DUBAI, UAE, June 24, 2019 /PRNewswire/ -- ACWA Power, a leading developer, owner, and operator of power generation and water desalination plants signed an agreement with Silk Road Fund, introducing it as a partner and shareholder in ACWA Power Renewable Energy Holding Ltd (ACWA Power RenewCo) - ACWA Power's renewable energy platform that currently owns a number of its existing renewable energy projects - with a 49% stake in the company. The transaction is subject to customary consents.
ACWA Power RenewCo acts as a platform that capitalises on the rapidly growing potential for renewable energy in emerging markets. ACWA Power RenewCo will own ACWA Power's CSP, PV, and wind assets across the United Arab Emirates, South Africa, Jordan, Egypt and Morocco, yielding an aggregate capacity of 1668 MW.
Commenting on the occasion, Paddy Padmanathan, President and CEO of ACWA Power said, "ACWA Power and Silk Road Fund's further collaboration is a mirror image of the robust and strategic ties between Saudi Arabia and China that is strengthened year after year. The agreement signed today is a testament of the commendable goals we will achieve with Silk Road Fund that will enhance regional connectivity and embrace a brighter future in renewable energy deployment. It is our pleasure to welcome Silk Road Fund as a shareholder in RenewCo to jointly bring in the finest expertise and promising investment to our portfolio of projects; and together, help progress the world to a cleaner, greener, and more sustainable home."
Rajit Nanda, Chief Investment Officer at ACWA Power added, "As a leading developer of power and water assets in the region, and being based in a Belt and Road country, welcoming Silk Road Fund on board as a shareholder further cements our position of being able to support both the economic transformation envisioned by the Belt and Road initiative as well as Saudi Arabia's forward looking Vision 2030. Our continual achievements with Silk Road Fund set an example of building strategic business ties, and making the best use of the competitive advantages of both companies."
ACWA Power and Silk Road Fund have previously successfully co-invested in two UAE-based projects, including the 2400MW Hassyan clean coal power plant, and the 950MW Hybrid CSP and PV fourth phase of MBR Solar Park to respectively power 1.3 million people and 320,00 residential homes. With Silk Road Fund set to become a shareholder in ACWA Power RenewCo, new doors of collaboration and projects are opening up.
The Silk Road Fund is a medium-to-long term development and investment fund established in Beijing under the framework of "Belt and Road Initiative". Following a philosophy of openness, inclusiveness and mutual benefit, SRF operates its business based on market principles, international standard and professional excellence.
About ACWA Power:
ACWA Power is a developer, investor and operator of a portfolio of power generation and desalinated water production plants currently with presence in 11 countries including in the Middle East and North Africa, Southern Africa and South East Asia regions. ACWA Power employs over 3,500 people with about 60% local employment. ACWA Power's portfolio, with an investment value in excess of USD 45 billion, can generate 30+ GW of power and produce 4.8 million m3 /day of desalinated water to be mostly delivered on a bulk basis to state utilities and industrial majors on long term off-take contracts under Public-Private-Partnership, Concession and Utility Services Outsourcing models.
ACWA Power, registered and headquartered in the Kingdom of Saudi Arabia, is owned by eight Saudi conglomerates, Sanabil Direct Investment Company (owned by the Public Investment Fund of Saudi Arabia), the Saudi Public Pensions Agency and the International Finance Corporation (a member of the World Bank Group).
ACWA Power pursues a mission to reliably deliver electricity and desalinated water at a low cost, thereby contributing to the social and economic development of the communities and countries it invests in and serves.
ACWA Power strives to achieve success by adhering to the values of Safety, People and Performance in operating its business. For more info, please visit www.acwapower.com.
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SOURCE ACWA Power