Abu Dhabi-based Mubadala Investment Co. plans to develop a more diversified portfolio and monetize existing investments, according to CEO Khaldoon Al Mubarak.
Earlier in 2018, Abu Dhabi combined its other investment arm, the Abu Dhabi Investment Council, with Mubadala to create a $250 billion entity.
The move allows Mubadala to have "a larger, diversified portfolio, in terms of both geography and sectors, and that gives us a better investment profile," Al Mubarak said in an interview with Bloomberg Television.
Aiming for an "attractive rate of return," the fund has also altered its buy-and-hold strategy for investments and has begun to monetize holdings with a view to reinvesting, the CEO said.
The fund is hoping for an IPO for its investment Emirates Global Aluminium in late 2018 or early 2019. Meanwhile, Mubadala has engaged the services of banks to manage a share sale for Spanish energy company Compañía Española de Petróleos SAU in which it owns a stake, which will "hopefully" take place in 2018, Al Mubarak said.
Mubadala is also in talks with Sony Corp. and other fellow investors in EMI Music Publishing regarding the sale of a majority stake in the music company. The process of the potential transaction is yet to be decided, Al Mubarak said.
Recently, the sovereign wealth fund declined an opportunity to invest in Abraaj Group Ltd. "given the issues Abraaj is dealing with," Al Mubarak said. Abraaj, a UAE-based private equity fund, has been involved in a dispute with investors regarding the use of money in a healthcare fund.