Goldman Sachs and Abu Dhabi sign Asia-Pacific investment cooperation agreement worth US$1 billion | Wilnesh News

DUBAI, United Arab Emirates — Goldman Sachs and Abu Dhabi sovereign wealth fund Mubadala have signed a $1 billion private credit partnership to jointly invest in the Asia-Pacific region, particularly in India, the company said in a joint statement on Monday. .

The separately managed account, called a “partner,” will be managed by Goldman Sachs Alternative Investments’ private credit unit, with staff based in various markets in the region. It will invest long-term capital in “high-quality companies in the private credit sector” across multiple Asia-Pacific markets.

This follows Goldman Sachs’ expansion in the Middle East in 2023, when it opened an office in Abu Dhabi Global Market, the financial center of the capital of the United Arab Emirates.

At the same time, the UAE and other Gulf countries have also strengthened their economic footprint in India, which will become the fastest growing G20 economy in the 2023-24 financial year.this UAE announces investment target of US$75 billion in October 2023 Over a period of time, Saudi Arabia has set an investment target of $100 billion for India.

“India in particular is a key market with huge opportunities in private credit, where Goldman Sachs has strong exposure and capabilities,” Fabrizio Bocciardi, head of credit investments at Mubadala ) said in a press release.

“The opportunities for private credit in Asia Pacific are broad,” said Greg Olafson, global head of private credit at Goldman Sachs Alternative Investments. “With the region’s strong economic growth and the opportunity for private lenders to support the growth of leading companies by providing flexible, long-term capital, Conditions are favorable and we believe we are in the early stages of a decisive era for private credit in Asia Pacific.”

He said the partnership with Mubadala would allow the bank to expand its “long-standing investment focus in the region”.

Omar Eraiqat, deputy chief executive of diversified investments at Mubadala, said the partnership with Goldman Sachs “is consistent with our desire to expand our private credit business in the Asia-Pacific region, which is core to Mubadala’s strategic growth plans.”

Mubadala Investments manages a global portfolio worth $276 billion across six continents, a range of industries and asset classes, and is focused on diversifying the UAE economy, according to the company.