ACWA Power Company announces acquisition of the entire stake of Badeel Company in Shuaibah Water and Electricity Company (Shuaibah IWPP) representing 32% of the share capital.
| Element List | Explanation |
|---|---|
| Introduction | ACWA Power Company announces signing of a Share Purchase Agreement (“SPA”) to acquire the entire stake owned by Water and Electricity Holding Company “Badeel” (a subsidiary of the Public Investment Fund “PIF”) in the Shuaibah Water and Electricity Company (the “Company”) representing 32% of the share capital (900 MW of power generation capacity and 880,000m3/day of desalinated water capacity). ACWA Power is an indirect shareholder in the Company and with this transaction, it will increase its ownership from 30% to 62%. The underlying asset entails limited operating risk and has contracted cash inflows until 2030. The transaction will result in incremental contribution to ACWA Power’s earnings and free cash flow. |
| Transaction Details | The transaction structure involves acquisition by ACWA Power of 32% stake in the Shuaibah Water and Electricity Company (SWEC) through Alwaha Projects Company, a wholly owned subsidiary of ACWA Power Company. |
| Transaction Amount | SAR 843,320,000 (before agreed price adjustment) |
| Transaction Conditions | Completion of the transaction is subject to satisfaction of the CPs in the SPA, including the securing of all the necessary regulatory approvals. |
| Parties of the Transaction | Seller: Water and Electricity Holding Company (Badeel), (subsidiary of PIF) Buyer: Alwaha Projects Company, a KSA-based entity, ultimate subsidiary of ACWA Power Company. |
| Transaction Financing Method | Injection of ACWA Power Company's own funds. |
| Date of Entering Into The Transaction | 2025-12-24 Corresponding to 1447-07-04 |
| Description of Activity of The Asset Subject of The Transaction | The asset was the first IWPP in the Kingdom of Saudi Arabia commissioned in 2010 with 900MW of power generation capacity and 880,000m3/day of desalinated water capacity. The asset, now with limited operating risk, will continue to receive capacity payments from the offtaker, until the expiry of the original PWPA term in 2030. |
| Financial Statements for the Last Three Years of the Asset forming the Subject Matter of the Transaction | Attached |
| Transaction reasons | The transaction will result in incremental contribution to ACWA Power’s earnings and free cash flow. |
| Expected Impact of the Transaction on the Company and Its Operations | Increase in ACWA Power’s recurring net income and free cash flow to equity. |
| Related Parties | The Seller is Badeel a wholly-owned subsidiary of the Public Investment Fund who is also ACWA Power Company’s largest shareholder. |
| Additional Information | N/A |
| Attached Documents |  |
Attachments
701_24272_2362_2025-12-24_15-47-07_en.pdf395_24272_2362_2025-12-24_15-47-16_en.pdf
922_24272_2362_2025-12-24_15-47-19_en.pdf
