Dubai International Capital plans more Mideast deals
March 3, 2008
DUBAI (Zawya Dow Jones) — Dubai International Capital, a Dubai-government controlled investment company that owns a stake in HSBC Holdings Plc, plans more Mideast deals in an effort to capitalize on the region’s booming economies, a top executive said.
“DIC has close to $13 billion assets under management,” Sameer Al Ansari, the chief executive officer told reporters Monday. “Only 10%-15% of that has been deployed in the region.”
In 2007, DIC bought a 3.12% stake in European Aeronautic Defence & Space Co. It also has stakes in HSBC and Standard Chartered PLC, according to Zawya Investor.
The Middle East investment company may be looking closer to home after a slump in financial stocks made global markets less attractive to foreign buyers.
Al Ansari said that of the $13 billion in assets, around $1.5 billion is in the region.
The investment company, whose acquisitions already include a substantial stake in Sony Corp., will also continue to look east for further deals, said Anand Krishnan, DIC’s chief operating officer.
“DIC is planning to invest $5 billion in Japan, China and India in the next three years,” Krishnan said.
The U.S. and EU governments have in recent months sought more controls over investments from deep-pocketed state funds from the Middle East and Asia as they fear political interference.
However, Al Ansari said that DIC, whose acquisitions list includes a $1.4 billion stake in budget hotel company Travelodge, a GBP700 million buyout of Doncasters Group and EUR850 million acquisition of Mauser AG, “is not a sovereign wealth fund.”
Copyright (c) 2007 Dow Jones & Company, Inc.

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