Dubai: The Dubai-based investment firm Shuaa Capital has exited from the Mirfa International Power and Water Company (MIPCO), selling its 20 per cent holding to Japan’s Sojitz Corporation.
MIPCO was set up in Abu Dhabi in 2014 as the 10th project in the emirate’s private sector utility space. The company operates a power generation and seawater desalination plant in the Al Dhafra region, with a net power capacity of 1,600MW and a net water capacity of 52.5 MIGD, contracted under the Power and Water Purchase Agreement (PWPA).
Shuaa had made its investment in MIPCO in 2015. The divestment now is in “line with the Group's planned exit strategy,” Shuaa said in a statement.
MIPCO shareholders include the Abu Dhabi National Energy Group (TAQA) and Engie SA, the French low carbon energy and services group, both of which will remain shareholders (with 60 and 20 per cent stakes).
Fawad Tariq Khan, Head of Investment Banking at Shuaa, said, "With its experience in international power, Sojitz represents an ideal partner for MIPCO going forward, bringing operational expertise as a strategic investor. We are delighted to be able to divest our stake to Sojitz, in line with our planned exit horizon, having supported the development of the MIPCO plant which will deliver power and water security across the UAE."