The United Arab Emirates’ sovereign wealth fund boosted its stake in Dubai-based telecom operator du, snapping up a stake valued at about $630 million (Dh2.3 billion).

The Emirates Investment Authority bought 463.3 million shares in the phone company from Mamoura Diversified Global Holding and General Investments in a special deal, according to a statement.

It represented about 10.2 per cent of du’s issued share capital. The statement didn’t provide a value for the deal.

“This monetisation is part of our strategy of continuously evaluating our portfolio, and realising a return on an investment at the opportune time,” said Mounir Barakat, executive director of information and communications technology at Mubadala Investment Co. The fund continues to be a “significant” equity investor in du, he said.

Mamoura was previously known as Mubadala Development Co, the wealth fund managed by Abu Dhabi’s government. The Emirates Investment Authority held 39.9 per cent of du, while Mamoura owned 19.92 per cent. The telecom operator competes with Etisalat in the UAE.

Du shares traded at Dh5 in Dubai on Sunday at 1.19pm, trimming a 1.2 per cent gain.