ADQ, an Abu Dhabi-based investment and holding company, has signed a definitive agreement with Sothebys, the global leader in fine art and secondary market luxury, for ADQ to acquire a minority interest.
Under the terms of the agreement, ADQ will acquire newly issued shares of Sothebys to further strengthen its balance sheet and augment the companys growth and innovation plans. Bidfair, owned by Patrick Drahi, acquired Sothebys in 2019 marking its return to private ownership after 31 years, will also invest additional capital alongside ADQ and remain Sothebys majority owner. The total amount of investment is approximately $1 billion.
Established in 1744, Sothebys is a premier destination for art and luxury and a trusted global marketplace, with a network of specialists across 40 countries and covering 70 categories including Contemporary Art, Modern and Impressionist Art, Jewellery, Watches and Design.
ADQs investment into Sothebys reflects its strategic commitment in pursuing value accretive investment opportunities that contribute to the economic diversification of Abu Dhabi.
This marquee investment will support Sothebys in delivering its growth agenda while accelerating its expansion into new markets, including establishing a more robust presence in Abu Dhabi as the emirate continues to strengthen its arts and culture offering domestically.
Hamad Al Hammadi, Deputy Group Chief Executive Officer of ADQ, said: “We are delighted to partner with Sothebys, 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 Sothebys 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 Sothebys and being a part of its journey.”
Charles F. Stewart, CEO at Sothebys, said: “We are delighted to welcome ADQ as a shareholder to Sothebys. We embrace their long-term view 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.”
The investment agreement is subject to customary approvals and expected to close before the end of the year.
ALETIHAD
