Abu Dhabi’s sovereign wealth fund, Mubadala Investment Company, is reportedly exploring the possibility of acquiring a stake in Heathrow Airport, the UK’s busiest airport, according to a Bloomberg report.
The move is aimed at strengthening economic relations between the United Arab Emirates (UAE) and Britain.
According to reports, Mubadala has been approached by Ardian, a Paris-based buyout company, regarding a potential investment in Heathrow. While discussions are still underway and no final agreements have been reached, the move underscores the increasing interest of Gulf states in strategic investments in Western infrastructure.
Last November, Spanish infrastructure giant Ferrovial agreed to sell its 25% stake in FGP Topco, the parent company of Heathrow Airport, to Saudi Arabia’s Public Investment Fund and Ardian for nearly $3 billion. With Qatar already holding a 20 percent stake in Heathrow and other investors such as Caisse de dépôt et placement du Québec, Singapore’s GIC sovereign fund, and the Australian Retirement Trust also having stakes, Mubadala’s potential involvement could further diversify the airport’s investor base.
Mubadala, which is overseen by Sheikh Mansour bin Zayed Al Nahyan, vice-president of the UAE, has a track record of strategic investments, including ownership of Manchester City FC and investments in UK-based companies like CityFibre, a broadband infrastructure provider.
However, the potential deal faces scrutiny amid concerns about foreign ownership of critical infrastructure and its implications for national security. Recent investments by UAE entities in UK telecoms giant Vodafone and media outlets have drawn attention from British ministers, raising questions about the extent of foreign influence in sensitive industries.
While Heathrow, Ardian, Saudi Arabia’s Public Investment Fund, and Mubadala have not commented on the reports, the discussions highlight the ongoing trend of Gulf state investment in Western assets, sparking debates about security implications and the need for regulatory oversight.
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