Apollo to invest $1.4bn in Abu Dhabi property fund

An Abu Dhabi-based real estate fund has secured the backing of one of the world’s largest asset managers.

US-based Apollo Global Management is committing US$1.4 billion to Aldar Investment Properties.

$400 million will be spent on acquiring a minority stake in the Abu Dhabi based property developer while $500 million will be invested in a joint land venture with Aldar and the remaining $500 million will be invested in a perpetual subordinated note issued by Aldar.

The transaction, which includes the largest hybrid private placement in the Mena region, is expected to close at the end of the month.

Aldar Properties group CEO Talal Al Dhiyebi has hailed the investment from Apollo as a “signal to the world’s investment community that Abu Dhabi’s real estate market is on a growth trajectory, supported by significant economic and social reforms, and a world leading response to Covid-19”.

In 2020 Apollo was part of a consortium that invested in a property venture involving the Abu Dhabi National Oil Company.

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