Dubai International Capital, an investment company owned by the emirate’s ruler, Sheikh Mohammed bin Rashid Al Maktoum, is to invest more than $1 billion in Och-Ziff Capital Management Group, the Wall Street Journal reports.
Dubai International Capital, based in the UAE, will buy 9.9% of Och-Ziff when the firm completes its planned IPO. It will purchase 38.1 million class A shares for no more than $33 a share, an investment of about $1.26 billion.
Sovereign wealth funds from Asia and the Middle East had focused on private-equity firms as they invested profits resulting from the surge in oil prices and booming economies.
Och Ziff’s IPO in mid-November may be one of the largest in the U.S. for a firm focused on hedge-fund investing, although Och-Ziff also is involved in private-equity ventures and real estate. The firm manages almost $27 billion.