The National Central Cooling Company (Tabreed) said it has acquired an additional 8 per cent stake in Saudi Tabreed, its district cooling investment vehicle in the kingdom held jointly by Vision Invest (formerly ACWA Holding) and IDB Infrastructure Fund II of the Public Investment Fund of Saudi Arabia, thus bringing its ownership up to 28 per cent.
A leading international district cooling developer based in the UAE, Tabreed said its Saudi group has formed multiple joint venture companies in partnership with regional and local players.
Its subsidiaries and project companies include Saudi Dhahran District Cooling Company (SDCC), Central District Cooling Company (CDCC) and the Operation and Maintenance for District Cooling Systems (STOM).
Tabreed’s chairman Khaled Al Qubaisi said: "This acquisition underscores our commitment to supporting and fulfilling the current and future infrastructure needs of large scale developments throughout the Middle East and further cements our position as a leading international district cooling developer."
"Within Saudi Arabia, district cooling is becoming a vital part of complex urban infrastructure developments and we are pleased to be able to support the achievement of Saudi Vision 2030," stated Al Qubaisi.
“Saudi Tabreed currently provides and operates 187,000 tonnes of refrigeration (RT) of cooling to projects including Jabal Omar Development in Makkah, Aramco in Dhahran and King Abdullah Financial district," he noted.
"With the rapid growth and urbanisation of the largest market in the GCC, Tabreed’s acquisition of an additional stake in Saudi Tabreed amounting to SR129 million ($34.3 million) will further enhance its ability to capitalize on new business opportunities.” he added.
In line with the Saudi Vision 2030 and its strategic objectives of developing a vibrant society, thriving economy and ambitious nation, Saudi Tabreed works with the public sector through long term Build-Operate-Own-Transfer frameworks to optimise energy consumption by providing innovative district cooling solutions.
Delivering on this, Saudi Tabreed announced the commissioning of the district cooling plant at the King Khalid International Airport Phase I in Riyadh with a total capacity of 20,000RT serving terminals 1 to 4 on exclusive basis.
CEO Bader Al Lamki said: "We are delighted to contribute to our affiliate’s continued growth within the kingdom by increasing our stake to 28%. The concession of 20,000 RT demonstrates our commitment to the Saudi market where, as published in the Global Market Insight, district cooling is set to exceed $1 billion by the next five years."
Tabreed is enabling businesses in Saudi Arabia to enhance their energy efficiency, reduce costs and meet their sustainability objectives by integrating advanced technology, operational excellence and the latest innovation in district cooling into its solutions, he added.
Current contracted projects include Saudi Aramco, Jabal Omar Development Project in Makkah, King Abdullah Financial District and the King Khalid International Airport.