Riyadh – Mubasher: Al Babtain Power and Telecommunication Co (Al-Babtain) has signed a binding agreement to sell a 50% stake in International Wind Power for an international investment firm at a value of SAR 2.5 million.
The two parties agreed to raise International Wind Power’s capital to SAR 16.8 million, from SAR 5 million, according to a statement on Sunday to the Saudi Stock Exchange (Tadawul).
The international investor will contribute with SAR 5.9 million in the capital hike, while Al-Babtain will pay the same amount.
Al Babtain will own a 50% stake in International Wind Power.
The capital increase aims to support the firm’s financial position, as well as develop and improve its business.
The transaction will be subject to regulatory approvals and it is expected to be completed during the first quarter of 2018.
The transaction’s financial impact is forecast to appear by the beginning of 2019, Al Babtain said.
Established at the value of SAR 5 billion as a wholly-owned subsidiary of Al Babtain, International Wind Power is specialised in wind power projects.
This transaction is considered part of Saudi National Transformation Programme 2020 and Saudi Vision 2030 which spur further investment in renewable energy projects in Saudi Arabia and abroad.
