• Abu Dhabi’s Lunate is discussing a potential USD 1B commitment to state-backed AI investor MGX.
• MGX, an AI investment firm, has invested in OpenAI and xAI, partnering with BlackRock to expand AI infrastructure.
• Lunate invests across private markets, including buyouts, growth equity, early and late-stage venture, private credit, and public equities.

Lunate

Abu-Dhabi based alternative investment manager, Lunate, is in the process of discussing committing USD 1 billion to UAE state-backed AI investor MGX.

The asset manager deploys capital through four distinct fund strategies, niche partnership and manages money on behalf of other investors. However, it is not yet clear what the structure of the MGX investment 

Based in the UAE, MGX is an AI and advanced technology investor. The company is chaired by Sheikh Tahnoon Bin Zayed Al Nahyan, National Security Advisor of the UAE. Additionally, it is a joint venture between Abu Dhabi’s state-owned wealth fund Mubadala and Abu-Dhabi AI firm G42.

It is worth noting that MGX has also invested in OpenAI and Elon Musk’s xAI. It has also recently partnered with BlackRock Inc in an agreement aiming to fuel the expansion of next gen cloud and AI infrastructure. Following this momentum, MGX aims to ramp up its AI investments.

Lunate is an Abu Dhabi-based, partner-led, independent global alternative investment manager. It manages around USD 110 billion in assets and has close to 200 employees. In addition, the firm primarily invests across the entire private markets spectrum. This includes buyouts, growth equity, early and late-stage venture capital, private credit, real assets, and public equities and public credit. 

Bottom line: Lunate’s potential USD 1 billion investment signals Abu Dhabi’s growing focus on AI and strategic technology partnerships across the region. Simultaneously, MGX is steadily increasing its AI investments, combining state support and international partnerships to advance advanced technology projects.