Riyadh – Mubasher: ACWA Power inked a share purchase agreement (SPA) with the regional subsidiary of French utility developer ENGIE to acquire assets in Kuwait and Bahrain valued at $693 million, according to a press release.
This acquisition involves operating capacities of 4.61 gigawatts (GW) of gas-fired power generation and 1.11 million cubic meters daily (m3/day) of water desalination facilities.
ACWA Power will acquire ENGIE's shares in the four key operating assets, including an 18% stake in the Az Zour North (IWPP) in Kuwait.
In Bahrain, the Saudi group will also own a 30% shareholding in the Al Hidd (IWPP) facility and 45% stakes in both the Al Ezzel (IPP) and Al Dur (IWPP) projects.
Completion of the transaction is subject to regulatory and other stakeholder approvals.
Marco Arcelli, CEO of ACWA Power, said: “We consolidate our presence in Bahrain where we are already a reliable supplier of power and water, and we enter Kuwait, where we recently submitted a bid for a large power and desalination plant.”
Thomas Brostrom, Chief Investment Officer of ACWA Power, commented: “By making its inaugural entry into the Kuwaiti market through the acquisition of a stake in the Az-Zour North Facility, ACWA Power has achieved a significant milestone in its strategic efforts to expand its presence within the regional energy and water desalination sector.”
The Tadawul-listed company recently penned a SAR 8.60 billion deal for a wind energy project in Egypt.
