Archive | June, 2015

Greece Defaults on Debt

Greece has become the first developed country to technically default on its debt or fall into arrears on payments to the International Monetary Fund (IMF) since 2001. Zimbabwe fell into arrears in 2001. Greece passed through the midnight deadline for repayment of the €1.6 billion bundled loans due to the IMF. Playing brinkmanship politics, Greece […]


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 […]


oil

OTPP to Acquire Oil and Gas Royalty Business of Cenovus Energy

Calgary-based Cenovus Energy Inc., Canada’s second largest independent oil producer, agreed to sell its portfolio of oil and gas royalty properties in Western Canada to Teachers’ Natural Resources Group, a unit of Ontario Teachers’ Pension Plan (OTPP), for C$ 3.3 billion (US$ 2.66 billion). Highlighted by SWFI’s Sovereign Wealth Fund Transaction Database, OTPP has taken […]


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 […]


Wealth Funds Back More Startups, Locking in Matterport and Proterra

Mountain View-based Matterport, a company that focuses on virtual reality, raised US$ 30 million in Series C financing from a group of investors. Leading the round was Qualcomm Ventures, a venture unit of Qualcomm Incorporated. Other investors are Singapore’s GIC Private Limited, Lux Capital, DCM Ventures, Felicis Ventures, Greylock Partners, Navitas Capital, AMD Ventures, AME […]


sovereign wealth fund collateral

Willis and Towers Watson to Merge

Willis Group Holdings plc, an insurance broker, and Towers Watson have agreed to an all-stock merger, creating an investment colossus. The deal values the new entity at US$ 18 billion with a combined revenue of approximately US$ 8.2 billion. Both company boards have unanimously approved the deal. Shareholders of Willis Group will own 51% of […]


BMO GAM Lands Responsible Investment Mandate with NZ Crown Financial Institutions

BMO Global Asset Management, part of BMO Financial Group, was appointed by the New Zealand Superannuation Fund (NZSF), Accident Compensation Corporation and Government Superannuation Fund to provide responsible investment engagement services globally. Combined, the three crown institutions manage US$ 41 billion. BMO provides a global engagement service called reo® in which the services are applied […]


Mubadala Forms JV with Trafigura, Buys Big Stake in Spanish Mines

Commodity trading companies are seeing value in partnering with long-term investors like wealth funds in acquiring mining assets. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]


Qatar Investment Authority Acquires Stake in Tallest Barangaroo Tower

Lend Lease has spun-off Tower 1 at Barangaroo South, the largest commercial tower in the group, into a separate wholesale fund that is backed by the Qatar Investment Authority (QIA) and Australian Prime Property Fund Commercial, a Lend Lease-managed fund. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view […]


GAMECHANGER: Possibility of China’s NSSF to Manage More Local Pension Assets

China is making a few tweaks to its pension system to meet the demand of a rapidly aging demographic. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]


MILESTONE: AIIB Holds Official Signing Ceremony

Beijing-based Asian Infrastructure Investment Bank (AIIB), an international development bank to rival the World Bank and Asian Development Bank (ADB), held its official signing at Beijing’s Great Hall of the People. The Articles of Agreement (AoA) were officially signed. This milestone event demonstrates China’s global economic influence. 57 counties including Germany, Singapore, United Kingdom, Australia […]


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 […]


Sovereign Wealth Money in Latest Airbnb Round

Sovereign wealth funds are not afraid of investing in billion-dollar startups. Venture capital insiders call some of these startups unicorns – essentially when a startup has exceeded an arbitrary equity valuation amount of US$ 1 billion through capital raises. Sovereign funds have allocated to startups such as Flipkart, VANCL, Square, Spotify and – yes, taxi […]


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 […]


Make Diversification your Beta

This article is sponsored by TOBAM. Yves Choueifaty, President and Founder of TOBAM, explains why concepts such as “smart beta” or “neutral portfolio” require clear definitions and how the Maximum Diversification® approach answers the need for beta. What is your definition of Smart Beta? What makes a beta smart? TOBAM is one of the founders […]


Italian PM Renzi Eyes Role for CDP in Stimulating Domestic Economy

Italy Prime Minister Matteo Renzi has further plans to utilize the country’s large public institutional investor, Cassa Depositi e Prestiti (CDP), to stimulate economic growth and create jobs. Renzi is looking to follow the playbooks of France and Ireland. Several European countries have used strategic development sovereign wealth funds, state-owned funds and public pensions to […]


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 […]


ADIA and NYSTRS Put Atlanta Office Complex on the Market

The Abu Dhabi Investment Authority (ADIA) and New York State Teachers’ Retirement System (NYSTRS) are putting a large Atlanta office complex on the market. Eastil Secured is representing the sellers. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]