Dubai, UAE, April 04, 2012: Swicorp, a leading private equity firm focusing on the MENA region and Turkey, today announced the signature of a sale and purchase agreement for the sale of its entire stake in Uch Power Limited (UPL), a 585MW combined cycle thermal power plant located in Pakistan. The stake is being acquired by International Power Uch Holdings BV, a wholly-owned subsidiary of International Power GDF Suez, a leading independent power generation company. The gross assets value of UPL as at December 31 2011 was US$ 474 million (€357 million).
Joussour Holding Company, the private equity investment vehicle investing in energy and energy intensive industries and managed by Swicorp, holds a strategic equity stake with joint control in UPL through one of its majority-owned subsidiaries Creative Energy Resources.
The asset was acquired in 2008; it is one of the lowest cost sources of thermal power in Pakistan, with a long-term fuel supply and power purchase contract in place. Over the 4 year holding period, the investment delivered solid returns for its investors.
Shahid Khan, Investment Director, Swicorp and Board member of UPL commented: "This has been a successful investment for us in one of the most challenging and difficult periods in history". He added, "We are very grateful to the Government of Pakistan for all their support and would also like to thank all the board members, management and other stakeholders of UPL for all their hard work and dedication".
Nabil Triki, Swicorp head of Private Equity and CER Board member added: "I am pleased that as market conditions improve, Swicorp is beginning to unlock the considerable value stored within its investment portfolio. This is our third successful exit so far this year and we are very satisfied with the outcome".
This transaction is subject to certain regulatory consents and other approvals, which are expected to be completed by May 2012.
About Swicorp (www.swicorp.com)
Swicorp is a leading corporate finance advisory, private equity and principal investment firm with a specific regional focus on the Middle East and North Africa (MENA) region.
Founded in 1987 and licensed by the Capital Market Authority of the Kingdom of Saudi Arabia, and the Dubai Financial Service Authority of the United Arab Emirates, Swicorp has an extensive track record of pioneering M&A and Advisory transactions across the MENA region over the last 25 years. Swicorp has also developed into one of the leading players in the Private Equity sector in the MENA region, raising over US$1 Billion in private equity funds from investors since 2004.
From its headquarters in Riyadh and regional offices in Jeddah, Geneva, Tunis, and Dubai, Swicorp provides a wide range of corporations and investors with independent advice and assistance on key strategic and financial issues.
About Joussour Holding Company
Joussour's strategic objectives are investing in businesses that can directly benefit from MENA's competitive advantages including access to energy feedstock, strategic location, etc. While its core geographic focus is the MENA region, Joussour can opportunistically invest in other regions as well. Joussour's investments primarily target the energy, petrochemicals and other energy-intensive sectors with target equity investment size of US$ 50 million to US$ 150 million.
For More Information:
Nabil Triki
Swicorp
Tel: +216 71 197 090
ntriki@swicorp.com
© Press Release 2012
