The Mubadala Investment Company, Abu Dhabi’s sovereign wealth fund, increased its ownership in Aldar Properties, the emirate’s largest developer.
Through its subsidiary, Mamoura Diversified Global, Mubadala has raised its stake from 27.01% to 28.03% of Aldar’s issued share capital as disclosed in a recent filing to the Abu Dhabi Securities Exchange.
Mubadala Trading
This adjustment is attributed to a series of share purchases made via Mubadala’s trading account between 8 May and 11 August, amounting to approximately 78.6M additional shares.
Aldar clarified that this shift in shareholding is a result of independent market transactions by Mubadala and is not linked to any corporate actions initiated by Aldar.
Recently, Aldar reported a 10% YoY increase in net profit for the second quarter, reaching Dh2.16B ($580M), with revenue climbing 5% to Dh8.1B despite geopolitical uncertainties.
The firm’s development backlog stood at Dh71.6B at the end of June, with Dh59.9B within the UAE, which is slated to enhance revenue recognition over the forthcoming years.
Q2 Slowdown
However, sales in the second quarter and the first half of the year saw a decline of 43% and 34% respectively, attributed to a cautious approach to new launches in the current market environment.
Aldar Expansion
Aldar is actively engaged in developments beyond the UAE, with sales in Egypt and London soaring by 171% and 236% respectively during the first half of the year. The company intends to maintain its project launches in the luxury and middle-income sectors moving forward.
Aldar and Mubadala have previously partnered on various initiatives, including a Dh10B retail platform and a Dh60B expansion of Abu Dhabi’s financial district on Al Maryah Island, further solidifying their collaborative efforts in the region’s property and infrastructure sectors.
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