Abu Dhabi’s sovereign wealth fund Mubadala is investing in London-headquartered hyperscale data center developer Yondr Group, according to a Mubadala press release. The investment was made alongside US-based Apollo Management ‘s through its existing investment funds. The financial details and terms of the transaction were not disclosed.

Mubadala is backing Yondr Group to fuel its growth strategy as global demand for cloud services surges on the back of advancements in artificial intelligence, 5G technology and the internet of things, according to the sovereign fund.

More on Yondr: Established in 2019, Yondr is a global developer and operator of hyperscale data centers, providing scalable infrastructure for major tech companies. The company has 878 MW in contracted and reserved capacity for the data centers, with 58 MW currently operational.

Mubadala has been steadily expanding its digital infrastructure portfolio: In 2023, Mubadala invested in Aligned Data Centers, a US-based company specializing in scale data centers and build-to-suit solutions for scaled enterprises. The year prior, the Abu Dhabi wealth fund backedPrinceton Digital Group, a pan-Asian data center provider. Mubadala has also invested in global fiber network providers like the UK’s CityFibre and Northern Europe’s GlobalConnect.

OTHER MUBADALA NEWS-

Mubadala-backed Fortress Investment joins consortium vying for Paramount takeover: Veteran media executive Edgar Bronfman Jr. submitted a USD 4.3 bn rival bid to acquire Paramount Global through National Amusements, which owns a controlling stake in Paramount, Reuters reports, citing people familiar with the matter. The bid was carried out via a Bronfman-led investor group of 19 entities, including Mubadala-backed Fortress Investment Group.

The offer: The bid includes USD 2.4 bn in debt and equity for National Amusements, as well as a USD 1.5 bn pledge to improve Paramount’s balance sheet. It matches the terms of a purchase agreement inked between Skydance Media and Paramount last month, with the additional promise of a 7% premium to class A shareholders, not extending to non-voting shares.

What’s next? A special committee of Paramount’s board will meet next Wednesday to review the competing bid, with the go-shop deadline potentially extended to 5 September to evaluate the offer. If Paramount decides in favor of the Bronfman-led group, the latter will cover the USD 400 mn breakup fee to Skydance, the newswire quotes sources as saying, adding that the group is ready to commit up to 5.5 bn to close the transaction.

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