ACWA Power Chairman says IPO size determined on current, future needs

Mohammad Abunayyan, Chairman of ACWA Power

The offer size of International Company for Power and Water Projects (ACWA Power) was determined according to the company's current and future needs, Al-Ekhbariya channel reported, citing Chairman Mohammad Abunayyan.

The offer size is sufficient for the company’s investment needs, Abunayyan said.

Increasing capital without the efficient use of its proceeds does not have a positive impact on investors, he said, pointing out that the company's goal is to benefit from increased investments or the size of the capital and operate it in a positive way to yield a return for investors.

The Chairman added that time is ripe for the company to enter the Saudi capital market, as it will be an addition to Tadawul.

ACWA Power is active in 13 countries, with assets worth over SAR 248 billion. The company’s assets are under production and under development, along with other target assets to build new investments.

ACWA Power is the largest desalination company in the world, and has been able to localize technologies to raise productivity, efficiency and reduce costs. It has also reshaped the world’s map of renewable energy since its entry into the field in 2011, when it began operations in this field, Abunayyan said.

ACWA Power plans to offer 81.2 million shares, representing 11.1% of the company, in an IPO on the Saudi Exchange (Tadawul), according to data compiled by Argaam.

The retail offering will run from Sept. 29 to Oct. 1, while the book building process for participating parties will last 13 days from Sept. 15.

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