A pair of sovereign funds -- Dubai-based Investment Corp. Dubai,
which pools some of that country's largest firms, and Bahrain's $10
billion investment agency Mumtalakat Holdings -- are out raising the
debt,
according to a Reuters report.
The majority -- $6 billion -- is being syndicated for Investment
Corp. Dubai, with Mumtalakat looking for $500 million to finance
acquisitions. Bankers raising the debt for Investment Corp. Dubai
told Reuters last month that the proceeds will be used for general
corporate activity. The use of debt by sovereign wealth funds to make
acquisitions may mark the beginning of a movement of their business
models toward one that is closer to that of a private equity fund.
-
George White
See Reuters story
See Dealscape posts on sovereign wealth funds
