France’s Natixis to finance $2bn ACWA Power projects in 2 years

France’s Natixis to finance $2bn ACWA Power projects in 2 years
Natixis has previously underwritten some of ACWA Power’s high-profile projects, including the Sakaka solar project. (Supplied)
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Updated 07 December 2021

France’s Natixis to finance $2bn ACWA Power projects in 2 years

France’s Natixis to finance $2bn ACWA Power projects in 2 years
  • ACWA is the Kingdom’s most high-profile entity for building renewable energy and hydrogen projects

RIYADH: France-based Natixis Corporate and Investment Banking has signed an agreement to finance ACWA Power projects over the next two years — with funding of up to $2 billion. 

The memorandum of understanding will allow both parties to “explore opportunities to develop new projects in the region,” the Saudi clean energy provider said in a bourse filing. 

Paddy Padmanthan, chief executive officer of ACWA Power, said the agreement will allow them to expand “cost competitive financing solution” and access wider pools of liquidity for its projects.

Natixis has previously underwritten some of the Saudi-listed firm’s high-profile renewable projects, including the Sakaka solar project. 

Riyadh-based ACWA, which is 44 percent owned by Saudi Arabia’s sovereign wealth fund PIF, is the Kingdom’s most high-profile entity for building renewable energy and hydrogen projects.

The company is expected to deliver at least 70 percent of Saudi Arabia’s renewable schemes by 2030, and is forecast to take part in around $30 billion worth of green projects over the next 10 years, as the Kingdom’s strategy to diversify its economy away from fossil fuels gathers pace. 

ACWA began trading on the Saudi stock market in October 2021 after selling an 11 percent stake. The move values the entire company at $10.9 billion.

ACWA also holds a one-third stake in the massive $5 billion NEOM project which will be powered entirely by solar and wind, and will be one of the world’s largest green hydrogen plants when it opens in 2025.


Al Qatif beach in Eastern Province sold at $1bn in KSA’s ‘largest real estate transaction’

Al Qatif beach in Eastern Province sold at $1bn in KSA’s ‘largest real estate transaction’
Updated 13 sec ago

Al Qatif beach in Eastern Province sold at $1bn in KSA’s ‘largest real estate transaction’

Al Qatif beach in Eastern Province sold at $1bn in KSA’s ‘largest real estate transaction’

RIYADH: A five-million-square-meter beach in Saudi Arabia’s Eastern Province has been sold for over SR4 billion ($1 billion), in what was described as one of the largest real estate transactions in the Kingdom. 

Saudi Real Estate Contributions Commission, known as Tasfiah, has concluded the sale of the Al Qatif beach in a public auction in the governorate of Al Khobar, the Saudi Press Agency reported. 

The beach covers more than 5 million square meters on Tarout Island, one of the oldest settlements in the Arabian gulf. 

Tasfiah has so far reached a total of SR15 billion as a return to shareholders through its public auctions and sale of land contributions. 


Saudi shipping firm Bahri starts operations of $203m water desalination project

Saudi shipping firm Bahri starts operations of $203m water desalination project
Updated 11 min 14 sec ago

Saudi shipping firm Bahri starts operations of $203m water desalination project

Saudi shipping firm Bahri starts operations of $203m water desalination project
  • Bahri said the project is expected to be finalized by the fourth quarter of 2022

RIYADH: A Saudi-based provider of logistics and transportation services, Bahri, has started trial commissioning of the first barge under its SR760 million ($203 million) deal with Saline Water Conversion Corp., or SWCC.

The barge is located near the port of Al Shuqaiq on the Western coast of the Kingdom, Bahri said in a bourse statement on Sunday.

Signed in 2019, the deal involves establishing three floating stations, to supply and transfer desalinated water from the stations to desalination tanks.

Each station will have a capacity of 50,000 cubic meters per day with a total capacity of 150,000 cubic meters a day. 

Bahri said the project is expected to be finalized by the fourth quarter of 2022 and attributed the delay in commercial operations to COVID-19 constraints.

Established in 1978, Bahri is a joint venture between Saudi Aramco and the Public Investment Fund. It owns and manages a fleet of 89 tankers and container ships dedicated to transporting oil, petrochemicals, dry bulk, and other cargo.


Abu Dhabi takes a step towards emerging ETF industry in the Gulf region

Abu Dhabi takes a step towards emerging ETF industry in the Gulf region
Image: Shutterstock
Updated 23 January 2022

Abu Dhabi takes a step towards emerging ETF industry in the Gulf region

Abu Dhabi takes a step towards emerging ETF industry in the Gulf region
  • The fund tracks the S&P Saudi Arabia Shariah Liquid Top 30 35/20 Capped Index

RIYADH: A new investment product will allow traders in the UAE to track Saudi stocks via the local bourse — a first for the Gulf region’s fledgling ETF market.

Chimera Capital LLC, an Abu-Dhabi-based investment management firm and a subsidiary of Chimera Investment LLC, has launched its Chimera S&P Saudi Arabia Shariah Compliant Exchange Traded Fund (ETF).

The fund tracks the S&P Saudi Arabia Shariah Liquid Top 30 35/20 Capped Index, which is up 44 percent over the past year.

The gauge tracks the top 30 largest and most liquid Shariah-compliant stocks listed in Saudi Arabia.

“We are pleased to have launched our fifth ETF, which is the first to track non-UAE-listed equities. The fund will cater to the growing appetite for diversified investments among UAE and regional investors, providing them with an innovative tool to capitalize on the economic prospects of Saudi Arabia,” Sherif Salem, Chief Investment Officer – Public Markets at Chimera Capital said

The fund’s assets under management rose to 70 million dirhams ($19 million) by the end of the week, he said.

Gulf investors can choose between eight different equity-focused ETFs in the region, with three in Saudi Arabia, two in Qatar and three in the UAE.


IPO bidding gets into full swing amid listing wave

 IPO bidding gets into full swing amid listing wave
Image: Shutterstock
Updated 23 January 2022

IPO bidding gets into full swing amid listing wave

 IPO bidding gets into full swing amid listing wave

RIYADH: Amid a wave of initial public offerings in the Kingdom, many companies are to kick off the book-building process on Saudi Arabia’s main and parallel indexes this month.

Al Dawaa Medical Services Co. has announced its intention to debut 25.5 million shares, representing 30 percent of capital, on the main stock index, TASI.

The pharmaceutical retailer will allocate the full offer during the IPO bidding session, which will run from Feb. 13 to Feb. 17, 2022, according to a statement by the company.

Dammam-based Gas Arabian Services started the qualified investors’ book-building session today, Jan. 23, amid plans to list 790,000 shares on Saudi Arabia’s parallel market, Nomu.

The session will take place for four days until Jan. 27, 2022, the bookrunner of the offer, FALCOM Financial Services Co., said in a bourse statement.

The offering price range has been set between SR75 and SR90 per share.

Qualified investors will be entitled to the full offer of 790,000 shares and each shall subscribe to a minimum of 10 shares and a maximum of 789,990 shares.

Arabian International Healthcare Holding Co., better known as Tibbiyah, will begin the book-building process on Jan. 30. The period will last for five days, offering 5 million shares, or 25 percent of capital, on the parallel market Nomu.

Fully owned by Al Faisaliah Group, Tibbiyah is a leading healthcare provider in Saudi Arabia and the region.


Egyptian ready-made garments exports hit an all-time high at $2.49bn 

Egyptian ready-made garments exports hit an all-time high at $2.49bn 
Updated 23 January 2022

Egyptian ready-made garments exports hit an all-time high at $2.49bn 

Egyptian ready-made garments exports hit an all-time high at $2.49bn 
  • The Ready-made Garments Export Council has attracted 23 new factories in 2021

The value of Egyptian ready-made garment exports set an all-time high record during 2021.

They increased to $2.49 billion, up from $1.457 billion the previous year, amounting to a 41 percent increase.

The Ready-made Garments Export Council has attracted 23 new factories in 2021, with 11 facilities from small and medium factories re-attracted, the head of the council, Marie Lewis, revealed. 

Lewis added that services provided by the council are being expanded, to include promotional and marketing services. It has prepared a number of initiatives to develop e-marketing tools for its exporters.

The council has also participated in four international and local exhibitions, and has provided 33 export opportunities. It also arranged 22 bilateral meetings between its exporters and buyers.

It organised 32 workshops and training programs to enhance the export capabilities and production efficiency of the council's exporters, she added.