Today.Az » Business » SOFAZ to invest $50 million in real estate in U.S.
10 July 2020 [14:32] - Today.Az
By Ayya Lmahamad
The State Oil Fund of Azerbaijan (SOFAZ) will invest $50 million in a real estate in the U.S., the Fund announced in its report for 2019.
According to the report, SOFAZ jointly with the Gaw Us Fund III, managed by Gaw Capital Partner, has signed an agreement on joint investment in a commercial real estate in Los Angeles.
The share of the capital investments of the State Oil Fund in joint investment amounted to $50 million. The report has not specified the terms of the deal.
According to the report, SOFAZ property portfolio consists of five assets in London, Paris, Moscow, Seoul and Tokyo.
SOFAZ’s net profit at the end of 2019 amounted to AZN 4.3 billion. While, SOFAZ’s assets increased by 12.5 percent, up to AZN 74.3 billion, its capital increased by 12.6 percent, up to AZN 73.2 billion.
SOFAZ was established in December 1999 by the Presidential Decree and is a sovereign wealth fund of Azerbaijan, which accumulates and preserves the nation's oil and gas revenues for future generations. The fundamental mission of SOFAZ is to ensure intergenerational equality with regard to the country's oil wealth and to accumulate and safeguard the oil revenues for generations to come.
The Fund accumulates income from the sale of oil contracts, and in 2003, it started to make transfers to the state budget of Azerbaijan. As for now, SOFAZ contribution to the country’s GDP is over 80 percent.