Abu Dhabi-based investment group MGX is considering plans to raise as much as $25 billion in third-party capital to expand its artificial intelligence holdings, according to Bloomberg News on Tuesday, citing sources familiar with the matter.
MGX declined to comment on the report, and Reuters could not immediately verify the details. However, the report suggests that company executives are exploring funding from both financial and strategic investors in Abu Dhabi and beyond, though Mubadala Investment Co and AI firm G42 are expected to remain the primary backers.
The discussions come amid increasing focus on artificial intelligence, with MGX having already invested in prominent companies like OpenAI and Elon Musk’s xAI. The company is chaired by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security adviser and brother of UAE President Sheikh Mohammed bin Zayed.
Further developments include reports from the Financial Times last week indicating that French AI startup Mistral is in talks with MGX and other investors to raise $1 billion at a valuation of $10 billion.
These moves align with the UAE’s broader ambitions to strengthen its AI capabilities, further bolstered by agreements like the recent UAE-U.S. deal to secure advanced AI chips. While no final decisions have been made, the growing interest in AI investments signals the UAE’s desire to become a key player in the sector.
