Mubadala invests $100m in Russia funds

Mubadala Development Company, the Abu Dhabi government’s investment company, said on Tuesday that it would invest $100 million (Dh367m) in funds managed by Vero Capital, a fund manager focused on capital markets in Russia and the CIS.

This agreement represents Mubadala’s first investment in the Russian market.

Mubadala Chief Executive Officer Khaldoon Al Mubarak, said: “Russia’s recent economic performance and the future potential for the broader region make it an exciting new market for Mubadala.  Following an analysis of opportunities in Russia, it became clear that the most effective approach to our first investment in the region was to collaborate with a proven local partner. We are confident that together we will foster a strategic relationship that will create new investment opportunities for both Mubadala and Verno.”

He said: “Verno is attracting new funds into the Russian and CIS capital markets, targeting investors from emerging markets in the Middle East and Asia as well as from the traditional markets of the USA and Europe. Investors looking to capitalise on the potential of the Russian and CIS markets through Verno managed funds will be supported by Verno offices in Russia, Switzerland and the USA.”

Dimitri Kryukov, founder of Verno Capital, said: “Mubadala is a world class investor and our partnership offers both organizations the opportunity to capitalize on the dynamic potential of the Russian and CIS markets. At the same time Mubadala is at the vanguard of a new class of investors into Russia.  We believe this vote of confidence is a signal to top emerging market investors around the globe.”

Verno Capital was founded by Dimitri Kryukov and his three Partners, who together are one of Russia’s most experienced and successful investment teams.