RIYADH: SHUAA Capital has sold its 20 percent equity stake in Mirfa International Power and Water Company (MIPCO), to Japan’s Sojitz Corporation (Sojitz).
MIPCO was established in 2014 under the Department of Energy’s privatization program.
The company developed and operates a power generation and seawater desalination plant in the Al Dhafra region of Abu Dhabi, with a 1600MW net power capacity and a 52.5 MIGD net water capacity. SHUAA did not disclose the purchase price.
“In addition to acquiring shares in the project which has successfully achieved commercial operation, this transaction is also important for us from the perspective of establishing a business relationship with SHUAA which has a large presence in the financial sector in the Middle East,” said Masakazu Hashimoto, COO of Sojitz’s infrastructure and health care unit.
“Sojitz is aiming to continue and further expand its business in the Middle East,” he added.
Having originally invested in MIPCO in 2015 to support the development phase of the project, this divestment is in line with the group’s planned exit strategy, it said in a stock exchange filing.
MIPCO’s shareholders also include the Abu Dhabi National Energy Group (TAQA) and Engie, the French low carbon energy and services group, both of which will remain shareholders (with 60 percent and 20 percent stakes respectively).
Sojitz is a multinational trading and investment group, listed on the Tokyo Stock Exchange, with assets of about $21 billion across a number of sectors.
SHUAA has appointed Standard Chartered Bank as financial adviser on the transaction and Linklaters as legal adviser.
Dubai’s SHUAA sells 20% stake in Mirfa International Power and Water Company to Japanese investor
https://arab.news/jd59z
Dubai’s SHUAA sells 20% stake in Mirfa International Power and Water Company to Japanese investor
- MIPCO operates a power and desalination plant in Abu Dhabi
- SHUAA invested in MIPCO in 2015
Copper slips as subdued demand, high inventories weigh
LONDON: Copper fell on Thursday, giving up some gains from the previous session as rising inventories and subdued demand due to the holiday in top metals consumer China weighed on prices.
Benchmark three-month copper on the London Metal Exchange edged down 0.7 percent to $12,816 a metric tonne as of 1:10 p.m. Saudi time, after a 2.3 percent jump on Wednesday.
The Shanghai Futures Exchange is closed until February 23 for Lunar New Year, with Chinese traders largely out of the market.
“It’s really difficult to read too much into the price action this week,” said Ole Hansen, head of commodity strategy at Saxo Bank. “We need to get China back and see what happens then, both on the speculative and also on the physical demand in the following weeks.”
The dollar dipped but held above its recent lows after minutes from the US Federal Reserve showed policymakers did not seem to be in a rush to cut interest rates and that several were open to hikes if inflation proved sticky.
A weaker US dollar makes greenback-priced metals more affordable for holders of other currencies.
Copper stocks in LME-approved warehouses meanwhile increased by another 925 tonnes to 225,575 tonnes, the highest since March.
While high stocks were weighing on prices, copper was being propped up by technicals, Hansen explained. “Since last August, every time we have come down the 50-day moving average has been giving support,” he said, adding that the support level was currently at $12,670.
In other metals, zinc fell 0.3 percent to $3,342.50 a tonne and aluminum shed 0.7 percent to $3,067, after breaking a four-day losing streak on Wednesday. Lead edged up 0.1 percent to $1,965, nickel nudged up 0.6 percent to $17,375 and tin was up 0.5 percent at $46,120.
