GE Taps UAE's Mubadala For Expansion In The Middle East, Africa

July 23, 2008 3:45 p.m. EST

Abu Dhabi, United Arab Emirates (AHN) - General Electric Co. and Abu Dhabi-based Mubadala Development Co. have ventured into a global partnership that includes commercial finance business, aviation and research center for clean energy, and plans to expand GE's services in the Middle East and Africa.

Market Watch reported that the firms will establish a joint venture company, wherein each will hold 50 percent stake. The companies plan to allocate $4 billion each in equity over a three-year period.

The joint venture, which has an initial outlay of $8 billion, will be established in the next 12 months and will be headquartered in Abu Dhabi.

GE plans to invest $50 million in the second clean-tech fund of Masdar, where as many as 100 technologists will develop sustainable energy, water and other solutions.

In addition, GE will look into expanding its existing aircraft engine overhaul operation with Mubadala's Abu Dhabi Aircraft Technologies.