Nakheel Reportedly Considers Sale of District Cooling Assets
March 15, 2021 at 02:25 am EDT
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Nakheel PJSC is considering the sale of its district cooling assets, three sources familiar with the matter told Reuters, as real estate companies in the United Arab Emirates offload non-core activities amid the coronavirus downturn. Nakheel has hired financial advisory Synergy Consulting to manage the process, said two of the sources who declined to be named as the matter was not public. Nakheel declined to comment and Synergy did not respond to a request for comment. Nakheel’s planned sale comes after Dubai’s real estate sector, sluggish for most of the past decade, took a further hit from the COVID-19 pandemic, which led many foreign workers to leave and exacerbated oversupply problems. National Central Cooling Company PJSC (DFM:TABREED) and Emirates Central Cooling Systems Corporation (Empower) have expressed interest in Nakheel’s deal, the sources said. The two companies did not immediately respond to requests for comment.
National Central Cooling Company PJSC (Tabreed), a subsidiary of Mubadala Development Company PJSC, is a United Arab Emirates-based company engaged in the provision of cooling solutions to government, commercial, residential and private organizations across the Middle East. The Company is organized into two segments: The Chilled Water segment, which constructs, owns, assembles, installs, operates and maintains cooling and conditioning systems, as well as distributes and sells chilled water for use in district cooling technologies, and the Value chain business segment, which is involved in ancillary activities relating to the expansion of Companyâs chilled water business. Tabreedâs portfolio includes 66 plants across the Gulf Cooperation Council (GCC). The Companyâs affiliates and subsidiaries include Qatar District Cooling Company QCSC and Bahrain District Cooling Company BSC, among others.