Dubai: «The Gulf»
Archyde.com quoted two well-informed sources as saying that the Emirates Corporation for Central Cooling Systems (Empower) has invited investment banks to submit their bids for its planned initial public offering, which is scheduled to be floated later this year.
Empower, which is affiliated with the Dubai Electricity and Water Authority (“DEWA”), has asked banks to apply for roles in the field of joint global coordination for the subscription, as the deadline for submitting offers is next week.
The sources, who declined to be identified, indicated that Mollis & Co. submitted the application on behalf of Empower, in its capacity as the company’s financial advisor.
market share
Empower had expected that the company would be offered for public subscription on the Dubai Financial Market during the fourth quarter of 2022.
Empower’s market share is currently 80%, and it is planned to raise it to 90% within the next five years. The company, which is the largest provider of district cooling services in the world, recorded record revenues of a total of 2.46 billion dirhams for the fiscal year 2021, a growth of 9.3%, and achieved a net profit of 936 million dirhams, an increase of 4%.
The number of buildings provided by Empower with district cooling services is 1,413, with an increase in district cooling consumption of 17% over 2020.
During 2021, Empower concluded, within 3 months, 3 acquisitions with a total value of 2.04 billion dirhams, which included the cooling activities of “Nakheel Real Estate” with 860 million dirhams, the “Meydan City” deal worth 100 million dirhams, and the activity of district cooling systems serving Dubai International Airport. With a value of 1.1 billion dirhams.
major sectors
Empower provides district cooling services to various vital sectors in the Emirate of Dubai, as it provides district cooling services to more than 64% of the residential buildings sector and 15% of the commercial and office buildings sector, where the share of the hospitality and hotels sector increased to 14%, an increase of 1% over the year Last, as for the health sector, it increased to 3%, and the remaining 4% were distributed to the education, entertainment, shopping centers and others sectors.
