• ACWA Power acquires stakes in power generation and water desalination companies operating a combined 4.61GW of gas-fired power generation and 1.11 million cubic meters per day (m3/day) of water desalination capacity from ENGIE

• By making its inaugural entry into the Kuwaiti market through this acquisition, ACWA Power bolsters its presence in the regional energy and water sectors.

Riyadh, Kingdom of Saudi Arabia: ACWA Power, the world’s largest private water desalination company, leader in energy transition, and first mover into green hydrogen, has announced the signing of a Share Purchase Agreement (SPA) with the regional subsidiary of French utility developer ENGIE, to acquire assets at an amount of $693 million. This strategic acquisition encompasses operating capacities of 4.61GW of gas-fired power generation and 1.11 million cubic meters per day (m3/day) of water desalination facilities, as well as the related operations and maintenance companies in Kuwait and Bahrain.

Under the terms of the agreement, ACWA Power will acquire ENGIE’s shares in the four key operating assets. This includes an 18% stake in the Az Zour North (IWPP) in Kuwait, alongside 45% stakes in both the Al Ezzel (IPP) and Al Dur (IWPP) projects, as well as a 30% stake in the Al Hidd (IWPP) facility, all situated in Bahrain. ACWA Power will also acquire a portfolio of companies responsible for the operation and maintenance of the four assets, specifically Az Zour North O&M Company (50% stake) and Al Ezzel O&M Company (100% stake). Completion of the transaction is subject to customary regulatory and other stakeholder approvals.

“This acquisition represents a pivotal milestone for ACWA Power, reinforcing our position as global leader in water desalination. We consolidate our presence in Bahrain where we are already a reliable supplier of power and water, and we enter Kuwait, where we recently submitted a bid for a large power and desalination plant. Reinforcing our presence in each country will allow us to further develop our people there and localise our operations more, providing safe and reliable supplies to the local communities and industries” Marco Arcelli, Chief Executive Officer of ACWA Power.

“By making its inaugural entry into the Kuwaiti market through the acquisition of a stake in the Az-Zour North Facility, ACWA Power has achieved a significant milestone in its strategic efforts to expand its presence within the regional energy and water desalinations sector” Thomas Brostrom, Chief Investment Officer of ACWA Power.

The secured contracted revenue streams from the acquired assets reinforce ACWA Power’s broader strategy of tripling its assets under management to USD250 billion by 2030.

Goldman Sachs Saudi Arabia acted as the sole financial advisor, while King & Spalding acted as the legal advisor to ACWA Power.