Daily Management Review

Blackstone & PIF of Saudi Arabia In An Infrastructure Investment Plan Of ‘$40 Billion’


05/24/2017


New investment plan to “create well-paying American jobs” besides laying out “stronger long-term economic growth”.



The main “sovereign wealth fund” of Saudi Arabia along with the “private equity firm” of the United States, Blackstone, announced that the duo has plans of creating “$40 billion vehicle which would be used in “infrastructure projects” mostly based out of the U.S.
 
PIF, or the “Public Investment Fund” in collaboration of Blackstone entered into a contract of “non-binding memorandum of understanding for the project”. However, the realisation of the project will be dependent on “further negotiations”. The U.S. President, Donald Trump’s attempt of rebuilding the “crumbling” infrastructure of the United States has prepared the grounds for such “proposed venture” which was revealed during the president’s visit to Riyadh.
 
Furthermore, Blackstone expectations were that vehicles could have “$40 billion of equity commitments, with a $20 billion anchor investment from the PIF with the rest from other investors. Through this equity plus debt financing, Blackstone expects to invest in more than $100 billion of infrastructure projects”.
 
Talking about the new fund, the Managing Director at PIF, Yasir al-Rumayyan, stated that it “reflects our positive views around the ambitious infrastructure initiatives being undertaken in the United States as announced by President Trump”.
 
While, the President of Blackstone, Hamilton James, added:
“This will create well-paying American jobs and will lay the foundation for stronger long-term economic growth.”
 
References:
http://www.cnbc.com







Science & Technology

Five loudest data leaks

Airbus announces Moon exploration competition

Former Head Of Google China Thinks Funding In AI Should Be Doubled By US

Germany Introduces The First Ever Train To Run On 100% Hydrogen

Germany Plans On Cyber Security Research To End Reliance On U.S. Tech

Fuchsia will kill Android by 2023: Top 5 facts about the new OS

New Study Finds Goats Interact More With Happy People

More than 32 thousand "smart" houses under threat of hacker attack

Internet addiction and children: Global plague

Apple takes up to develop Apple Watch for health monitoring

World Politics

World & Politics

Cyprus Cobalt Air stopped flights

Transparency International: Europe should stop selling citizenships

Turkey: We are not going to discuss borrowing from IMF anymore

Trump in your mobile phone: US is going to test Presidential Alert system

European automakers warn of consequences of tight emission controls

IATA: EU-UK flights can be cancelled due to Brexit disagreements

Ex-Brexit Minister Said A ‘Reset’ Is Needed For Brexit Talks

10 countries with the best healthcare systems