Mubadala acquires minority stake in Luckin Coffee through $1 billion deal
Abu Dhabi’s sovereign wealth fund Mubadala, together with Centurium Capital, invested $1 billion for a significant minority share in China’s Luckin Coffee.
Mubadala, the sovereign wealth fund of Abu Dhabi, partnered with Centurium Capital to inject $1 billion into Luckin Coffee, securing a substantial minority stake in the Chinese coffee retailer. This transaction expands Mubadala’s long-standing presence in China, where it has executed over 100 investments totaling more than $20 billion since 2015. The deal underscores strengthening economic links between the United Arab Emirates and China, a relationship highlighted by Crown Prince Sheikh Khaled bin Mohamed’s April trip to Beijing for talks on broader bilateral cooperation. Despite the growing China exposure, U.S. assets still account for 44% of Mubadala’s $385 billion portfolio, and American technology firms remain pivotal to the UAE’s ambition to become a global AI leader.
Why it matters
The investment deepens UAE-China economic ties and signals Mubadala’s confidence in Luckin’s recovery and growth prospects.
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