Abu Dhabi ADQ to buy $1bn minority stake in Sotheby’s
ABU DHABI, August 10, 2024
Leading Abu Dhabi-based investment and holding company ADQ has announced that it has signed a definitive agreement with Sotheby’s, the global leader in fine art and secondary market luxury, to acquire a minority interest in the company.
Under the terms of the agreement, ADQ will acquire newly issued shares of Sotheby’s to reduce leverage and support the company’s growth and innovation plans.
Patrick Drahi, who acquired Sotheby’s in 2019, will also invest additional capital alongside ADQ and remain Sotheby’s majority owner. The total amount of investment is approximately $1 billion.
ADQ’s investment in Sotheby’s reflects its strategic commitment to pursuing value-accretive investment opportunities that contribute to the economic diversification of Abu Dhabi.
This marquee investment will support Sotheby’s in delivering its ambitious growth agenda while accelerating its expansion into new markets, including establishing an even more robust presence in the Middle East, as Abu Dhabi continues to strengthen its arts and culture offering domestically.
On the strategic move, ADQ Deputy Group CEO Hamad Al Hammadi said: "We are delighted to partner with Sotheby’s, a distinguished institution with a storied heritage. ADQ remains committed to exploring compelling investment opportunities that drive value for Abu Dhabi."
"Our investment underscores our firm belief in the enduring value of Sotheby’s brand, market-leading platform and the ability of its management to execute on their growth agenda. We look forward to creating new collaboration opportunities with Sotheby’s and being a part of its journey," he stated.
Charles F. Stewart, CEO at Sotheby’s, said: "We are delighted to welcome ADQ as a shareholder to Sotheby’s. We embrace their long-term vision of our business, and this investment is a testament to what we have achieved so far as well as our significant potential for future growth."
"The additional capital and investment expertise will enable us to accelerate our strategic initiatives, expand our commitment to excellence in the art and luxury markets, and continue to innovate to better serve our clients around the world," he added.-TradeArabia News Service
