Saudi Arabia’s ACWA Power International, described as one of Saudi Arabia’s main vehicles for building renewable energy projects, is set to raise up to 4.55 billion riyals ($1.21 billion) in its initial public offering, Bloomberg reports.
Saudi Arabia’s Public Investment Fund owns 50% of ACWA Power International.
According to Bloomberg, which revealed financial details of the forthcoming IPO, the price range for its offering is between 51 riyals and 56 riyals per share. The company is selling 81.2 million shares, or a 11.1% stake. The listing will value the company at up to $11 billion.
More details from Bloomberg:
- Bidding and book building period for participating parties: Sept. 15 to Sept. 27
- A final price is expected to be set before the offering opens to retail investors
- Subscription period for individual investors: Sept. 29 to Oct. 1
- Joint financial advisers are: JPMorgan, Citi, Riyad Capital and Natixis
Renewable energy is increasingly in focus in Saudi Arabia as the Kingdom looks to be a global leader in cutting carbon emissions. The Kingdom recently announced that it is aiming to generate 50% of its energy from renewable sources by 2030 and plant as many as 10 billion trees.
ACWA Power is a developer, investor and operator of power generation and desalinated water plants with 64 assets in operation, construction or advanced development across 13 countries. The Company’s operational capacity across all markets currently provides 20.3 GW of electricity and 2.8 million m3 per day of desalinated water. Once existing projects under construction and in advanced development are completed and brought into operation within the next four years, the Company will double its operational power generation capacity to 41.6 GW and more than double its operational desalinated water production capacity to 6.4 million m3 per day.
