Both parties have signed a five year agreement under the Murabaha deal
The Arab Petroleum Investments Corporation (Apricorp) has signed a five-year agreement with Saudi-based Alfanar Company in Islamic financing for $75 million in support of Alfanar’s renewable energy projects, including a wind project in Spain.
Commenting on the partnership, Nicolas Thevenot, Apicorp’s Managing Director, Head of Corporate Finance, said: “In this particular case, we are happy to support Alfanar towards their renewable energy projects globally.”
“This is in line with Apicorp’s focus to support global sustainability through projects driven by environmentally conscious and renewable principles.”
Alfanar is aiming to tap into the growing demand of renewable energy in various countries around the globe, it stated. The firm wants to deploy 3 GW by 2022 with an intention to grow the portfolio to 4-5 GW by 2025, Alfanar added.
Meanwhile, Jamal Wadi, Chief Executive Officer, Alfanar Global Development, said: “With an existing portfolio exceeding 1.5 GW of renewable development projects around the globe, Alfanar is committed to further double its portfolio in the next few years.”
“The signing of the Murabaha agreement with Apicorp brings us a step closer to realizing our commitment. This partnership with Apicorp comes at a time when Alfanar is also diversifying its portfolio and venturing into new markets.”
Thevenot also added that Apicorp is equally committed to encouraging Saudi companies in their pursuit of opportunities beyond their home market.
featured, Bahrain was Apicorp’s legal counsel on the financing while Hogan Lovells, Dubai guided Alfanar.