Abu Dhabi
International Petroleum Investment Company (Ipic), which merged with Mubadala Development Company posted a net profit of $403.8 million in 2016 from a loss of $2.6 billion a year earlier, driven by lower feedstock costs, high petrochemicals industry margins, and lower impairments across the group.
Revenues for 2016 fell to $33.8 billion compared to $35.8 billion in 2015 impacted by lower oil prices, the company said in a statement on Thursday. Net debt decreased by $2.5 billion down to $19.7 billion from $22.2 billion in 2015.
Total comprehensive income was $205 million compared to a $4.1 billion loss in 2015, primarily driven by more favourable Euro or US dollar exchange rate at year-ends impacting its European assets.
In January this year President His Highness Shaikh Khalifa Bin Zayed Al Nahyan, in his capacity as Ruler of Abu Dhabi, issued a law creating the Mubadala Investment Company, comprising both the International Petroleum Investment Company and Mubadala Development Company with total assets worth $125 billion.
The company began operations in May this year with Khaldoon Khalifa Al Mubarak as the Group CEO and Managing Director of the merged entity.
Ipic has investments in more than 18 leading companies across the hydrocarbon value chain, including exploration and production, shipping and pipelines, downstream petrochemicals, power and utilities as well as industrial services.
It has investments in OMV, Parco, the Arab Petroleum Pipelines Company, Borealis, Cepsa, Comso oil, Emirates LNG, Oasis International Power.
Ipic’s capital investment arm Aabar Investment has a wide range of portfolio including in automotive, banking, construction, aviation and sports sectors including in Tesla motors, Falcon private bank, UniCredit, Arabtec Holding, Virgin Galactic, among others.
Ipic and Malaysia’s state fund 1Malaysia Development Berhad (1MDB) reached an agreement to settle a debt dispute in April this year.
