Apollo has acquired an 11.1% minority stake in Aldar Investment Properties for US$ 400 million, enhancing Aldar's position as a premier real estate investment platform in the UAE.

Information on the Target

Aldar Investment Properties (AIP), a subsidiary of Aldar Properties PJSC, is recognized as the largest institutional-class real estate platform in the region. Recently, Apollo has acquired an 11.1% minority stake in AIP through its managed investment vehicles, marking a significant investment of US$ 400 million. This equity acquisition is part of a broader US$ 1.4 billion transaction, which was initially announced in February 2022, aimed at supporting Aldar's transformative growth initiatives.

The investment consists of issuing US$ 400 million in common equity and mandatory convertible preferred equity at 100% of net asset value (NAV) into AIP. The platform houses Aldar's core asset management business, which manages a diverse portfolio of approximately AED 23 billion (US$ 6.3 billion) in prime real estate assets across various sectors, including retail, residential, commercial, and logistics. The portfolio's robustness is evidenced by a high occupancy rate of 92% as of June 30, 2022.

Industry Overview in the UAE

The real estate industry in the United Arab Emirates (UAE), particularly in Abu Dhabi, has experienced substantial growth and resilience, supported by a favorable economic environment and an increasing influ