Mubadala Investment Company, the Abu Dhabi strategic firm with $127 billion in assets, and Greece’s New Economy Development Fund (Taneo), a money pool of funds investing in Greek venture capital funds, will set up a €400 million (Dh1.82 billion) platform to co-invest in the European country.
Under the terms of an agreement), both parties will chip in €200m each to the co-investment platform.
“The Greek economy has demonstrated its resilience in recent years and many sectors are now demonstrating robust growth,” said Khaldoon Al Mubarak, chief executive of Mubadala. “As a global long-term strategic investor and partner, Mubadala’s focus is on finding opportunities across different markets which offer compelling investment prospects and the opportunity to generate strong and consistent returns.”
Taneo was set up by the Greek government in 2001 to invest in VC funds that specialise in start-up, early, and expansion stage investments, in particular, Greek SMEs operating in telecommunications, IT, e-commerce, biotechnology and new materials.
Taneo, which is now co-funded by the Greek government and institutional investors, has indirect investments in around 50 companies through more than 10 VC funds.
“Greece and the United Arab Emirates have had strong diplomatic ties for many decades and, in recent years, we have seen an increase in trade and bilateral investment between our countries,” said Greek Deputy Prime Minister and Minister of Economy and Development Yannis Dragasakis. “The signing of this MoU represents the first step towards wider cooperation between Mubadala and Taneo, and the creation of an investment platform that can facilitate the growth of resilient businesses in key areas of the Greek economy.”
Mubadala, which owns stakes in private equity company the Carlyle Group and GE, is active in 13 sectors and more than 30 countries around the world, investing in industries that include aerospace, ICT, semiconductors, metals, mining and renewable energy and utilities, and manages a diverse portfolio of financial holdings.