Brazil is the largest economy in South America and is rapidly growing into one of the largest economies in the world. It has huge natural resources which are constantly being developed to drive economic growth.
Looking to capitalise on the expansion of this huge countries economy, and the inevitable investment which will be put into developing infrastructure, Abu Dhabi’s Mubadala Development Company is looking to increase its presence in Brazil.
Just three months ago it confirmed a $2 billion deal with Brazilian tycoon Eike Batista, to acquire a 5.63 percent stake in his holding firm Centennial Asset Brazilian Equity Fund, which looks for future investment opportunities such as technology companies, cement, fertilisers, entertainment and more.
Now Mubudala is looking to invest in other larges Brazilian companies in order to set up partnerships in the renewable energy sector, as well as in health care, information technology, infrastructure, and aerospace investments. It has plans to spend about $5.47 billion this year as it seeks to create a broad business portfolio, poised to take advantage of Brazils growing economy and progress to become a developed country.
Nawal Al-Hosany, the director of Mubadala’s Masdar unit, admitted that, “we have been interested in Brazil for some time. Brazil's high on our agenda.”
By. Charles Kennedy of Oilprice.com
Charles is a writer for Oilprice.com