ACWA Power Expands with $693M ENGIE Acquisition

In a strategic move to expand its energy transition portfolio, ACWA Power has signed a $693 million Share Purchase Agreement (SPA) with ENGIE’s regional subsidiary. The deal adds 4.61 gigawatts (GW) of gas-fired power generation and 1.11 million cubic meters per day of water desalination capacity across Kuwait and Bahrain.

This acquisition marks a significant milestone for ACWA Power, a global leader in renewable energy and water infrastructure, as it strengthens its regional presence and operational capabilities.

Expanding Water Desalination and Power Capacity in the Region

Under the terms of the agreement, ACWA Power will acquire stakes in four key projects:

• 18% in Az Zour North IWPP (Kuwait)
• 45% in Al Ezzel IPP (Bahrain)
• 45% in Al Dur IWPP (Bahrain)
• 30% in Al Hidd IWPP (Bahrain)

The acquisition includes full ownership of Al Ezzel O&M Company and a 50% stake in Az Zour North O&M Company, enhancing ACWA Power’s operational and maintenance capabilities.

Strengthening Market Presence

Marco Arcelli, CEO of ACWA Power, emphasized the strategic impact of this acquisition:

“This acquisition reinforces our position as a global leader in water desalination. We are consolidating our presence in Bahrain, where we are already a reliable power and water supplier, and entering Kuwait, where we recently submitted a bid for a large power and desalination plant.”

Thomas Brostrom, Chief Investment Officer at ACWA Power, highlighted the company’s broader expansion strategy:

“With our first entry into the Kuwaiti market through the Az Zour North Facility, we have achieved a significant milestone in strengthening our regional footprint in energy and water desalination.”

This acquisition aligns with ACWA Power’s ambitious goal of tripling its assets under management to $250 billion by 2030, reflecting its commitment to driving sustainable energy solutions.

Strategic Advisory and Future Growth

The transaction is subject to regulatory and stakeholder approvals. Goldman Sachs Saudi Arabia was the sole financial advisor, while King & Spalding provided legal advisory services.

With this acquisition, ACWA Power is set to play a pivotal role in advancing energy transition efforts across the region, reinforcing its position as a leading force in sustainable power and water infrastructure.

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