RDIF and Kuwait Investment Authority Cement Co-Investment Mechanism Deal

According to the press release, “During a meeting at the St. Petersburg International Economic Forum between Russian President Vladimir Putin and the heads of leading global investment and securities firms, the Russian Direct Investment Fund (RDIF) and Kuwait Investment Authority (KIA) announced the launch of an automatic co-investment mechanism.

The initiative, which will see KIA invest $500 million alongside the RDIF, was announced by Bader Mohammed Al-Saad, Chief Executive Office and Managing Director, KIA, in the meeting with President Putin. The co-investment mechanism means that KIA will co-invest in all RDIF transactions.

Mr. Al-Saad commented: “Russia’s economy will continue to grow faster than those of developed countries. Co-investing with the RDIF offers us a good opportunity to invest in the real economy and gain diversification across all sectors. This is not a short-term investment in the stock market prone to volatility; it is an excellent and fair partnership with the RDIF and there is Russian government support for this partnership. We highly rate the skilled management team of the RDIF.”

Kirill Dmitriev, Chief Executive Officer of the RDIF, said: “Automatic co-investment by the Kuwait Investment Authority, one of the largest and most respected investors globally, significantly increases the funds the RDIF can invest in the Russian economy. We are delighted to be announcing a major co-investment with a leading fund from the Middle East, already second for the RDIF, as historically that region of the world has not been well represented among foreign investors in Russia.’”

Read more: RDIF Press Release

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