Meed | Acwa Power applies for $1.9bn capital increase

Acwa Power applies for $1.9bn capital increase

20 December 2024

Saudi utility developer and investor Acwa Power has submitted its application to raise additional capital to the kingdom’s Capital Market Authority (CMA).

The move aligns with the Acwa Power board’s previous recommendation to increase its capital through offering rights issue shares for a total offering value of SR7.125m ($1.9bn), the company said in a regulatory filing on 19 December.

The capital injection is expected to support Acwa Power’s ongoing investments in renewable energy infrastructure and help the company scale its operations in line with its financial goals.

The company previously stated that it expects a substantial increase in its average annual investment commitments between 2024 and 2030.

The firm anticipates investing between $2bn and $2.5bn a year over the next six years, twice the scale of its previous commitment to invest between $1bn and $1.3bn annually.

Last week, it was reported that the utility developer lost over $25bn in market value, highlighting global and regional market volatility.

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Jennifer Aguinaldo