Mubadala Capital Closes Fourth PE Fund for $3.1 Billion

Mubadala Capital, the wholly owned alternative asset management subsidiary of Mubadala Investment Company, has announced the successful closure of its fourth private equity fund, MIC Capital Partners IV (Fund IV), securing total commitments of $3.1 billion, far surpassing its initial target size of $2 billion.

Fund IV welcomed commitments from both new and existing Limited Partners (LPs), including leading US pension funds, university endowments, insurance plans, sovereign wealth funds, other asset managers and family offices across key markets in North America, Europe, the Middle East and Asia.

Fund IV will focus on leading middle-market companies in various sectors, including media, sports & entertainment, consumer & food services, financial services and business services, Mubadala Capital said.

Fund IV’s portfolio includes notable companies such as Fortress Investment Group, a leading global asset manager focused on credit and real estate, as well as Canada Cartage, one of the largest short-haul logistics providers in Canada.

Recent notable investments include the acquisition of Bugaboo, a household name in the juvenile products space, as well as Thrive Foods, the global leader by capacity in the fast-growing freeze-dried food sector.

Mubadala Capital CEO and Managing Director Hani Barhoush said that the strong reception they have received from LPs in an incredibly challenging and competitive fundraising environment is a testament to the quality of the company’s investment platform and our track record.

The team continued to generate attractive risk-adjusted returns for the investors by pairing the advantages of the company’s focused and disciplined investment strategy and approach with Mubadala’s global reach and network.

“We are excited about both the existing Fund IV portfolio and the current pipelinn addition to this fundraising achievement,” he added.

Strengthening Leadership

Mubadala Capital continues to strengthen its leadership team with the appointment of its first Chief Investment Officer, Oscar Fahlgren late last year.

Fahlgren, who was instrumental in establishing Mubadala Capital’s private equity business in Brazil and has a tenured career at the firm, said that reaching this milestone underscores the confidence their investors have in their ability to generate value in a highly differentiated way.

“Over the course of almost 20 years, we have managed to combine the quality of our team with a flexible balance sheet and extensive global network in a way that has allowed us to identify attractive investment opportunities in the middle market regardless of market conditions,” he added.