PIF closes acquisition of 30% stake in Saudi Tabreed

Logo of Public Investment Fund (PIF)

The Public Investment Fund (PIF) announced today, Feb. 12, completing its acquisition of a 30% stake in the Saudi Tabreed District Cooling Co. (Saudi Tabreed).

In an emailed statement to Argaam, the fund said the investment supports its efforts to grow and develop the local utilities and low-carbon sectors.

Saudi Tabreed offers highly efficient solutions that drive reductions in power consumption and the costs of operation and maintenance, as well as encouraging alternatives to traditional air conditioning systems.

The district cooling firm currently manages 779,000 tonnes of refrigeration (TR) via contracts with major companies in Saudi Arabia. This includes Saudi Aramco’s Dhahran district cooling plant, the Jabal Omar district cooling plant in the city of Makkah, the district cooling scheme at King Khalid International Airport in Riyadh, and a centralized cooling plant at the AMAAD Business Park in Dhahran.

It also serves THE RED SEA project, which is a key part of Saudi Arabia’s Vision 2030.

“Our investment in Saudi Tabreed will support the achievement of PIF’s economic diversification goals, especially in light of the anticipated growth in Saudi Arabia’s district cooling market,” said Yazeed A. Al-Humied, Deputy Governor and Head of MENA Investments at PIF.

The investment is also fully aligned with PIF’s strategy to enable promising sectors in the country, and supports Saudi Arabia’s transition to sustainable and more efficient sources of energy, he added.

PIF has a strong track record of investing in the low carbon sector including electric vehicles and solar energy projects, as part of a commitment to develop 70% of Saudi Arabia’s renewable energy by 2030.

PIF has major investments in renewable energy companies such as ACWA Power and the Sudair and Al Shuaibah Solar Energy projects, and in the development of electric vehicles through investments in Lucid Motors, Ceer and E1.

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