ACWA Power Expect Receiving $470mln

An initial financial closing of the main financing facilities amounting to $470 million, obtained from local banks with a maturity period of 12.5-year and maturing in 2034, was achieved, ACWA Power announced.

The proceeds of the financing will be used by its subsidiary Rabigh Arabian Water and Electricity (RAWIC) to cover multiple financial obligations, including financing costs, and the company’s general purposes, including distributing its profits dividends.

The company announced it expects to receive the financing amount before the end of February 2022.

These facilities are an addition and supplement to the main refinancing facilities amounting to $800 million that were received in December 2021, and the main refinancing facilities amounting to $125 million that were received, in January 2022, as previously announced.

The financial impact of the change in progress the financing process aims to improve the capital structure of RAWIC and to generate income from the company’s future cash flows, though it expected, too, to lead to an increase in the financing costs of RAWIC.