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The listing is one of the largest offerings in Saudi Arabia since the 2019 IPO of Saudi Aramco, positioning EFG Hermes once again at the forefront of advisory for some of the region’s key transactions
Riyadh, 11 October 2021
EFG Hermes, the leading financial services corporation in Frontier Emerging Markets (FEM), announced today that its Investment Banking division successfully completed advisory to ACWA Power on its SAR 4.5 billion (USD 1.2 billion) initial public offering (IPO) on the Saudi Stock Exchange (Tadawul). EFG Hermes served as joint bookrunner and underwriter on the transaction.
ACWA Power offered 81,199,299 shares on the bourse, representing 11.1% of the company’s share capital at an offer price of SAR 56.0 per share, implying a market capitalization of SAR 41.0 billion (USD 10.9 billion). International Company for Power and Water Projects (ACWA Power) debuted on the Saudi Exchange (Tadawul) with the symbol 2082 and under the energy sector today.
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 – a testament to the team’s ability time and time again to funnel global capital into attractive local opportunities. Today’s transaction primes us to capitalize 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 leading private developer, owner, and operator of long-term contracted power generation and desalinated water projects worldwide. Today, it has 64 projects in operation, construction, or advanced development in 13 countries across three continents, with a total project cost of SAR 248 billion (USD 66 billion). Its operational capacity across all markets currently provides 20.3 GW of electricity and 2.8 million m3 per day of desalinated water.
2021 has seen the team ramp up its ECM executions, closing a record 8 transactions to date worth USD 3.5 billion. Most recently, the division acted as joint bookrunner on the AED 4.0 billion listing of ADNOC Drilling on the ADX; joint bookrunner on the AED 2.7 billion listing of Yahsat on the ADX; sole financial advisor and joint bookrunner on Fawry’s EGP 1.2 billion follow-on sale on the EGX; joint bookrunner and underwriter on Alkhorayef Water & Power Technologies’ SAR 540 million IPO on Tadawul; and acted as sole financial advisor on two M&A deals for Agthia this year.
About EFG Hermes
With a current footprint spanning thirteen countries across four continents, EFG Hermes (HRHO.CA:EGX ; EFGD:LSE) started in Egypt and has grown over 37 years of success to become the leading financial services corporation in Frontier Emerging Markets (FEM). Drawing on our proven track-record and a team of more than 5,500 talented employees, we provide a wide spectrum of financial services that include investment banking, asset management, securities brokerage, research and private equity to the entire MENA region.
In 2015, EFG Hermes launched its Non-Bank Financial Institutions (NBFI) Platform, which overlooks activities in the non-banking finance field covering microfinance, leasing, factoring, Buy-Now Pay-Later (BNPL), mortgage and insurance. This falls in line with the Firm’s strategy to focus on two main pillars: product diversification and geographic expansion into non-MENA markets, which has seen the Firm establish a physical presence in Pakistan, Bangladesh, Vietnam, Kenya, Nigeria, the United Kingdom and the United States.
For further information, please contact:
EFG Hermes Public Relations
May El Gammal
Group Head of Marketing & Communications
Note on Forward-Looking Statements
In this press release, EFG Hermes may make forward looking statements, including, for example, statements about management’s expectations, strategic objectives, growth opportunities and business prospects. These forward-looking statements are not historical facts but instead represent only EFG Hermes’ belief regarding future events, many of which, by their nature are inherently uncertain and are beyond management’s control and include among others, financial market volatility; actions and initiatives taken by current and potential competitors; general economic conditions and the effect of current, pending and future legislation, regulations and regulatory actions. Accordingly, the readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made.