Stronger Together

In early February 2020, the Board of Abu Dhabi Power Corporation PJSC (‘ADPower’) submitted an offer to the the Board of Abu Dhabi National Energy Company PJSC (TAQA). The offer set out the principal terms and conditions on which ADPower would transfer the majority of its water and electricity generation, transmission and distribution assets to TAQA in exchange for new shares and the termination of the land lease agreement between the respective companies.

The offer was driven by national and industry objectives, specifically the opportunity to create a regional champion in power and water production, which would also become one of the largest integrated utility companies in the Europe, Middle East and Africa region. In pooling Abu Dhabi’s considerable resources in the power and water sector to pursue profitable growth, the transaction is aligned to the wider ambitions of the UAE.

At TAQA’s Annual General Assembly in April 2020, shareholders voted to approve the transfer of the majority of ADPower’s water and electricity generation, transmission and distribution assets to TAQA, which is owned by ADQ, one of the region’s largest holding companies.

For more information, please see TAQA announces receipt of offer from ADPower and TAQA Shareholders Approve Transaction to Accelerate Transformation of the UAE’s Power and Water Sector.

CEO Message

This transaction represents a major milestone and an exciting moment for all of us at TAQA. As an integrated utilities leader, we are well positioned to drive the transformation of the sector and optimize efficiencies across the value chain.

By consolidating its power and water generation, transmission and distribution assets in the UAE under TAQA, the Abu Dhabi Government is creating a true national energy champion.

TAQA is unique in its scale. It is one of the largest listed companies in the UAE by market capitalization and among the Top 10 utilities across Europe, the Middle East and Africa by regulated assets.

The transaction also brings an integrated utilities company to the UAE public market for the first time and provides investors with an opportunity to invest in high-quality and secure assets for long-term growth. The combined group will have the scale, financial strength and ambition of a best-in-class integrated utilities player and will be uniquely positioned to create value for all local and international, in full alignment with the economic vision of Abu Dhabi.

We remain fully committed to our core mandate to provide sustainable and reliable energy. Our customers depend on us to provide uninterrupted electricity and water in the most efficient manner. Our new future will see us leverage our strong balance sheet, gain access to global capital markets, leverage international relationships and project expertise to cement our position as a regional utilities champion that is committed to providing these resources for years to come.

 

Jasim Thabet
TAQA CEO & MD

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