Abu Dhabi wealth fund Mubadala to take over MetrôRio subway instead of Invepar – O Globo report

RIO DE JANEIRO, BRAZIL – The Arab investment fund Mubadala will take over the Rio de Janeiro subway concession instead of Invepar, says columnist Ancelmo Gois of Brazil’s “O Globo.” According to him, an order from Rio’s governor Cláudio Castro last year authorized the transfer.

Also, according to the columnist, Mubadala and the Farallon Fund helped restructure Invepar’s R$2.5 billion (US$500 million) debt in September. As a result, it was decided that Invepar would give up the concessions for the subway and the Yellow Line toll road expressway.

In the case of the expressway, however, approval is required from both the City of Rio and the Federal Supreme Court (STF), where the case eventually landed.

The Globo article recalls that Invepar was thrown into crisis by the problems of contractor OAS, which after Operation Lava-Jato had to leave the company in the hands of a group of pension funds.

Mubadala Investment Company PJSC is an Emirati state-owned holding company that can be characterized as a sovereign wealth fund.

It was established in January 2017 as a Public Joint Stock Company, merging the then-named Mubadala Development Company (now Mamoura Diversified Global Holding) and the International Petroleum Investment Company (IPIC), and is a wholly-owned investment vehicle of the government of Abu Dhabi, in the United Arab Emirates.

Mubadala’s mandate is to facilitate the diversification of Abu Dhabi’s economy. Its focus is on managing long-term, capital-intensive investments intended to deliver strong financial returns and tangible social benefits for the Emirate.