Saudi Arabia’s integrated utility ACWA Power has signed a share purchase agreement (SPA) with the regional subsidiary of French utility developer ENGIE, to acquire assets worth $693 million, and marking its entry in Kuwait.
The acquisition encompasses operating capacities of 4.61GW of gas-fired power generation and 1.11 million cubic meters per day (m3/day) of water desalination facilities, as well as the related operations and maintenance companies in Kuwait and Bahrain.
ACWA Power will acquire ENGIE’s shares in the four key operating assets. This includes an 18% stake in the Az Zour North (IWPP) in Kuwait, alongside 45% stakes in both the Al Ezzel (IPP) and Al Dur (IWPP) projects, as well as a 30% stake in the Al Hidd (IWPP) facility, all situated in Bahrain.
ACWA Power will also acquire a portfolio of companies responsible for the operation and maintenance of the four assets, specifically Az Zour North O&M Company (50% stake) and Al Ezzel O&M Company (100% stake).
Completion of the transaction is subject to customary regulatory and other stakeholder approvals. Goldman Sachs Saudi Arabia acted as the sole financial advisor, while King & Spalding acted as the legal advisor to ACWA Power.
ACWA Power is looking to triple its assets under management to $250 billion by 2030.
(Writing by Brinda Darasha; editing by Seban Scaria)
