Sovereign Funds: 3 Portfolio Moves They Are Contemplating

Sovereign wealth funds like the Abu Dhabi Investment Authority (ADIA) and GIC Private Limited often take tactical bets while maintaining their long-term investment views. For example, GIC is an investor in Mumbai-based Eros International Plc, an Indian moviemaker – betting on India’s growing consumer class. ADIA has skipped away from U.K. core real estate to [...]

LeasePlan Sells to Institutional Investors with a $4.04 Billion Pricetag

Global Mobility Holding B.V., the owner of Almere-based LeasePlan Corporation N.V., is selling LeasePlan to a group of long-term investors for €3.7 billion (US$ 4.04 billion). Global Mobility Holding is a joint venture between Volkswagen Aktiengesellschaft and Fleet Investments B.V., an investment company of German banker Friedrich von Metzle. Formed in 1963, LeasePlan is one [...]

Norway’s Wealth Fund Exposed to a Struggling IBM

  Over the past few years, Armonk-based International Business Machines Corporation (IBM) has struggled to boost total revenue. Regardless of the blue chip stock’s sales generating dilemma, institutional investors like BlackRock and Fidelity Investments remain invested in the company. The revenue problem is not going away as overall quarterly sales fell for the 13th straight [...]

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China International Capital Corp Files for $1 Billion HK IPO

China International Capital Corporation (CICC) has filed for an initial public offering in Hong Kong. The bank hopes to raise US$ 1 billion and list in September. Leading the offering are CICC and ABC International, the investment banking unit of the Agricultural Bank of China.[ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. [...]

Sovereign Funds Look to Sell Movies and Assets

UPDATE: On July 19, Neptune Orient Lines made a statement that it has not made any decision on a potential sale of the company, nor entered into any agreement regarding a sale. With sovereign funds spending tens of billions every quarter directly on companies, real estate and other assets, there comes times when these asset [...]

CPPIB Loans Money to Atlantic City Casino Business

Atlantic City casinos remain highly vulnerable to growing competition from neighboring regions. The Canada Pension Plan Investment Board (CPPIB), through CPPIB Credit Investments Inc., entered into a deal as the incremental term lender to provide a senior secured term loan in an amount of up to US$ 650 million to Marina District Finance Company, Inc. [...]

Friday SWFI News Roundup, July 10, 2015

Fairfax Financial Completes Insurer Brit Purchase On July 8, 2015, Fairfax Financial Holdings Limited completed its cash tender offer to shareholders of Brit PLC, a global specialty insurer and reinsurer. Fairfax has sold 29.9% of the Brit shares to Ontario Municipal Employees’ Retirement System (OMERS). Fairfax currently owns 70.1% of Brit and has the ability [...]

Goldman Sachs Tops SWFI Financial Advisory League Table for H1 2015

The Sovereign Wealth Fund Institute (SWFI), through its proprietary database, tracks transactions by sovereign wealth funds, pensions and other public funds. The first half of 2015 yielded US$ 95.56 billion worth of transactions versus US$ 74 billion in the first half of 2014. For 2014, sovereign wealth fund and public fund transactions totaled US$ 170.93 [...]

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Temasek’s Net Portfolio Value Mushrooms to S$ 266 Billion

Asian sovereign wealth funds like the China Investment Corporation (CIC) and Singapore’s Temasek Holdings boosted assets under management in the last twelve months. With even more money to manage, wealth funds are on the prowl for investments in companies, real estate and private equity. For example, the CIC is strategically positioning itself to acquire Morgan [...]

See Why the Alaska Permanent Fund is Smiling

The Alaska Permanent Fund Corporation (APFC) took a calculated risk and bought in early in Seattle-based Juno Therapeutics. Financially backing pharmaceutical firms in the early-stage process is risky. The wealth fund rode its investment in Juno Therapeutics far beyond the pharmaceutical company’s initial public offering (IPO). On the morning of June 30th, Juno Therapeutics’ shares [...]

ADIA and Lend Lease Move Forward with $1.49 Billion Syndication

Development giant Lend Lease and the Abu Dhabi Investment Authority (ADIA), through its subsidiary HIP, are going forward to raise a S$2 billion (US$ 1.49 billion) loan into syndication. They have hired Sumitomo Mitsui Banking Corporation (SMBC), Oversea-Chinese Banking Corporation Limited (OCBC) and DBS to assist. [ Content protected for Sovereign Wealth Fund Institute Standard [...]

Manulife Financial Woos Asian Investors, Plans to IPO REIT in Singapore

Manulife Financial Corporation is moving forward on having an initial public offering of Manulife Asset Management’s real estate investment portfolio holdings. The mega Canadian insurer is taking orders from investors to raise up to US$ 450 million. The offering is being structured as a real estate investment trust (REIT). What is interesting is that the [...]

Do Sovereign Wealth Funds Need Bankers for Deal Flow?

Sovereign funds are earning their keep as buyers of assets, competing against private equity funds for lucrative stakes in companies like New China Life and a U.K. mobile company. The competition for attractive, long-term, sustainable companies is fierce. In 2007, sovereign wealth funds owned about US$ 3.5 trillion in assets, and there were far fewer [...]

Friday SWFI News Roundup, June 26, 2015

Caisse des Dépôts et Consignations Invests in Kingdom Holdings Saudi Arabia has been making moves to open up its listed equity market to foreign investors. French public institutional investor Caisse des Dépôts et Consignations, AXA and Orange SA invested US$ 150 million in Kingdom Holding Company (KHC). Furthermore, Caisse des Dépôts et Consignations and Kingdom [...]

Tank & Rast Still For Sale

Bonn-based Tank & Rast GmbH, the massive German autobahn service company, remains up for sale. The company is owned by both RREEF Infrastructure Funds and private equity firm Terra Firma. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Sovereign Wealth Fund Sports Wrap Up

Investing in sports teams can be a strategic development investment for sovereign wealth funds and pensions. For example, the government of Qatar made an ambitious effort to turn the Gulf region into a soccer powerhouse. Qatar Sports Investments (QSI) owns football club Paris Saint-Germain and inked deals with clubs such as FC Barcelona. The government [...]

The Current Relationship Status of Asset Owners and Bankers

Headline after headline, asset owners such as OMERS and Temasek Holdings are displacing private equity firms, taking majority positions in companies and real estate assets. Our Sovereign Wealth Fund Transaction Database shows a mounting upward trend from 2005 onward of public institutional investors going direct. 2015 has been a bumper year for direct investing. On [...]


Saudi Arabia’s Public Investment Fund Invests in POSCO E&C

Steel manufacturer POSCO’s unit POSCO Engineering and Construction (E&C) issued shares. The total deal of shares sales and new shares of POSCO E&C is worth 1.24 trillion won (US$ 1.08 billion) – a 38% ownership stake for the investor. POSCO is South Korea’s biggest steel maker. [ Content protected for Sovereign Wealth Fund Institute Standard [...]

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Sovereign Wealth Funds Back Citic Securities

Citic Securities is looking to raise as much as HK$ 27.06 billion in a massive private placement of H shares – gaining the attention of sovereign wealth funds. The firm is mainland China’s largest brokerage by market value and is raising its second batch of capital in a week. [ Content protected for Sovereign Wealth [...]

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OMERS Buys Stake in Environmental Resources Management

The Ontario Municipal Employees’ Retirement System (OMERS), through its private equity arm, has agreed to acquire a big stake in risk consulting firm Environmental Resources Management from private equity firm London-based Charterhouse Capital Partners LLP. The transaction values Environmental Resources Management at US$ 1.7 billion including debt. Alberta Investment Management Co. (AIMCo) plans to invest [...]