Abu Dhabi’s US$500mn Carlyle investment

Deal strengthens partnership between SWF and asset manager.

Mubadala Development Company, Abu Dhabi’s sovereign wealth fund, has increased its shareholding in the Carlyle Group through a US$500mn investment in the US asset manager.

The fund has received convertible subordinated notes and additional equity in Carlyle, which will use the proceeds to develop new investment products.

Mubadala bought a 7.5% stake in Carlyle in 2007 when the two firms formed a partnership to identify investments in the Middle East and North Africa.

Citi and JP Morgan were financial advisers to Carlyle, while Goldman Sachs acted for Mubadala.