Abu Dhabi: Mubadala Investment Company swung to a profit of Dh4.2 billion in the first half of 2017 compared to a loss of Dh4.7 billion during the same period last year due to strong performance of the company.
Revenues were Dh83.4 billion in the first half of this year, compared to Dh72.9 billion for the same period in 2016 with the primary drivers being the upstream and integrated oil and gas, semiconductors, and aerospace sectors.
Total comprehensive income was Dh6.8 billion against a loss of Dh5.4 billion for the same period in 2016, led by improved operating income, gains from financial investments and favourable currency movements.
“The results from the first half of 2017 reflect the strength and scale of Mubadala Investment Company’s diversified global portfolio and robust balance sheet,” said Group Chief Executive Officer and Managing Director, Khaldoon Khalifa Al Mubarak in a statement.
“We will continue to integrate, optimise and grow the company’s assets under our global business platforms, to create and realise maximum financial and strategic returns to support diversification of the economy of Abu Dhabi and the country.”
The results incorporate Mubadala Development Company and International Petroleum Investment Company which were merged earlier this year to help accelerate Abu Dhabi and UAE’s economic diversification.
Mubadala Investment Company’s four global business platforms include alternative investments & Infrastructure, petroleum & petrochemicals, technology, manufacturing & mining and aerospace, renewables and information & communications technology.
In alternative investments & infrastructure segment, Mubadala made Dh55.1 billion commitment to the Dh367.4 billion SoftBank Vision Fund in the first half of this year. The Fund will seek to acquire minority and majority interests in both private and public companies from emerging technology businesses to established, multibillion dollar companies requiring substantial growth funding.
Petrochemical facilities
In petroleum & petrochemicals, Mubadala Petroleum received all necessary approvals for the development of the CRD oil and gasfield offshore Vietnam, which will be operated by Repsol.
In the second quarter of this year, Nova Chemicals made Dh7.7 billion investment to acquire one of the largest petrochemical facilities in the United States, in Geismar, Louisiana to serve US and international customers.
In technology, manufacturing & mining, Mubadala sold 45 million shares worth Dh2.25 billion in AMD in March 2017, in line with its strategy of capitalising on long-term investments. A further 40 million shares worth Dh1.93 billion were sold in August 2017 with Mubadala retaining a 12.9 per cent stake and remaining the largest shareholder in the US-based semiconductor company.
Mubadala also sold 40 per cent stake in Tabreed to Engie, a French-based energy company, for Dh2.9 billion. Mubadala remains the largest shareholder with a 42 per cent stake.
Masdar announced its acquisition of a 25 per cent stake in the world’s first commercial-scale floating offshore wind farm in Hywind, Scotland in partnership with Statoil of Norway during the first half of this year.
