International law firm Freshfields Bruckhaus Deringer has advised the Russian Direct Investment Fund (RDIF) on its $2bn joint co-investment fund with Abu Dhabi’s Mubadala Development Company.
RDIF is a $10 billion fund established by the Russian government to make equity investments primarily in the Russian economy alongside sovereign and institutional investors, thereby acting as a catalyst for direct investment in Russia. Mubadala is an investment and development company supporting diversification of the UAE by investing in key social infrastructure and creating globally integrated industry sectors in Abu Dhabi.
The arrangements combine an element of deal by deal investment by the parties with an automatic level of co-investment by Mubadala into RDIF sponsored deals.
Commenting on the transaction, Mark Watterson, corporate partner at Freshfields said: ‘The transaction represents a further development of RDIF’s mandate to co-invest alongside some of the largest and most sophisticated financial and strategic investors and, in particular, in the expansion of its relationships with key sovereign investors. The co-investment arrangements with Mubadala will increase the level of Middle Eastern investment in Russia and contribute to the greater diversification of the UAE’s investment portfolio.’
The Freshfields team advising on the deal was led by corporate partners Mark Watterson and George Swan who were supported by corporate associate Oliver Crowley.
