Mubadala opens $25B credit business to outside investors

Abu Dhabi’s Mubadala Investment Company is opening its expanding private credit business to outside investors, a move that could reshape how institutional capital flows into one of the fastest-growing corners of alternative finance.

For a fund that manages roughly $30 billion in total assets across balance sheet and third-party vehicles, inviting external money into its credit operations is less a sign of need and more a strategic play to scale influence in global lending markets.

Building the credit machine

Mubadala Capital has been assembling its private credit infrastructure piece by piece. In December 2024, it acquired a 42% stake in Silver Rock Financial LP, a US-based credit manager. That deal, structured through cash and stock, was notable because it marked the first time Silver Rock accepted external equity in its ownership.

By early 2025, Mubadala reported a private credit portfolio valued at $20 billion, with investments diversified across North America and Europe. Then in April 2025, the fund struck a $1 billion partnership with Fortress Investment Group to collaborate on private credit and asset-based lending.

The latest milestone came in January 2026, when Mubadala Capital closed a $550 million co-investment fund designed specifically for external investors. The fund, focused on credit deals in North America and Europe, exceeded its original fundraising target.

The competitive landscape

Mubadala isn’t operating in a vacuum. Abu Dhabi’s other major sovereign vehicle, the Abu Dhabi Investment Authority (ADIA), has also been expanding its credit capabilities. Across the Gulf, funds from Saudi Arabia, Qatar, and Kuwait are all chasing similar strategies.

The private credit market has ballooned globally as banks retreated from certain types of lending after tighter post-2008 regulations. By creating co-investment structures, Mubadala can participate in larger deals without concentrating risk on its own balance sheet. It also builds relationships with institutional investors, from pension funds to endowments, that can be leveraged across other parts of the portfolio.

The $550 million co-investment fund exceeding its target suggests strong market confidence, though early-stage enthusiasm doesn’t always survive a full credit cycle.

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