Abu Dhabi’s International Holding Company (IHC) is pulling the trigger on yet another investment powerhouse as Abu Dhabi continues to centralize capital amid rising regional and international competition. International Holding Company (IHC) will establish Judan Financial in a bid to create what it says could be the region’s largest diversified financial services firm, according to a disclosure (pdf). The new entity will debut with a valuation of around AED 100 bn, overseeing more than 20 existing financial services firms with more than AED 870 bn in assets under management, according to a press release.

The ownership breakdown: IHC will jointly own the firm alongside subsidiaries Alpha Dhabi Holding, the newly merged 2PointZero Group, and Sirius International Holding. Individual stakes weren’t disclosed, however Sheikh Tahnoon bin Zayed Al Nahyan will chair Judan, with Investment Minister Mohamed Hassan Alsuwaidi serving as vice chairman.

Judan will provide exposure to different international markets, stretching across numerous sectors including mortgages and lending, microfinance, corporate, retail, and investment banking, asset and wealth management, ins. and reins., brokerage and capital markets, and tech-linked financial services. IHC, Alpha Dhabi, 2PointZero, Sirius, and other entities plan to transfer stakes in more than 20 entities into the company.

Some of IHC’s most prominent subsidiaries will be folded into the company, including: investment firm Chimera Investment, brokerage International Securities, asset manager Lunate, ins. arm RIQ, Egyptian investment bank Beltone, Abu Dhabi’s Wio Bank, and digital financing platform Zelo, among others. Further additions will depend on regulatory approval, the statement read, with the current portfolio including several entities tied to Wall Street players, Bloomberg reports.

Backing already in the bag: As part of Judan’s plan to attract third-party and institutional capital, it has already secured an initial group of institutional and strategic backers. It’s eyeing long-term partnerships with sovereign, ins., pension, and family office investors.

What’s next? Judan will stay private, with the firm saying it wants to retain as much strategic control as possible. Expansion is a priority in the coming five years, both organically and through takeovers. The firm is also looking to roll out digital and data-driven products.

Why this matters

The move is further evidence of Abu Dhabi recalibrating its investment strategy by consolidating smaller funds and entities into powerhouse investment vehicles, as the UAE looks to bolster its investing speed, agility, and capacity amid intensifying regional competition. Earlier this month, Abu Dhabi-based investment giant ADQ was consolidated under L’imad Holding, the UAE’s newer sovereign investment platform. The new entity was reported to hold as much as USD 500 bn in assets under management. Last year, IHC merged its subsidiaries Multiply Group, 2PointZero, and Ghitha Holding to form an AED 120 bn powerhouse.

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