The robust potential of the emerging markets and economies have stimulated considerable excitement among investors. Over the next decade, analysts have predicted that the African region could experience growth rates exceeding 5%, while the Asian region is expected to move at an even faster pace. Bearing testament to the bright prospects of these emerging economies, Dubai Investments PJSC (DI), a government-backed investment firm, is keen to tap into these opportunities available through its subsidiary, DI International.
Established in 2013, DI International is part of DI’s strategy to strengthen its international operations while reinforcing its position as a global conglomerate. It is mandated to build an international portfolio of diverse business assets across a wide spectrum of industries.
According to Khalid Kalban, the managing director and CEO of Dubai Investments: “The setting up of Dubai Investments International was the first step in our strategy to expand our global footprint in key markets. Our plans are in place and we are in advanced negotiations with leading strategic players on investment opportunities across diversified sectors in the existing and new geographical locations across the globe to consolidate our position as an important international player. We are now in the process of setting up agencies and representative offices across strategic markets.”
Perhaps to cater to its significant expansion plans, DI in February this year listed a US$300 million Sukuk issuance through its real estate subsidiary, Dubai Investments Park Development Co (DIP); the operator of Dubai Investment Park – the largest integrated business and residential community in the Middle East. The five-year Sukuk was exceptionally well-received, being 13 times oversubscribed with orders reaching US$4 billion. Following the Sukuk success, DI subsequently raised its foreign ownership limit from 20% to 35% on the back of the MSCI’s emerging market status upgrade of Qatar and the UAE.
DI is currently in advanced stages of negotiation with prospective business partners in Libya and Erbil in Kurdistan, Iraq to build an industrial, commercial and residential business park similar to DIP and to replicate its business model in the respective countries. DI International is also working with relevant government authorities to attract investments from international companies to set up industrial units within these business parks.
DI International is currently also targeting investments, joint ventures and strategic partnerships across Africa and Asia, as well as eyeing commercial projects in a number of Middle Eastern countries, some of which are emerging economies with a strong presence in Shariah compliant financial activities. — NA