Saudi Arabia: EFG Hermes completes advisory on listing of ACWA Power

Financial services company EFG Hermes announced on October 11 that its investment banking division completed advisory to Saudi Arabia’s ACWA Power on its $1.2bn IPO on the Saudi stock exchange.

EFG Hermes served as joint bookrunner and underwriter on the transaction. ACWA Power offered 81,199,299 shares on the bourse, representing 11.1 per cent of the company’s share capital at an offer price of SAR56 per share, implying a market capitalisation of $10.9bn.

ACWA Power debuted on Tadawul under the energy sector today. The listing is one of the largest offerings in the kingdom since Saudi Aramco’s IPO in 2019.

Read: Biggest Saudi IPO since Aramco jumps 30% on trading debut

Mohamed Abou Samra, managing director at the Investment Banking Division at EFG Hermes, said: “We are thrilled to have worked with ACWA Power on this landmark transaction, which is one of the largest offerings coming out of Riyadh since Saudi Aramco went public. The deal, which garnered substantial interest from both local and foreign investors, follows just days after the team closed on the successful listing of ADNOC Drilling on the ADX.

“Today’s transaction primes us to capitalise on the expected uptick in ECM activity in Saudi Arabia following the kingdom’s push to spur capital market activity, with the team already having lined up a strong transaction pipeline in the coming period.”

Founded in Riyadh in 2004, ACWA Power is a private developer, owner, and operator of long-term contracted power generation and desalinated water projects worldwide. Currently, it has 64 projects in operation, construction, or advanced development in 13 countries, with a total project cost of SAR248bn ($66bn).

EFG Hermes ramped up its equity capital markets (ECM) executions this year, closing eight transactions to date worth $3.5bn.