GDF Suez, Veolia Said Bidding for $300 Million Mubadala Unit

Mubadala Development Co., owned by the government of Abu Dhabi, received bids from GDF Suez and a unit of Veolia Environnement SA (VIE) to buy cooling operations in the emirate, according to two people familiar with the matter.

The sale is worth about $300 million and Bank of America Merrill Lynch is advising Mubadala on the disposal, the people said, asking not to be identified as the information isn’t public. Veolia is bidding through its Dalkia unit, they said.

The assets provide air conditioning for buildings on Al Maryah Island, which is being developed by Mubadala as the new central business district. It is already home to a branch of the Cleveland Clinic and is planned to be the location of the emirate’s new financial center, the Abu Dhabi Global Market.

Bank of America Merrill Lynch is at an advanced stage in evaluating the bids and a buyer could be chosen soon, according to one of the people.

A spokesman for Mubadala declined to comment. Bank of America Merrill Lynch and Dalkia also declined to comment, while calls to GDF Suez (GSZ) in Paris weren’t immediately returned.

Mubadala, which has assets of 204 billion dirhams ($55 billion), has built a branch of the Sorbonne University in Abu Dhabi and co-invested with GE Capital as part of its plan to modernize infrastructure and develop financial services in the emirate.

To contact the reporter on this story: Matthew Martin in Dubai at

To contact the editor responsible for this story: Dale Crofts at

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