Khazanah Nasional Bhd’s investments in the United States are in line with the government strategic investment arm’s mandate to create long-term value for Malaysia via multiple sectors and geographies.
Khazanah, in a statement today, said it has to date made a total of 15 investments worth approximately US$410 million (US$1=RM4.197) in the US, principally in the technology sector.
“Our investments in the US represent 1.3 percent of our portfolio’s realisable asset value of RM145.3 billion as at Dec 31, 2016,” it said.
Khazanah said it practised a strict process of origination and evaluation of investment proposals, involving detailed due diligence and multiple investment gates, before submission to the board of directors for consideration and approval.
“Overall, long-term value creation from our investment portfolio remains steady, with our portfolio net worth adjusted having increased 3.1 times, or growing at a compounded annual growth rate of 9.3 percent per annum for the period from May 2004 to Dec 31, 2016,” it said.
Going forward, Khazanah said it would continue to explore investment opportunities in the US, focusing primarily on the innovation and technology sector through its subsidiary, Khazanah Americas Incorporated, which was incorporated in 2013 in San Francisco.
The San Francisco office is the third of Khazanah’s five foreign offices, the others being in Beijing, Mumbai, Istanbul and London.