Utilities developer and investor Acwa Power, based in Saudi Arabia, has launched a maiden Islamic bond in Saudi Arabia only under the programme will not exceed SAR5,000,000,000.
The developer, as it is understood, expects to raise only part of the SAR5bn ($1.3bn) bond sale. It has been reported that there is a 50% chance that Acwa Power will push ahead with its planned IPO this year.
Last year, Saudi Arabia’s Public Investment Fund (PIF) increased its stake in Acwa Power from 33.36% to 50%, ahead of the planned IPO, which is expected to raise $1bn.
The company has won a string of contracts in Saudi Arabia and central Asia over the past few months, including two contracts with a combined installed capacity of 800MW under kingdom’s National Renewable Energy Programme (NREP) and the 1,500MW Sudair solar photovoltaic (PV) scheme.
It also signed the power-purchase agreements for two wind farm projects, with a planned design capacity of 1,000MW, in Uzbekistan. This week, the firm signed an implementation agreement for a third wind farm, with a capacity of 1,500MW, also in Uzbekistan.
Source MEED