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Mubadala Commits USD 50M Convertible Loan to Hungary’s 4iG

Mubadala Commits USD 50M Convertible Loan to Hungary’s 4iG
Image Source: Bloomberg Website
  • Mubadala commits a USD 50M convertible loan to Hungary’s 4iG, deepening ties with the Budapest-listed technology group.
  • The investment strengthens 4iG’s capital markets position and supports expansion across digital infrastructure and strategic sectors.
  • Conversion terms link to a 90-day VWAP, with equity conversion expected by Q1 2029 pending regulatory approvals.

Mubadala

Abu-Dhabi’s sovereign investor, Mubadala will provide a USD 50 million convertible loan to Hungary’s 4iG. 

Founded in 1995, 4iG is a Hungarian majority-owned capital markets holding company with headquarters in Budapest. It is active in the technology, infocommunications, digital infrastructure, as well as the space industries. Additionally, its shares are listed and traded on the Budapest Stock Exchange. It builds its presence through an approach across high-capacity networks, data centre and international data connectivity infrastructure, technology systems, and industrial solutions. 

With this agreement, both parties aim to further enhance their partnership. Furthermore, the sovereign investor will be able to increase its investment in 4iG in the future.

Established in 2002, Mubadala Investment Company is an Abu-Dhabi based sovereign investor. It manages a diverse portfolio of assets and investments in the UAE and abroad. Furthermore, its purpose is to generate sustainable financial returns for its shareholder, the Government of Abu Dhabi.

Investment

The conversion share price is based on the 90-day volume-weighted average trading price preceding the signing day of the instrument. The equity conversion will be carried out in compliance with applicable regulatory requirements at the end of Q1 2029. Furthermore, the parties aim to finalise the transaction by Q1 2026, subject to the required regulatory approvals. 

“This agreement can open new avenues for 4iG Group in international financial and capital markets, while also providing a solid foundation to deepen our cooperation with companies from the United Arab Emirates as well as key players in other global investment markets.” said Gellért Jászai, Chairman and CEO of 4iG.

Looking ahead, with this agreement, 4iG aims to support its sustainable, value-driven growth across the technology, infocommunications, digital infrastructure, and space sectors.

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