Agreement Represents First Mubadala Investment in Russia

Abu Dhabi and Moscow – Mubadala Development Company (Mubadala), the Abu Dhabi-based strategic development and investment company, and Verno Capital (Verno), a specialist fund manager in the capital markets of Russia and the CIS, today announced that Mubadala will invest $100 million into Verno managed funds. This agreement represents Mubadala’s first investment in the Russian market.

Verno Capital was founded by Dimitri Kryukov and his three Partners, who together are one of Russia’s most experienced and successful investment teams. Chief Investment Officer Kryukov has 18 years capital markets experience in the region. Before establishing Verno, Kryukov and his senior team were at Kazimir Partners which delivered annualized returns to investors of 30% from inception in 2002 to 2008.

Mubadala Chief Executive Officer Khaldoon Al Mubarak, said, “Russia’s recent economic performance and the future potential for the broader region make it an exciting new market for Mubadala. Following an analysis of opportunities in Russia, it became clear that the most effective approach to our first investment in the region was to collaborate with a proven local partner. We are therefore pleased to announce our partnership with Verno whose leadership has a great track record. We are confident that together we will foster a strategic relationship that will create new investment opportunities for both Mubadala and Verno.”

Verno is attracting new funds into the Russian and CIS capital markets, targeting investors from emerging markets in the Middle East and Asia as well as from the traditional markets of the USA and Europe. Investors looking to capitalize on the potential of the Russian and CIS markets through Verno managed funds will be supported by Verno offices in Russia, Switzerland and the USA.

“Mubadala is a world class investor and our partnership offers both organizations the opportunity to capitalize on the dynamic potential of the Russian and CIS markets,” said Dimitri Kryukov, founder of Verno Capital. “At the same time Mubadala is at the vanguard of a new class of investors into Russia. We believe this vote of confidence is a signal to top emerging market investors around the globe.”

About Mubadala Development Company

Mubadala Development Company (Mubadala) is a catalyst for the economic diversification of Abu Dhabi. Established and owned by the Government of Abu Dhabi, the company’s strategy is built on the management of partnerships and long-term, capital-intensive investments that deliver strong financial returns and tangible social benefits for the Emirate of Abu Dhabi, and contribute to the growth and diversification of its economy.

Mubadala brings together and manages a multi-billion dollar portfolio of local, regional, and international investments and partners with leading global organizations to operate businesses across a wide range of industry sectors including aerospace, energy, healthcare, industry, information communications and technology, infrastructure, real estate and hospitality. For more information about Mubadala please visit http://www.mubadala.com

Mubadala Media Contacts:

Mitchell Prather
Mubadala Development Company
E: mprather@mubadala.ae
M: +971 2 413 2775

About Verno Capital

Verno Capital is dedicated to investing in the combined Russian and CIS region. Founded by one of the leading and most experienced teams in the capital markets of Russia and the former Soviet Union, the firm’s objective is to maximize long term returns through on the ground research and fundamental bottom up analysis while managing inherent risks; providing investment vehicles through which investors can access the upside potential of the Russian market while at the same time reducing the volatility.

The Verno team has worked together previously in a regulated institutional asset management firm where they significantly outperformed the market and built a reputation for capital preservation and operational excellence. Verno is comprised of both western and Russian professionals and its investment team brings together research, trading and portfolio management capabilities with its expert knowledge of the Russian market. Verno’s offices are located in Russia, Switzerland and the United States. For more information about Verno please visit http://www.verno-capital.com

Verno Capital Media Contacts:

Verno Capital

Evgenia Shipova
E:evgenia.shipova@pbn.ru
M:+7 (495) 775 00 77
M:+7 (985) 111 27 83

Alex Glover
E: Alex.glover@fininternational.com
M: +44 (20) 7608 2280