Abu Dhabi-based investment firm Alpha Dhabi Holding has acquired a 12.21 percent stake in Aldar Properties from Mubadala Investment Company for a total value of $953 million.
According to a statement released by Mubadala, the stake was purchased by Sublime Commercial Investment, a subsidiary of Alpha Dhabi Holding.
Alpha Dhabi Holding is a regional and local investment company that manages a diversified portfolio of listed and unlisted equities.
Mubadala stated that it will remain Aldar’s largest shareholder, with a 25 percent interest, and will remain a long-term strategic investor. The company “supports Aldar’s growth as a national real estate champion with the highest market cap in the real estate sector, acting as a key driver for Abu Dhabi’s economic diversification”, it added.
The deal, which included the transfer of 960 million shares in a block trade “is one of the largest private share purchases in a UAE listed company and was carried out by brokerage firm International Securities and fully integrated brokerage services in the Emirates ADCB Securities,” Mubadala highlighted in its statement.
The shares were bought for $0.9 per share, which was the closing price of Aldar Properties’ stock on the last day. The share has more than doubled in value in the last year and is up 19 percent since the beginning of the year. Aldar Properties’ market capitalization is currently $7.9 billion. Mubadala invests on behalf of the Abu Dhabi government in a number of industries and manages more than $232 billion in assets.
Aldar is an Abu Dhabi-based real estate development, management, and investment firm. The Abu Dhabi Securities Exchange is where the company’s shares are exchanged.