ACWA eyes supporting solar panel manufacturing in KSA

Riyadh-based ACWA Power is partly owned by Saudi Arabia’s Public Investment Fund. Above, an ACWA windmill in Jbel Sendouq, on the outskirts of Tangier, Morocco. (Reuters)
Updated 14 January 2019
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ACWA eyes supporting solar panel manufacturing in KSA

  • ACWA Power plans to double power production capacity by 2025 and expand operations to 25 markets
  • ACWA does not plan to become a manufacturer of solar panels

ABU DHABI: ACWA Power is considering supporting the manufacturing of solar panels in KSA, its CEO said, as the power and water plants developer seeks to facilitate Saudi Arabia’s plans to develop its renewable power industry.
Riyadh-based ACWA Power, partly owned by Saudi Arabia’s Public Investment Fund (PIF), does not plan to become a manufacturer of solar panels, but is “open to the idea of supporting and enabling the right environment in the Kingdom to welcome in manufacturers,” a spokesman told Reuters.

 

Saudi Arabia’s Crown Prince Mohammed bin Salman and SoftBank Chief Executive Masayoshi Son announced in March last year a plan for the world’s biggest solar power project in Saudi Arabia, a project expected to have the capacity to produce up to 200 gigawatts (GW) by 2030.
The project is set to create thousands of jobs and develop a manufacturing industry in line with Saudi Arabia’s economic diversification plans laid out in its Vision 2030.
ACWA Power plans to double its power production capacity by 2025 and to expand its operations to 25 markets from the current 12. “We expect renewables to be a significant part of that growth,” ACWA’s CEO, Paddy Padmanathan said.
ACWA mandated banks last year to sell a 30 percent stake through an initial public offering (IPO). Sources told Reuters at the time that JPMorgan, Citigroup, Natixis and Riyad Capital had been appointed to advise on that process.
Padmanathan said on Monday that the IPO was postponed as the company had a lot of preparatory work to do and its balance sheet had to be “positioned in the right way,” but added that the company is still committed to a listing, and the banks that were mandated have retained their role.

FASTFACTS

Saudi Arabia’s Crown Prince Mohammed bin Salman in March 2018 signed a memorandum of understanding with SoftBank to establish the largest solar power plant in the world. The agreement laid out plans to produce 200 gigawatts in Saudi Arabia by 2030 — enough to power 140 million homes, according to reports.


HSBC 2018 profit rises 16% but below estimates

Updated 2 min 13 sec ago
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HSBC 2018 profit rises 16% but below estimates

  • HSBC reported a profit before tax of $19.9 billion for 2018 compared with $17.2 billion the year before
  • Europe’s biggest bank by market capitalization said it would pay a full-year dividend of $0.51 per share

HONG KONG/LONDON: HSBC Holdings Plc posted on Tuesday an increase of 15.9 percent in 2018 profit, as the bank avoided tax writedowns that marred its results a year earlier and earnings in its key market of Asia grew.
HSBC reported a profit before tax of $19.9 billion for 2018 compared with $17.2 billion the year before. The profit for the year, however, was below an average estimate of $22 billion, according to Refinitiv data based on forecasts from 17 analysts.
Europe’s biggest bank by market capitalization said it would pay a full-year dividend of $0.51 per share, roughly in line with analysts’ expectations. The bank was confident of maintaining the dividend at this level, it said.