Global infrastructure investor Actis is acquiring a 50% stake in Emirates District Cooling Company (EMICOOL) from Dubai Investments.
The deal represents one of the largest transactions in the district cooling industry in the MENA region and creates a partnership between Actis and Dubai Investments to grow the $1bn (€864m) district cooling business.
Established in 2003, Emicool’s district cooling system connects more than 2,200 buildings across the UAE including more than 8 diversified sectors like residential, retail, commercial buildings, hotels, schools, universities, hospitals, furnished apartments, industrial and staff accommodations.
Khalid Bin Kalban, vice chairman and CEO, of Dubai Investments, said the joint venture with Actis is aimed at serving the growing demands of the district cooling sector by seamlessly integrating the capabilities of both parties.
“We are very happy to announce this divestment deal as a part of the company’s robust plans towards implementing a prudent approach to asset management, facilitating efficient recycling of capital to invest in future growth.
“Over these years, Dubai Investments focused on re-engineering the cost of operations, invested in plant development, enhanced technological know-how and created a strategic asset that has added significant value to the UAE’s district cooling sector and we are optimistic it will grow further with Actis onboard now.”
Adrian Mucalov, a partner at Actis, said, “We are delighted to have entered this landmark transaction with Dubai Investments, to back one of the leading players in the district cooling sector.
“We look forward to a long-term partnership and will support Emicool to consistently deliver high-quality services and customer care. Actis also sees a clear opportunity for Emicool to become a regional leader in sustainable district cooling and related services.”
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