ACWA Power restructures debt, ownership in Turkish affiliate

ACWA Power restructures debt, ownership in Turkish affiliate
ACWA Guc operates a 950-megawatt combined cycle gas turbine power plant in Kirikkale, Turkiye. File/ACWA Power
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Updated 11 August 2024
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ACWA Power restructures debt, ownership in Turkish affiliate

ACWA Power restructures debt, ownership in Turkish affiliate
  • Deal involves lenders converting their loans into shares of ACWA Guc based on specific shareholding agreements and conversion terms
  • A wholly owned ACWA Power subsidiary will pay $132.2 million to the lenders in installments over three years

RIYADH: Saudi utility giant ACWA Power has restructured debt and ownership in its Turkish affiliate, converting outstanding loans into equity following an agreement with major lenders and minority shareholders. 

ACWA Guc, which operates the 950-megawatt combined cycle gas turbine power plant in Kirikkale, Turkiye, is partially and indirectly owned by ACWA Power. 

The deal involves lenders converting their loans into shares of ACWA Guc based on specific shareholding agreements and conversion terms, according to a statement on the Saudi Stock Exchange, or Tadawul. 

To facilitate the transition, a wholly owned ACWA Power subsidiary will pay SR496.5 million ($132.2 million) to the lenders in installments over three years. 

Following this, ACWA Power, its subsidiaries, current minority shareholders, and relevant stakeholders have entered into a series of contractual agreements. 

Post-deal, ACWA Guc is expected to be free of any commercial debt to third parties and will remain classified as an equity investment for ACWA Power. 

The $1 billion plant in Turkiye was launched in November 2017 during a ceremony attended by President Recep Tayyip Erdogan and Berat Albayrak, the minister of energy and natural resources, among other senior officials. 

The combined cycle power plant has a capacity of 1,000 MW and is capable of meeting 3 percent of Turkiye’s total electricity demand. It is the first and largest Saudi energy investment in Turkiye’s power sector. 

The Kirikkale Power Plant provides steady and reliable energy to Turkiye’s national grid and is among the top three most efficient combined cycle gas power plants in the country, significantly contributing to the economy through gas consumption savings. 

In a continued drive to streamline its operations and expand its market reach, ACWA Power also finalized deals in July to sell a 35 percent stake in two subsidiaries to China Southern Power Grid International for SR595.9 million. 

In a statement to Tadawul, the Public Investment Fund-backed company announced the completion of the sale and purchase agreement for its shares in ACWA Power Bash Wind Project Holding Co. and ACWA Power Uzbekistan Wind Project Holding Co. 

The restructuring and recent transactions underscore ACWA Power’s ongoing strategic efforts to optimize its portfolio and enhance its global presence in the energy sector. 


Saudi Arabia eyes investment boost in Azerbaijan

Saudi Arabia eyes investment boost in Azerbaijan
Updated 15 sec ago
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Saudi Arabia eyes investment boost in Azerbaijan

Saudi Arabia eyes investment boost in Azerbaijan

JEDDAH: Saudi Arabia is focused on increasing investment in Azerbaijan, noting that the current trade volume of $13.4 million is relatively small, indicating significant growth potential.

At the fifth Saudi-Azerbaijani Business Forum in Baku, Hassan Moejeb Al-Hwaizy, chairman of the Federation of Saudi Chambers, emphasized the opportunity for enhanced economic collaboration as both nations pursue diversified development.

The forum, which included Azerbaijani Deputy Minister of Economy Elnur Aliyev and over 300 investors and officials, outlined plans to bolster private-sector partnerships.

Orkhan Mammadov, chairman of the Azerbaijani business council, highlighted the country’s strong infrastructure and the forum’s role in promoting new investment projects.

In a post on X, he stated that the partnership between Saudi Arabia and Azerbaijan is now stronger and more dynamic than ever.

“Our meetings are always interesting and business-like. This time was no different. At the 5th meeting of our business council, we tried to find new areas of cooperation with our entrepreneurs. The council will expand trade relations between our countries,” Mammadov said.  

He remarked that significant strides were made during the forum to enhance economic relations, identify investment opportunities, and discuss future collaborations, calling it “a promising day for both nations.”

Azerbaijan proposed establishing a joint sovereign investment fund with Saudi Arabia to direct investments into critical sectors like energy, tourism, and infrastructure.

This proposal, discussed between Azerbaijan’s Minister of Economy Mikayil Jabbarov and Al-Hwaizy, aligns with both countries’ goals for economic diversification, as reported by the Saudi Press Agency. The Baku forum showcased Azerbaijan’s investment potential, offering Saudi investors tax exemptions, free money transfers, and simplified procedures in its free economic zones.

The forum also addressed logistical challenges facing Saudi investments. Al-Hwaizy emphasized the importance of strengthening economic cooperation and exploring investment opportunities in renewable energy, infrastructure, tourism, and agriculture.

Aliyev praised Saudi investments in Azerbaijan, particularly in renewable energy projects by ACWA Power, and highlighted incentives for further investment in agriculture, logistics, and healthcare.

Saudi Ambassador to Azerbaijan Essam Al-Jutaili reiterated the embassy’s commitment to supporting investors through the joint committee, encouraging Azerbaijani investors to seize opportunities in the Kingdom.

Ahmed Al-Dukhail, chairman of the Saudi-Azerbaijani Business Council, stated that the council aims to boost the import of raw materials from Azerbaijan to enhance Saudi industry while increasing exports to Azerbaijan. He also advocated for the removal of legislative and logistical barriers to facilitate trade.


Global Cybersecurity Forum highlights the need for collective action to secure the digital future

Global Cybersecurity Forum highlights the need for collective action to secure the digital future
Updated 12 min 45 sec ago
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Global Cybersecurity Forum highlights the need for collective action to secure the digital future

Global Cybersecurity Forum highlights the need for collective action to secure the digital future

RIYADH: Cybersecurity industry leaders have emphasized the growing importance of digital protection as the world becomes increasingly interconnected at a special event in Riyadh.

Speaking at the Global Cybersecurity Forum, Saad Al-Aboodi, CEO of the Saudi Information Technology Co., highlighted the global nature of the challenge during an address at the event, titled “Advancing Collective Action in Cyberspace.” 

He said: “We live in multiple and parallel grids of data connectivity, transportation, energy, and supply chains. Our systems and infrastructures are globally interconnected, whether directly or indirectly, making cybersecurity a critical global issue that affects every aspect of modern society.”

Al-Aboodi stressed the growing shift from physical to digital assets, underscoring the necessity of robust cybersecurity measures. 

“It’s a fact of life that our societies are tech-driven, and as we become more digitally interconnected, we are pushing more assets from the physical space to cyberspace,” he said. 

He further argued that cybersecurity needs to understand the economics of the online world, as well as promoting responsible emerging technologies, and enhancing international collaboration.

“Starting with the economics of cybersecurity, it’s a subject worth deeper contemplation by academia, think tanks, industry players, and policymakers,” Al-Aboodi said. 

“One would need to calculate the value of assets, cost of protection, cost of damage, and the cost to launch a cyberattack using today’s tools on today’s exposure services.”

Al-Aboodi pointed out that while the global cybersecurity market is worth approximately $180 billion in 2024, the cost of cybercrime could reach $9.5 trillion by the end of the year. 

He also warned of the increasingly intertwined relationship between physical and cyber warfare, leading to rising costs for protection and attacks. “The value of assets, the cost of cyberattacks, and the cost of protection will rapidly increase,” he said.

Artificial intelligence was another major topic of discussion, with Al-Aboodi describing AI as an “embedded technology” that has far-reaching impacts. 

“It’s not a standalone technology or a sector on its own,” he explained, adding: “It is pervasive and impactful in whatever it does and wherever it goes.”

Al-Aboodi further underscored the importance of cooperation in safeguarding the future of cyberspace, saying: “Only through collective action — governments, industries, and individuals working together — can we build a future where cyberspace is safe, dependable, and sustainable.”

Megat Zuhairy, CEO of Malaysia’s National Cyber Security Agency, reinforced the need for trust in the digital space.

“When it comes to investments coming into Malaysia, the main priority is to see whether there is a conducive environment, specifically in cybersecurity,” he said. 

“It’s always about shared responsibility, but sharing, understanding, and collaboration require trust. Trust is very important, regardless of how advanced the technology or skills are,” Zuhairy added.

Suk-Kyoon Kang, CEO of AhnLab, underscored the role of AI in achieving security efficiency. “One of the key objectives of AI is to achieve security efficiency and make people’s lives easier,” he said. 

AhnLab has been training AI models with over one petabyte of data, processing 10 million detections daily to accurately identify threats such as phishing emails and text messages.

Suk-Kyoon Kang, CEO of AhnLab. AN

Miguel Angel Canada, head of National Coordination at Spain’s National Cybersecurity Institute, emphasized the economic opportunities within the industry. 

“Cybersecurity is not a security issue — it’s a business opportunity,” Canada said. 

He called for stronger connections between research and market applications to ensure that new technologies translate into products and services.

Timothy Sherman, vice president and CTO of Security Solutions Engineering at Cisco Systems, emphasized the universal importance of cybersecurity. “Cybersecurity should be a given right for everybody,” Sherman said.

The two-day Global Cybersecurity Forum is a platform for experts to call for unified global action to address growing cyber threats.


Saudi Arabia leveraging technology to support global interests: Finance minister 

Saudi Arabia leveraging technology to support global interests: Finance minister 
Updated 49 min 25 sec ago
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Saudi Arabia leveraging technology to support global interests: Finance minister 

Saudi Arabia leveraging technology to support global interests: Finance minister 

RIYADH: Saudi Arabia is using its technological edge to not only meet domestic goals but support the interests of other nations, according to a top minister. 

Speaking at a session during the 2024 Berlin Global Dialogue, Saudi Arabia’s Finance Minister Mohammed Al-Jadaan emphasized that long-term planning, stable policies, and strong public-private partnerships are crucial factors to ensure sustainable growth globally. 

His comments on Saudi Arabia’s technological advancements align with the National Strategy for Data and Artificial Intelligence, which aims to establish the Kingdom as a global tech leader by 2030. 

“We cannot have prosperity in the world without a very clear environment that supports innovation and technology and then sharing them, particularly with low-income nations and the emerging markets,” said Al-Jadaan. 

He also underscored the need to invest in strengthening the multilateral trading system to mitigate economic risks, address challenges, and ensure equitable growth within societies. 

Al-Jadaan called for continued engagement in forums like the Berlin Global Dialogue through multilateral institutions to discuss critical global issues. 

In May, at the third meeting of G7 finance ministers and central bank governors under Italy’s presidency, Al-Jadaan stated that Saudi Arabia is on track to help propel sustainable development globally through its pivotal role in artificial intelligence. 

A report by global consulting firm Strategy& Middle East in September echoed this sentiment, projecting that Saudi Arabia’s technology sector could see an increase in operating profit of SR15 billion ($4 billion) by 2028 through the adoption of generative AI.

During the Berlin event, Al-Jadaan met with government officials and major international investors to explore opportunities for cooperation and partnership with Saudi Arabia. He also discussed strengthening the Kingdom’s role in various international forums. 

The Saudi minister also met with German Finance Minister Christian Lindner and discussed ways to enhance bilateral relationship between both nations. 

The second edition of the Berlin Global Dialogue began in the German capital on Oct. 1 under the theme ‘Building Common Ground.’ 

The two-day event focused on how the international community can continue cooperating amid increased fragmentation, misinformation, and distrust. 

This year, the German government launched the next phase of the Green Guarantee Group, designed to unlock private capital for green investments. 

According to the Berlin Global Dialogue website, Green Guarantees are innovative but underutilized financial tools that promote environmentally sustainable projects by reducing risks for investors.


Global Cybersecurity Forum launches major initiatives to strengthen online resilience and child protection

Global Cybersecurity Forum launches major initiatives to strengthen online resilience and child protection
Updated 02 October 2024
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Global Cybersecurity Forum launches major initiatives to strengthen online resilience and child protection

Global Cybersecurity Forum launches major initiatives to strengthen online resilience and child protection

RIYADH: A center for bolstering economic resilience against online threats and a new child protection initiative were among the announcements at the opening of the Global Cybersecurity Forum in Riyadh.

In his opening speech at the two-day event, Governor of the National Cybersecurity Authority Majed Al-Mazyed emphasized the event’s focus on advancing collective action and the roadmap set by previous editions of the forum. 

He highlighted the GCF’s commitment to ensuring a safe and secure digital world, saying: “The GCF activities and partnerships embody this year’s theme: advancing collective action in cyberspace, building on the road map established in previous editions, and setting the direction for the UN.” 

The Center for Cyber Economics is a global initiative by the GCF created in collaboration with the World Economic Forum. 

This center aims to empower decision-makers across public and private sectors with insights into how to tackle cyber threats, and it will also develop models to quantify the economic impacts of cyber activities, foster an ecosystem for knowledge sharing, and ensure that cybersecurity remains central to economic growth, particularly in promoting inclusivity in the digital economy.

Al-Mazyed also underlined the forum’s role in launching new projects that address vital issues in cyberspace, from economic resilience to child safety.

This includes the Child Protection in Cyberspace initiative, which focuses on safeguarding children in the digital world.

The forum aims to introduce a “child safe” label for tech products, educational content for parents, and a centralized reporting platform to combat cybercrimes against children.

A significant collaboration with UNICEF will see the launch of a global program spanning over 30 countries, contributing to safer cyberspace for youth. This initiative will also develop the CPC Index, a comprehensive measure of child protection in cyberspace, in partnership with Digital Intelligence Quotient. 

Further strengthening global cybersecurity efforts, the forum unveiled the Women Empowerment in Cybersecurity initiative. 

This effort aims to broaden the talent pool in the sector by encouraging young girls to pursue STEM education while also addressing gender stereotypes in the cybersecurity profession. 

The WEC initiative will support progressive recruitment policies and mentorship programs, empowering women to take on leadership roles in the industry.

These developments reflect Saudi Arabia’s broader strategy to position itself as a leader in the cybersecurity space, in line with its Vision 2030 goals. 

The Kingdom has invested heavily in technology and online safety, recognizing the vital role a secure digital infrastructure plays in economic diversification. 

As Al-Mazyed highlighted during the opening ceremony, the forum is dedicated to pushing the boundaries of knowledge and ensuring a unified, secure global cyberspace.


Saudi POS transactions surge 11% in late September to reach $3bn

Saudi POS transactions surge 11% in late September to reach $3bn
Updated 13 min 51 sec ago
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Saudi POS transactions surge 11% in late September to reach $3bn

Saudi POS transactions surge 11% in late September to reach $3bn

RIYADH: Saudi Arabia’s point-of-sale transactions surged 11.9 percent in the last week of September, reaching SR13.3 billion ($3.4 billion), with the food and beverages sector leading the uptick.

The latest figures from the Saudi Central Bank, also known as SAMA, showed that spending in this sector during the week from Sept. 22-28 recorded the highest increase at 28 percent, with total transactions reaching SR2.14 billion.

Spending on recreation and culture followed with a 24.6 percent increase to SR308.2 million. The telecommunications division recorded the third largest uptick with a 21 percent positive change, reaching SR116.3 million. 

Expenditure on education recorded the most significant decline at 21.3 percent, coming in at SR100 million during this period. The latest figures showed that spending in the education sector continued its downfall trajectory for over a month after surging for four consecutive weeks, coinciding with the start of the academic year on Aug. 18.

Saudis spent SR238.9 million on hotels in the seven-day period, reflecting an 18.3 percent drop frrom the previous week, and SR741.9 million on transportation, marking a 2.6 percent decrease.

Only those three sectors experienced declines this week, with most other industries seeing growth. 

The food and beverages sector saw the largest share of the POS, followed by restaurants and cafes at SR1.98 billion and miscellaneous goods and services at SR1.62 billion.

Spending in the top three categories accounted for approximately 43 percent or SR5.7 billion of this week’s total value.

Geographically, Riyadh dominated POS transactions, representing 33.5 percent of the total, with spending in the capital reaching SR4.49 billion — an 8.4 percent increase from the previous week. 

Jeddah followed with a 6.8 percent surge to SR1.82 billion, accounting for 13.6 percent of the total, and Dammam came in third at SR658.7 million, up by 7.1 percent.

Tabuk saw the most significant increase in spending, up by 23 percent to SR265.1 million. Hail and Abha came in second and third places, with expenditures surging 22.5 percent and 11 percent to SR220.9 million and SR167.8 million, respectively.

In terms of the number of transactions, Tabuk recorded the highest increase at 10.9 percent, reaching 4,737. Makkah recorded the smallest increase at 2.2 percent, reaching 8,204 transactions.