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Abu Dhabi’s Mubadala in £1 billion UK life sciences deal

Princess Tarfa

A £1 billion ($1.38 billion) life sciences deal has been signed between the UK Office for Investment (OfI) and Abu Dhabi's Mubadala Investment Company.

It is the first of its kind for the UK, and it will strengthen established UK-UAE trade and investment relations, which were worth £32 billion in 2019, according to a joint statement released by the two countries on Wednesday.

Mubadala will spend £800 million in UK life sciences over the next five years as part of the agreement. It will be used in conjunction with the UK's £200 million Life Sciences Investment Program, which was revealed last year.

UK International Trade Secretary Liz Truss said, "The UAE is a valuable trading partner for the UK and home to some of the world's largest and most experienced investment companies." “It's great that we're working more together in tomorrow's sectors, such as research, technology, and green development, so we can better rebuild and deliver an investment-led, job-led recovery from the coronavirus.”

The UK's life sciences industry produces an annual turnover of £80 billion and employs over 250,000 people. In the race to develop vaccines to combat the pandemic, the sector is increasingly gaining global prominence. Mubadala said it will use its global portfolio of more than 50 countries to help bind UK companies to research and innovation initiatives.

The sovereign fund's investments are concentrated in sectors that are driven by innovation and technology, such as composite manufacturing, semiconductors, renewable energy, biotech, and urban mobility.

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