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Macquarie and ADCB to sponsor US$1 Billion Middle East infrastructure fund

Abu Dhabi, 16 December 2008 - The Macquarie Group (Macquarie) and Abu Dhabi Commercial Bank (ADCB) announced today the launch of a fund that is expected to raise up to US$1 billion to invest in infrastructure opportunities in the Gulf Cooperation Council (GCC) as well as the broader Middle East and North Africa (MENA) region.

An initial cornerstone investment of US$500m has been made by Al Hail Holding, a prominent UAE-based investor and developer, and the fund - ADCB Macquarie Infrastructure Fund (AMIF) - is now welcoming other regional investors.

AMIF, which has to date raised US$630 million in capital commitments, is currently raising capital from both domestic and international institutional investors to make investments in infrastructure and infrastructure-like assets primarily in GCC countries. It may also make investments in the broader Middle East and North Africa (MENA) region. Its current investor base comprises institutions in Qatar, Kuwait and Korea, in addition to sponsor commitments from ADCB and Macquarie.

"A strong pipeline of investment opportunities has already been identified for AMIF on the back of Macquarie and ADCB 's unique deal-sourcing capabilities and the considerable demand for private infrastructure projects in the GCC countries," said Eissa Al Suwaidi, Chairman of ADCB .

He said AMIF intends to provide equity capital for investments in traditional infrastructure, such as: roads, water and wastewater utilities, ports, airports, district cooling, electricity transmission and distribution, gas distribution and social infrastructure.

The General Manager of Al Hail Holding LLC, Hamad Jassim Al Darwish, said: "We believe that AMIF, which is supported by one of the largest and most experienced infrastructure finance teams in the region, is well positioned to benefit from the infrastructure deal flow in the GCC and for this reason we are pleased to be the cornerstone investor in the fund. AMIF offers a significant value proposition to Al Hail as an equity investor while allowing us to contribute to the long-term development of the region with real benefits for the community.

"Our commitment is testament to the strength of the management capabilities of Macquarie and ADCB and our positive outlook on investing in infrastructure assets in the region."

Hajir Naghdy, Managing Director of the ADCB Macquarie joint venture, said the ADCB Macquarie joint venture was a unique partnership, backed by unrivalled infrastructure-related experience and knowledge of the regional market. It combines ADCB 's unmatched local strengths with Macquarie's significant global experience, he said.

"Bringing together Macquarie's global experience in infrastructure and ADCB 's unmatched credentials and footprint in its home market will give our new fund, AMIF, powerful deal origination opportunities and an unrivalled ability to execute deals," said Mr Naghdy.

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About ADCB Macquarie
Macquarie formed a joint venture with ADCB in July 2005, which builds on the existing corporate finance capabilities of both institutions, focusing on the infrastructure sector. ADCB Macquarie Corporate Finance provides mergers and acquisition and project finance advisory services to clients in the United Arab Emirates.

With the successful close of some significant transactions of sizable volumes ADCB Macquarie is fast becoming a recognized and reputed name in the region. The local presence of ADCB combined with the technical expertise of Macquarie serve to make the ADCB Macquarie Corporate Finance team an attractive option for many local projects.

About Macquarie
Macquarie Group (Macquarie) is a global provider of banking, financial, advisory, investment and funds management services.

It is a global leader in the infrastructure finance sector with more than $A149 billion of specialist assets under management. Macquarie's specialist funds management model has been a key driver and has been exported to international markets.

Macquarie's experience and expertise provide a competitive advantage in acquiring and managing assets, thereby delivering superior returns to fund investors.

About ADCB
ADCB is a full-service commercial bank which offers a wide range of products and services such as retail banking, wealth management, private banking, corporate banking, commercial banking, cash management, investment banking, corporate finance, foreign exchange, interest rate, currency, derivative and Islamic products, project finance, property management and strategic investments.

ADCB is owned 64.8 percent by the Abu Dhabi Government through Abu Dhabi Investment Council. Its shares are traded on the Abu Dhabi Securities Market in Abu Dhabi.

ADCB was recently named "Bank of the Year 2008" by Banker Middle East Magazine. For more information, please visit us on www.adcb.com.

About Al Hail Holding
Al Hail Holding is a company that manages a portfolio of local and international investments, projects and initiatives. Examples of projects that Al Hail has been involved in include the development of the Al Hail Industrial Free Zone in Fujairah. Through its investment and development projects and relationships with regional governments, Al Hail aims to be an engine for economic diversification and investment in the United Arab Emirates and the broader region.

For further information please contact:
Kathryn Hanes
Macquarie Group Public Relations
+65 6231 2827
kathryn.hanes@macquarie.com

Yaser Mansour
ADCB Corporate Communications
+9712 696 2588
+9712 50 444 0584
Yaser.m@adcb.com

© Press Release 2008

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