Abu Dhabi Buys Big Stake in GE

The Wall Street Journal is reporting that Mubadala Development, one of the most active of Abu Dhabi's investment firms, is staking $8 billion on an investment in General Electric. They will supply about $4 billion in equity to "jointly set up a commercial-finance division aimed at Middle East and African markets. In addition, Mubadala has agreed to become one of GE's top 10 institutional investors.Ed Lasky points out the troubling aspects of this move:For the last few years, GE has pursued wind power and alternative energy plays as one of the legs it hoped to stand upon going into the future. Let's hope that Abu Dhabi does not wield its investment dollars in ways that frustrate GE's quest to  help liberate the world from fossil fuel endowed tyrannies-such as Abu Dhabi.As one of GE's top institutional investors, anything is possible. Read more here.(Read Full Post)