Abu Dhabi AI Firm G42 Sets Up $10 Billion Fund for Tech Deals – Bloomberg — www.bloomberg.com
– Abu Dhabi-based artificial intelligence firm G42, backed by a key member of the oil-rich emirate’s ruling family, is setting up a $10 billion fund with a focus on technology investments in emerging markets.
– The entity will be formed in partnership with the Abu Dhabi Growth Fund, which was set up by state-controlled ADQ last year.
– The G42 Expansion Fund will target late-stage growth companies with disruptive technologies.
– G42, an AI and cloud computing company, has operations spanning from energy to healthcare and autonomous vehicles.
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Abu Dhabi Fund Mubadala Deploys Billions Defying Tech Rout – Bloomberg — www.bloomberg.com
– Mubadala led the latest funding round for German insurance-technology firm Wefox, which raised $400 million at a valuation of $4.5 billion this month. The fund also came in as a new investor in the $800 million raise by Klarna, the buy-now-pay-later giant.
– More recently, Mubadala led an $768 million funding round for Turkish grocery delivery app Getir in March at a valuation of $11.8 billion. The fund also participated in a $300 million raise for payments business SpotOn, which valued the company at about $3.6 billion. It also led a $100 million round for Swedish fintech firm Juni last month.
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Saudi Wealth Fund PIF Buys $7 Billion US Stocks Amid Recession Fears – Bloomberg — www.bloomberg.com
– Saudi Arabia’s sovereign wealth fund invested more than $7 billion to build new positions in US stocks including Amazon.com Inc., Alphabet Inc., BlackRock Inc. and JPMorgan Chase & Co. as markets were battered by recession fears.
– The $620 billion Public Investment Fund also added to positions it held in Facebook Inc. owner Meta Platforms Inc., PayPal Holdings Inc. and Electronic Arts Inc. in the second quarter, according to a 13F filing.
– In total, the value of the PIF’s disclosed portfolio in the US fell by about $3 billion in the second quarter to roughly $40 billion.
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Kuwait’s $769 Billion Fund Breaks Silence on UK Chief’s Removal – Bloomberg — www.bloomberg.com
– Saleh Al-Ateeqi, who was hired in 2018 to modernize the UK branch known as the Kuwait Investment Office, was abruptly removed in July.
– In question is whether Al-Ateeqi was a reformer looking to modernize the direct investing arm of Kuwait’s wealth fund, or an executive who fueled a toxic culture that led to departures and lawsuits, according to people with direct knowledge of the dispute.
– Al-Ateeqi, who has filed a complaint with Kuwait’s public prosecutor against the country’s finance minister as well as the KIA’s managing director.
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Iran Nuclear Deal: Iranian Oil Would Fill Russia-Shaped Hole in Supplies – Bloomberg — www.bloomberg.com
– Lengthy negotiations over the restoration of the Joint Comprehensive Plan of Action (or JCPOA, as the deal between Iran, the five permanent members of the United Nations Security Council, Germany and the European Union is known) seem to be approaching their end.
– But nothing’s agreed until everything’s agreed, and there are as many reasons to be pessimistic as there are for optimism.
– EU nations are still importing about 1.2 million barrels a day of Russian crude.
– But sanctions due to come into effect in December will curb that flow.
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Egypt Holds Rates as Governor’s Shock Exit Turns Focus to Pound – Bloomberg — www.bloomberg.com
– The Monetary Policy Committee maintained the deposit rate at 11.25% and the lending rate at 12.25% for a second consecutive meeting.
– Thursday’s pause is probably temporary, with monetary tightening likely to resume under a new governor, according to analysts.
– The Arab world’s most populous nation has hiked rates by a cumulative 300 basis points since March.
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Turkey Delivers Shock Interest Rate Cut as Inflation Set to Peak Over 80% – Bloomberg — www.bloomberg.com
– The Monetary Policy Committee led by Governor Sahap Kavcioglu lowered its benchmark to 13% on Thursday, after keeping it at 14% since December.
– The threat of a recession in Europe, the main destination for Turkish shipments abroad, is a big worry for an industry that now accounts for 95% of Turkey’s total exports.
– The central bank now predicts inflation will reach a high of around 85% this fall, before ending the year near 60%, or 12 times its target.
– Erdogan is intent on turbocharging growth by focusing on exports and employment as part of what he calls a “new economic model.”
– Erdogan, long a believer that cheaper borrowing costs can slow inflation instead of pushing it higher.
– Cutting rates when the rest of the world is hiking and inflation is at decades highs is crazy,” said Henrik Gullberg, a macro strategist at Coex Partners Limited in London.
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