Latest news with #Engie-backed
Arabian Business
21-04-2025
- Business
- Arabian Business
KKR among asset managers vying for Abu Dhabi's district cooling business: Report
Private equity majors KKR and I Squared Capital are reportedly among global asset managers bidding for a district cooling business owned by Abu Dhabi's Multiply Group. The Middle East's biggest alternative investment manager, Investcorp, is among the potential suitors for PAL Cooling Holding (PCH), The asset managers join a race that includes CVC which is working with Engie-backed National Central Cooling Co, also known as Tabreed, in a deal that could be worth around $1 billion, Reuters reported, citing unnamed sources. Abu Dhabi energy and utilities firm TAQA is also eyeing the deal, which is approaching its second round with potential buyers expected to put forward binding bids next month, the report said. Reuters said KKR, Investcorp and Taqa declined to comment, while Multiply, I Squared Capital, CVC and Tabreed were not immediately available for comment. District cooling plants, which deliver chilled water via insulated pipes to cool offices, industrial and residential buildings, have been developed as a more economical and environmentally friendly alternative to air conditioning. The wire service reported last month that Tabreed was working with Citi on a potential bid. The interest in PCH underscores how buyout groups are now looking at local investment opportunities in the Gulf as governments in the region implement ambitious programmes to diversify their economies from oil. Before, equity firms would raise money there to invest elsewhere. Last week, KKR became the latest asset manager to announce plans to build a team in the region to go after Gulf deals. Multiply is controlled by IHC, whose chairman is Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security adviser and brother of the country's president who controls a sprawling business empire including two sovereign wealth funds. Private equity funds worldwide secured around $680 billion in 2024, a 30 percent decrease from about $966 billion raised in 2023, S&P Global Market Intelligence data said in January.
Zawya
21-04-2025
- Business
- Zawya
KKR among asset managers vying for Abu Dhabi's district cooling business, sources say
DUBAI: KKR and I Squared Capital are among global asset managers bidding for a district cooling business owned by Abu Dhabi's Multiply Group, part of a $1.5 trillion empire overseen by one of the UAE's most powerful Sheikhs, three sources said. District cooling plants, which deliver chilled water via insulated pipes to cool offices, industrial and residential buildings, have been developed as a more economical and environmentally friendly alternative to air conditioning. The Middle East's biggest alternative investment manager, Investcorp, is among the potential suitors for PAL Cooling Holding (PCH), the three people with knowledge of the matter told Reuters, declining to be named as the details are not public. The asset managers join a race that includes CVC which is working with Engie-backed National Central Cooling Co, also known as Tabreed, in a deal that could be worth around $1 billion, said the people. Abu Dhabi energy and utilities firm TAQA is also eyeing the deal, which is approaching its second round with potential buyers expected to put forward binding bids next month, they said. KKR, Investcorp and Taqa declined to comment, while Multiply, I Squared Capital, CVC and Tabreed were not immediately available for comment. Reuters reported last month that Tabreed was working with Citi on a potential bid. The interest in PCH underscores how buyout groups are now looking at local investment opportunities in the Gulf as governments in the region implement ambitious programmes to diversify their economies from oil. Before, equity firms would raise money there to invest elsewhere. Last week, KKR became the latest asset manager to announce plans to build a team in the region to go after Gulf deals. Multiply is controlled by IHC, whose chairman is Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security adviser and brother of the country's president who controls a sprawling business empire including two sovereign wealth funds. Private equity funds worldwide secured around $680 billion in 2024, a 30% decrease from about $966 billion raised in 2023, S&P Global Market Intelligence data said in January.
Yahoo
18-04-2025
- Business
- Yahoo
KKR among asset managers vying for Abu Dhabi's district cooling business, sources say
By Hadeel Al Sayegh and Federico Maccioni DUBAI (Reuters) - KKR and I Squared Capital are among global asset managers bidding for a district cooling business owned by Abu Dhabi's Multiply Group, part of a $1.5 trillion empire overseen by one of the UAE's most powerful Sheikhs, three sources said. District cooling plants, which deliver chilled water via insulated pipes to cool offices, industrial and residential buildings, have been developed as a more economical and environmentally friendly alternative to air conditioning. The Middle East's biggest alternative investment manager, Investcorp, is among the potential suitors for PAL Cooling Holding (PCH), the three people with knowledge of the matter told Reuters, declining to be named as the details are not public. The asset managers join a race that includes CVC which is working with Engie-backed National Central Cooling Co, also known as Tabreed, in a deal that could be worth around $1 billion, said the people. Abu Dhabi energy and utilities firm TAQA is also eyeing the deal, which is approaching its second round with potential buyers expected to put forward binding bids next month, they said. KKR, Investcorp and Taqa declined to comment, while Multiply, I Squared Capital, CVC and Tabreed were not immediately available for comment. Reuters reported last month that Tabreed was working with Citi on a potential bid. The interest in PCH underscores how buyout groups are now looking at local investment opportunities in the Gulf as governments in the region implement ambitious programmes to diversify their economies from oil. Before, equity firms would raise money there to invest elsewhere. Last week, KKR became the latest asset manager to announce plans to build a team in the region to go after Gulf deals. Multiply is controlled by IHC, whose chairman is Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security adviser and brother of the country's president who controls a sprawling business empire including two sovereign wealth funds. Private equity funds worldwide secured around $680 billion in 2024, a 30% decrease from about $966 billion raised in 2023, S&P Global Market Intelligence data said in January.
Zawya
26-03-2025
- Business
- Zawya
Tabreed exploring bid for Multiply's district cooling business, sources say
Engie-backed National Central Cooling Co, also known as Tabreed, is exploring a bid for Multiply Group's district cooling business that could be worth at least $1 billion, two sources with knowledge of the matter told Reuters. Tabreed is working with Citi on the potential offer for Multiply's PAL Cooling Holding (PCH), said the two sources, declining to be named as the matter is not public. Tabreed and Citi declined to comment. Multiply did not respond to a request for comment. Abu Dhabi-based investment holding company Multiply is controlled by IHC. District cooling plants, which deliver chilled water via insulated pipes to cool offices, industrial and residential buildings, have been developed as a more economical and environmentally friendly alternative to air conditioning. They are popular in the United Arab Emirates and elsewhere in the Arabian Peninsula, where summer air temperatures can soar above 50 degrees Celsius (122 Fahrenheit). Founded in 2006, PCH has several plants in Abu Dhabi with a combined design capacity of 242,000 refrigeration tonnes (RT), according to its website. It benefits from long-term agreements with clients including developers Aldar and Reem Developers, which are riding a construction boom across the Gulf country, including in the capital city. Tabreed's possible bid follows a deal announced last year under which it was awarded the concession to provide district cooling to Dubai's Palm Jebel Ali, a man-made palm-shaped island double the size of the world-famous Palm Jumeirah. Palm Jebel Ali, which is being re-developed after years of inactivity due to a real estate crash, is projected to host over 80 luxury hotels and resorts and attract around 35,000 families. Bloomberg had previously reported that Multiply was considering selling the division and was working with Standard Chartered on the deal. (Reporting by Andres Gonzalez in London and Hadeel Al Sayegh in Dubai, additional reporting and writing by Federico Maccioni, editing by Anousha Sakoui and Sharon Singleton)
