Riyadh listing is said to value ACWA Power at up to $11bn, making the company’s public offering next biggest to Saudi Aramco’s IPO
ACWA Power, partly owned entity of the Saudi sovereign wealth fund, is set to raise up to SR4.55bn ($1.2bn) through its initial public offering (IPO) in Saudi Arabia.
The company in its filing, announced that it is issuing 81.2 million shares at a price ranging between SAR51 ($13.6) and SAR56 ($14.9) per share, representing an 11.1% stake.
Riyadh listing is said to value ACWA Power at up to $11bn, making the company’s public offering next biggest to Saudi Aramco’s IPO.
Saudi Arabia’s Public Investment Fund (PIF) owns half the company, which has 64 projects in 13 countries, representing a value of $248bn.
ACWA Power CEO Paddy Padmanathan was quoted by Arab News as saying: “We are producing 2.8 million cubic meters of desalinated water, and 20 gigawatts of energy.
“We developed a business model based on diversification, and demonstrated the efficiency we’ve demonstrated, and our ability to deliver new assets.”
Founded in 2004, ACWA Power is a developer, owner and operator of long-term contracted power generation and desalinated water projects worldwide.
Employing 3,500 people, the company currently has an overall capacity of 41.6 GW of power generation and 6.4m3/day of water desalination, in operation, under construction or in advanced development.
It’s Saudi Arabian portfolio accounts for an estimated 24% of the Kingdom’s gross power generation capacity and 49% of the country’s water desalination capacity.
In August this year, ACWA Power reached financial close for the 1.5GW Sudair Solar photovoltaic (PV) plant, located at Sudair Industrial City in Saudi Arabia.
Involving an investment of SAR3.4bn ($906m), the Sudair Solar project is expected to generate enough electricity to power 185,000 homes, while offsetting nearly 2.9 million tonnes of emissions per year.