The Daily Circuit: ADIA’s Häagen-Dazs scoop + MGX data center deal
👋 Hello from the Middle East!
In the Daily Circuit today, we’re reporting on Abu Dhabi’s MGX negotiating to buy a stake in AI infrastructure firm Aligned Data Centers, IHC investing almost $1 billion in Indian mortgage lender Sammaan Capital, Dubai-based luxury developer Binghatti Holding exploring a possible IPO and seamless border crossings planned for the rail service that will connect all six Gulf states.
The UAE’s largest sovereign wealth fund is ordering a large and luscious scoop of Häagen-Dazs.
Teaming up with Goldman Sachs, the Abu Dhabi Investment Authority is investing in U.K.-based Froneri, owner of the premium ice cream maker, signing a deal that values the company at around $17.6 billion. Froneri is a joint venture between European buyout firm PAI Partners and Swiss food giant Nestlé.
PAI said on Thursday it completed a $4.2 billion deal that creates a new ownership structure for its 50% stake in Froneri, with a subsidiary of the Abu Dhabi sovereign wealth fund becoming a “significant minority co-investor.” A corporate vehicle led by Goldman Sachs Alternatives is also taking part.
“Froneri is a leading global consumer business with strong prospects for the future, Hamad Shahwan Aldhaheri, Executive Director of ADIA’s Private Equities Department said. “This transaction offers a compelling opportunity to support the company for its next phase of growth alongside experienced and proven partners.”
ADIA, which manages more than $1 trillion in assets, said last month that it plans to focus on private equity deals while diversifying its portfolio through alternative investments and private credit.
Besides Häagen-Dazs, which operates in more than 90 markets around the world, Froneri sells ice cream under the Oreo, Cadbury and Milka labels.
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📰 Developing Stories
SERVER STAKES
UAE tech investor MGX is joining BlackRock’s Global Infrastructure Partners in seeking a stake in Aligned Data Centers, which has tapped into surging demand to build AI infrastructure. The deal involves buying out current owner Macquarie and could value Aligned at around $40 billion, making it one of the year’s largest digital infrastructure transactions, Bloomberg reports. MGX, an artificial intelligence investment firm launched by Abu Dhabi sovereign wealth fund Mubadala, is expected to participate independently in the deal alongside GIP. Mubadala already holds a separate stake in Aligned.
RAIL PASS
A rail service connecting all six Gulf countries is being built with seamless border crossings and will be “as easy as taking a plane.” Officials at the Global Rail conference taking place this week in Abu Dhabi, told The National that the project was on track to open by December 2030. Construction on Hafeet Rail, the section linking the UAE to Oman, has already begun and is expected to be completed within three years, CEO Ahmed Al Musawa Al Hashemi told the conference. The second edition of Global Rail, which wraps up today, drew more than 20,000 participants and comes amid anticipation for the launch of the UAE’s first passenger rail service next year. Among the announcements from the event was a new tram network connecting Abu Dhabi’s Yas Island with Zayed International Airport and Etihad Rail’s deal with taxi company Yango Group to connect suburban stations in the UAE.
💲 Sovereign Circuit
International Holding Company: IHC will acquire a 43.5% stake in Indian mortgage lender Sammaan Capital for almost $1 billion.
Mubadala Capital: Corient, the Miami-based investment advisory subsidiary of Mubadala Capital-owned asset manager CI Financial, will acquire Bristlecone Advisors, a multi-family office based in Bellevue, Washington, with $2 billion in assets under management.
ADQ: AD Ports Group has signed a preliminary agreement with SPG Yantai Port, a Chinese government enterprise which operates ports in Shandong province, to establish an automotive logistics corridor between Asia, the Middle East and North Africa.
↪↩ Closing Circuit
🏠 Beach House: An off-plan penthouse in the luxury Four Seasons Private Residences development on Abu Dhabi’s Saadiyat Island has sold for $54 million. It features five-bedrooms, two lifts, a private cinema, chef’s kitchen and a fitness studio and spa.
💰 Startup Cash: Saudi investment firm Sukna Capital and U.S.-based venture debt provider Partners for Growth will invest up to $50 million in high-potential tech companies and SMEs across the Middle East.
💱 Currency Exchange: The UAE and Turkish central banks signed a currency swap worth AED 18 billion ($4.9 billion), along with two agreements to make it easier to use local currencies in cross-border trade and connect payment systems.
👍 Finished Work: Saudi Arabia’s National Water Company plans to complete 34 projects worth $987 million by end-2025, after already finishing 68 projects this year.
🌭 Secret Sauce: Europe’s Windoria is acquiring Saudi condiment company Al-Fursan for an undisclosed sum.
🗣 Circuit Chatter
🤝 Property IPO: Dubai-based luxury developer Binghatti Holding is in talks with banks including Citigroup, Morgan Stanley, Emirates NBD and EFG Hermes for a potential IPO.
⛽ Oil Glut: Unsold Middle Eastern crude cargoes for November, estimated at 6-12 million barrels from sellers including the UAE and Qatar, may be an early sign of a global oil surplus, Bloomberg reports.
☀️ Energy Mix: Egypt plans to boost renewables to 42% of its energy mix by 2030 and 65% by 2040, and aims to be a global green hydrogen hub despite funding and technology hurdles, its energy minister said.
💵 Leasing Assets: Kuwait Petroleum Corp. is hiring JPMorgan to help lease part of its pipeline network in a deal that could raise up to $7 billion to fund its investment plans, Bloomberg reports.
🛵 New Beginning: Deliveroo UAE announced its official integration with DoorDash following the completion of the acquisition, with Wolt Co-Founder Miki Kuusi taking on the role of CEO at Deliveroo alongside his current position as DoorDash’s Head of International.
🌎Power Circuit
Sheikh Khaled bin Mohamed, Crown Prince of Abu Dhabi and Chairman of the Abu Dhabi Executive Council, met with NBA Commissioner Adam Silver on Thursday before an exhibition game in the UAE capital between the New York Knicks and Philadelphia 76ers.
Prince Khalid bin Salman, Saudi Arabia’s Minister of Defense, held a phone call on Thursday with his Qatari counterpart, Sheikh Saud bin Abdulrahman bin Hassan Al-Thani.
Sheikh Hamdan bin Mohammed, Crown Prince of Dubai and UAE Deputy Prime Minister and Minister of Defense, visited the National Guard headquarters in Abu Dhabi on Friday.
Sheikh Maktoum bin Mohammed, UAE Minister of Finance, Deputy Prime Minister and First Deputy Ruler of Dubai, met with Alex Chriss, President and CEO of PayPal in Dubai on Thursday.
Sheikh Mohammed bin Hamad, Crown Prince of the northern emirate of Fujairah, delivered the opening speech at the 40th edition of the Crans Montana Forum in Rabat.
➿On The Circuit
Jasem Mohammed Al-Budaiwi, GCC Secretary-General, said during the joint meeting of GCC finance ministers and central bank governors with International Monetary Fund Managing Director Kristalina Georgieva in Kuwait on Thursday that the economies of the GCC have demonstrated strong resilience in absorbing global economic shocks.
Nicolas Levi was appointed Regional Vice President, Middle East, Pakistan & Afghanistan of Western Union.
Saeed Rashid Al Abdi, Chairman of the Finance, Economy and Industry Committee at the UAE Federal National Council, met with Tim van de Molen, Chair of Foreign Affairs, Defense and Trade Committee of the New Zealand Parliament, at the FNC headquarters in Abu Dhabi on Friday.
🎶 Culture Circuit
🎥 Roll Call: A major casting agency appears to be hunting for extras for the filming of “Dune: Part Three” in Abu Dhabi. While the film isn’t named, Miranda Davidson Studios is looking to fill roles for babies, children, teenagers and adult women in a “Hollywood blockbuster” being shot in the Liwa Desert between October and November, The National reports. Both “Dune” and “Dune: Part Two” were filmed in Abu Dhabi and the Abu Dhabi Film Commission announced in August that the next chapter in the series would also feature Liwa as the setting for the fictional planet Arrakis.
📷 Photo of the Day
📅 Circuit Calendar
Oct. 4, Abu Dhabi. Syria recovery and investment forum. Influential business leaders, regional investors, policymakers and advisory experts explore practical avenues for engagement in Syria’s recovery. Sheraton Abu Dhabi.
Oct.6-7, Dubai. AGRA Middle East. The largest agricultural trade show in the region will showcase the latest agriculture trends, from smart farming to regenerative agriculture. Dubai World Trade Center.
Oct. 6-7, Dubai. The Forex Expo. The event includes a conference offering insights into the world of online trading products, including Forex, stocks, commodities, metals and more. Dubai World Trade Center.
Oct. 9-15, Abu Dhabi. IUCN World Conservative Congress. A gathering of conservation experts and leaders from around the world. ADNEC.
Oct. 13-17, Dubai. GITEX Global. The giant tech and startup show is back for its 45th edition, bringing together government and industry leaders., innovators and government. Dubai World Trade Center.
Oct. 14-16, Dubai. Global Future Council. The event on the Future of Growth convenes senior economists and thought leaders from across academia, business, government and civil society to provide intellectual guidance on new approaches to growth.
Oct. 27-30, Riyadh. Future Investment Initiative, 9th Edition. Investors, corporate executives, cabinet ministers and political leaders from around the world attend Saudi Arabia’s flagship business conference. King Abdulaziz International Conference Center.
Nov. 3-6, Abu Dhabi. ADIPEC. Bringing together professionals, companies, and government leaders to discuss and showcase the latest developments in oil, gas, and cleaner energy technologies. ADNEC Center.