Sat, Jun 24, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Private Equity Strategies

Update: The Russian Direct Investment Fund Launches New Fund

Saturday, June 22, 2013

Bailey McCann, Private Equity Strategies

In February we spoke with Sean Glodek, Director, Russian Direct Investment Fund (RDIF) on the success of the MICEX IPO. Which created Moscow’s first publically traded exchange. Now is out with more news and a new fund launch.

RDIF and Mubadala Development Company (Mubadala), the Abu Dhabibased investment and development company are joining on a $2bn co-investment fund to pursue opportunities in Russia. The agreement was announced at the St Petersburg International Economic Forum 2013 by CEO of RDIF Kirill Dmitriev and CEO of Mubadala Khaldoon Al Mubarak.

The fund will predominantly focus on long-term investment opportunities across a range of industry sectors, acting as a catalyst for direct investment in Russia. The announcement is aligned with Mubadala’s plans to establish a strong presence in key international markets.

Mubadala and RDIF are each committing $1 billion. The majority of Mubadala's commitment will be deployed in opportunities that will be evaluated on a deal-by-deal basis while some of the capital will be invested as an automatic co-investment into RDIF deals.

Some early indications of what the new fund may look at were also offered at the event. Dmitriev who is also Chairman of the B20 Taskforce on “Investment and Infrastructure” finalized recommendations on infrastructure investments in the country and had this to say on those opportunities - "the key objective of our recommendations is to create the optimal conditions for global economic growth by promoting investment, especially in infrastructure. Approximately $60 trillion of global investments into infrastructure will be required in the run up to 2030. This represents more than the value of all the existing infrastructure today. The introduction of international best practices in infrastructure development would save up to $1 trillion per year, enabling world GDP to grow by at least 3% if these savings were re-invested."

Those recommendations are focused on improving the quality and return of infrastructure investments as well as making it easier to invest in infrastructure. The B20 will be included in broader discussions of global infrastructure investment at the G20 meetings.

RFID made two additional announcements today of memoranda of understanding with General Electric (GE) and OJSC Russian Grids to expand electrical and power grid capabilities within the country. RFID hopes to work with OJSC Russian Grids to attract investment into the Russian power industry and will work with GE on providing cogeneration power to the commercial sectors of Russia’s economy.

 
This article was published in Opalesque's Private Equity Strategies our monthly research update on the global private equity landscape including all sectors and market caps.
Private Equity Strategies
Private Equity Strategies
Private Equity Strategies
Private Equity Strategies


Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Legal - Bond market concerns could scuttle Paulson's Fannie-Freddie plan[more]

    From Bloomberg.com: A hedge fund proposal for freeing Fannie Mae and Freddie Mac from U.S. control is poised to face stiff opposition from investors who say it risks wrecking the mortgage-bond market. The Moelis & Co. blueprint, which firms including Paulson & Co. and Blackstone Group LP sponsored,

  2. Other Voices: Are your pricing policies and procedures for less liquid instruments adequate?[more]

    Komfie Manalo, Opalesque Asia: The unrelated position mismarking incidents that quickly precipitated the closures of both Visium Asset Management and Marinus Capital have been recent focal points for market participants, but regulatory scrutiny of valuation choices for less liquid instruments is

  3. FinTech - AI hedge fund Numerai now live on Ethereum, Cryptocurrency hedge funds generate huge returns as bitcoin surges[more]

    AI hedge fund Numerai now live on Ethereum From Cryptoninjas.net: Back in February, Numerai announced numeraire (NMR), a cryptographic token to incentivize a new kind of hedge fund built by a network of data scientists. Earlier today, the Numeraire smart contract was officially deployed

  4. Investing - Advisors slash hedge fund positions, Theravance Biopharma is a top pick of investment guru Seth Klarman, As asset management industry grows a search for new revenue streams[more]

    Advisors slash hedge fund positions From Barrons.com: Financial advisors have cut wealthy clients' exposure to hedge funds by up to one third over the past 12 months, The Financial Times reports. Advisor firms in the FT's annual top-300 ranking have reduced their hedge fund allocation to

  5. Barclay Hedge Fund index gains 0.50% in May, 4.13% YTD[more]

    Hedge funds gained 0.50% in May according to the Barclay Hedge Fund Index compiled by BarclayHedge. The Index is up 4.13% in 2017. The Barclay Hedge Fund Index has now been profitable for seven months in a row, with a cumulative gain of 6.10%. The Barclay Technology Index has gained 12.27% in the fi