Mubadala Enters $1B Partnership with Fortress for Strategic Investments
Deal News | Apr 24, 2025 | Zawya
Mubadala, an Abu Dhabi sovereign wealth fund, and Fortress Investment Group, a US-based investment firm, have joined forces to allocate $1 billion into private credit ventures, asset-based lending, and real estate projects. This collaboration is part of a strategic partnership that builds upon Mubadala's stake acquisition in Fortress through its subsidiary, Mubadala Capital, in May 2024. The alliance will see $1 billion deployed into Fortress’s existing investment strategies as well as new business lines focused on strategic partnerships and acquisitions. Fortress, holding $49 billion in managed assets and $200 billion in overall investments as of December 2024, boasts a management team with a 32% equity share, giving them substantial board representation. Mubadala Capital’s consortium holds the remaining 68%, solidifying its influence and collaboration with Fortress.
Sectors
- Private Credit
- Real Estate
- Asset-Based Lending
Geography
- United Arab Emirates – Mubadala, part of the Abu Dhabi government, is a key player in the partnership, making the UAE a relevant geography.
- United States – Fortress Investment Group is a U.S.-based firm, and its involvement in the partnership makes the US geography significant.
Industry
- Private Credit – The article discusses a partnership involving the deployment of funds into private credit strategies, which falls under this sector.
- Real Estate – Mubadala and Fortress plan to invest in real estate, making this sector relevant to the article.
- Asset-Based Lending – The investment strategy includes asset-based lending, which is a key area in financial services.
Financials
- $1 billion – The total amount to be deployed from Mubadala into Fortress's investment strategies.
- 32% – The equity interest in Fortress held by its management, allowing them to appoint the majority of the board.
- 68% – The equity interest in Fortress owned by a consortium led by Mubadala Capital.
- $49 billion – The assets under management by Fortress as of December 2024.
- $200 billion – The total amount invested by Fortress as of December 2024.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Mubadala | Investor | Company | An Abu Dhabi sovereign wealth fund partnering with Fortress to deploy $1 billion. |
| Fortress Investment Group | Investment Firm | Company | A US investment firm collaborating with Mubadala in private credit and real estate ventures. |
| Mubadala Capital | Subsidiary | Company | Mubadala Capital, a subsidiary of Mubadala, owns a 68% stake in Fortress. |
| Mubadala Capital Consortium | Major Stakeholder | Company | Owns a 68% equity interest in Fortress, facilitating the partnership. |