BlackRock is backing a $1 billion, artificial intelligence-backed reinsurance platform launched by IHC and headquartered in Abu Dhabi.
The new platform, which is yet to be named, will serve global markets with a focus on growing the insurance and capital markets ecosystems in the Middle East and Asia, a joint statement said.
Following the signing of definitive documentation, BlackRock will make an investment in the platform, holding a minority stake. The size of its stake was not disclosed.
The platform is backed by more than $1 billion in initial equity commitments and will be based in the Abu Dhabi Global Market — the emirate’s financial center. Initial commitments will be bolstered by additional hybrid and debt financing, the statement added.
The world’s largest asset manager, with $11.58 trillion in AUM, will also provide insurance asset management, advisory, and technology capabilities through its Aladdin platform.
Abu Dhabi-based alternatives investor Lunate, which has $110 billion in assets under management, will also partner with the new venture, marking its entry into the reinsurance sector. The firm will provide its private and public markets expertise, as well as its global multiasset investment experience to support the platform, the statement said.
The venture is targeting $10 billion in liabilities and will provide underwriting capabilities to the markets, covering property and casualty, life, and specialized insurance products.
The statement added that the company’s operations will be underpinned by an “AI-native approach, unencumbered by legacy technology, to enhance data analytics, pricing strategies, and company operations.” The technology will improve the quality and speed or risk assessments and optimize capital efficiency.
Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, will chair the company, which will be led by Mark Wilson, former CEO of U.K. insurer Aviva and former president and CEO of multinational insurer AIA. Wilson is also on BlackRock’s board of directors, according to the asset manager’s website.
“We are excited to bridge global capital with regional opportunities in this fast-growing market to launch a value accretive business with solid financial returns while shaping the future of insurance with cutting-edge technology,” Al Jaber said in the statement. “Supported by exceptional global partners in IHC, BlackRock and Lunate, the new company will bring deep expertise, a strong capital base, and AI-driven underwriting to enhance efficiency and precision. Furthermore, establishing the company in ADGM gives us access to a robust regulatory framework, a rapidly growing insurance market, and dynamic financial hub.”
BlackRock CEO and Chair Larry Fink added: “We are proud to collaborate with IHC and Lunate in this transformative endeavor to help accelerate the development of a more dynamic insurance, capital markets and financial ecosystem in Abu Dhabi and the broader region.”
BlackRock has been particularly active in the Middle East region over recent years, with a variety of agreements and partnerships. In March it said it said it had signed a memorandum of understanding to create a private markets investment platform with Emirates NBD to bring alternatives strategies to the banking group’s wealth clients in the Middle East. The firm received a commercial license to operate in Abu Dhabi last year, and in April 2024 it said it was establishing a Riyadh-based multiasset-class platform with an initial up to $5 billion anchor investment from Saudi Arabia sovereign wealth fund, Public Investment Fund.
Investment firm IHC has a market capitalization of $238.5 billion.
