entities across several sectors to 2PointZero and the move will be completed after obtaining all regulatory approvals, the diversified conglomerate said in a statement on Tuesday to the Abu Dhabi Securities Exchange, where its shares are traded.

The new "next generation" holding company "is committed to having a transformative impact globally", said IHC chairman Tahnoon bin Zayed.

"Our dedication to technology and artificial intelligence is evident in our commitment to developing solutions that redefine industries such as financial services, investment banking and resource management," he said.

The new holding company will cover sectors including private equity and alternative investments, venture capital operations, asset management, financial services (micro financing and insurance), investment banking, securities brokerage and research, AI and technology, mineral and resource management, digital and cryptocurrency ecosystems, and mobility.

Companies under 2PointZero include Abu Dhabi-based private investment firm Chimera Investments – which recently sponsored and anchored ADC Acquisition Corporation, the first regional special purpose acquisition company (Spac) – as well as its subsidiaries Lunate and Beltone.

Lunate, which manages more than Dh400 billion in assets, last month launched the Alterra private climate investment vehicle at Cop28, which aims to raise $250 billion globally in the next six years to create a fairer climate finance system.

Meanwhile, Egypt-listed Beltone Holding, a financial services provider, recently raised 10 billion Egyptian pounds ($323.6 million) "in the largest capital increase in the history of the Egyptian Stock Exchange".

Also part of 2PointZero will be Abu Dhabi-headquartered International Resources Holding (IRH), which focuses on energy transition minerals and resources such as copper, cobalt, nickel, lithium, 3T (tin, tantalum and tungsten), manganese and graphite.

Recently, IRH signed a $1.1 billion investment agreement for a 51 per cent stake in Zambia's Mopani Copper Mines. The company has more than 20 assets under negotiation and more than 22,000 square kilometres under exploration in various countries.

Sagasse Investments, which has total assets of Dh8 billion as of 2023, and Citadel Technologies, which operates a crypto mining plant in Abu Dhabi and specialises in Bitcoin extraction, are among other businesses in the new holding company.

The new company, 2PointZero, will use IHC's "expertise and acumen" to operate at an "unprecedented scale", said Syed Shueb, IHC’s chief executive.

IHC, founded in 1998 as part of a move to diversify and develop non-oil business sectors in the UAE, is among the most valuable listed holding companies in the Middle East.

It comprises more than 500 subsidiaries and 107,000 employees and plans to expand and diversify its holdings across asset management, health care, property and construction, marine and dredging, IT and communications, financial services, food production, utilities and services.

Among its subsidiaries are Alpha Dhabi Holding, Q Holding, International Securities, Al Seer Marine and Multiply Group.

IHC reported a net profit of Dh4.13 billion for the third quarter of last year, with revenue for the three months up nearly 14 per cent yearly to about Dh14.15 billion.