The Abu Dhabi Investment Authority (ADIA) could invest up to $1 billion and join a multi-billion-dollar leveraged buyout deal to acquire US-based Medline Industries Inc, according to a media report.
ADIA will back the takeover of Medline by a consortium led by Blackstone Group, Carlyle Group and Hellman & Friedman, Bloomberg reported, citing people familiar with the matter.
Bloomberg also said that ADIA, the sovereign wealth of the Gulf emirate, confirmed the investment.
The Blackstone-led consortium has edged out Canadian alternative investment firm Brookfield Asset Management Inc to acquire Medline.
The deal, which values Medline at $30 billion, is also being backed by the Singaporean sovereign wealth fund GIC.
ADIA is one of the biggest sovereign wealth funds in the world with assets under management in excess of $700 billion.
Medline is one of the biggest suppliers and distributors of medical supplies like gloves, medical examination tables and gowns.
In 2020, ADIA backed a $19 billion buyout of a Thyssenkrupp unit by private equity firms Advent International and Cinven. It was also a part of a consortium that acquired Nestle’s $10 billion skincare business in 2019.
This is ADIA’s second healthcare deal in in the last two months. In May, it acquired a minority stake in Dedalus Holding from private equity firm Ardian.