Empower buys Dubai airport cooling systems for $299mln

The deal for the 110,000-refrigeration tonne facility was completed through a combination of internal accruals and debt financing

  

Emirates Central Cooling Systems Corporation (Empower) has signed an agreement with Dubai Aviation City Corporation (DACC) to acquire the district cooling systems of Dubai International Airport for AED1.1 billion ($299 million).

The deal for the 110,000-refrigeration tonne facility was completed through a combination of internal accruals and debt financing from local and international banks with which Empower has close strategic relations, said the statement from the company.

It was signed by Empower CEO Ahmad Bin Shafar and DACC Executive Chairman Khalifa Al Zaffin
in the presence of Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority and Chairman of Dubai Airports, and Saeed Mohammed Al Tayer, the Managing Director and CEO of Dewa and Chairman of Empower.

Under this deal, Empower will own and manage all the existing district cooling infrastructure of Dubai International Airport, with all its facilities and complexes, with a capacity of up to 110,000 RT that include five units, it stated.

This capacity covers the equivalent of 11 times the consumption of Burj Khalifa, the world's tallest tower, it added.

Speaking at the ceremony, Sheikh Ahmed said: "The deal is part of the AED 25 billion Public-Private Partnership (PPP) project portfolio announced by the Dubai Department of Finance at the Dubai International PPP Conference held recently. It supports the DACC's continuous endeavors to achieve its ambitious strategy emanating from both the UAE Vision 2021 for sustainable growth, and the Dubai’s unique vision to promote the values and standards of sustainability and environmental protection."

"Through this acquisition, both the parties seek to reaffirm Dubai's leading global position by accelerating the pace of developments by strengthening partnerships, using advanced technologies and adopting innovation in all their activities," he added.

Al Tayer said: "The pact formulates a new concept of partnership between the two parties and transfers its investment outputs to a broader space that comprises the protection of the environment and natural resources, sustaining the momentum of creating environmentally sustainable communities throughout the emirate."

"Empower plays an eminent role in the Dubai's economic development, and is striving to strengthen its leadership in the district cooling industry locally, regionally and globally, to reaffirm the extent of the growth and prosperity in Dubai's industrial sector, that is rich in investment opportunities and ability to permanently develop and expand the scope of investment activities related to the present and future of the vital district cooling sector," he added.

Al Zaffin said: "We are immensely proud of what we have achieved within the DACC Group and our contribution to help establish the emirate as the foremost global aviation hub, with Dubai firmly established as the largest international airport in the world."

"This strategic partnership with Empower is a testament to our ambition to deliver streamlined operations at DXB and continue the path of high growth. I am certain that Empower will serve Dubai International Airport according to the highest industry standards." he added.

Bin Shafar said: "We see the acquisition as a long-term partnership with a reputable institution of significant importance on the developmental and economic levels, and Empower is ready with its teams to assume the responsibility imposed by this partnership and looks forward to fulfilling it to the fullest."

"Our superiority and leadership in the district cooling industry and remarkable success in adopting unprecedented technology in operations, production and provision of services, has made us a unique strategic partner for the largest institutions and mega projects," he added.-TradeArabia News Service

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