ACWA Power was planning to sell a 30 per cent stake in an initial public offering (IPO) in Riyadh by the end of the year.
Saudi’s ACWA Power has delayed plans for an IPO which was slated for the end of the year, reported Reuters.
The firm which develops power and desalinated water plants hired JPMorgan, Citigroup as well as Natixis and Riyad Capital to advise on that process in March.
ACWA Power is the latest company to delay a public listing in Saudi Arabia at a time when the Government is focused on attracting more investment to the stock market under its push to move the economy away from a dependence on oil revenues.
The Kingdom’s sovereign wealth fund, Public Investment Fund (PIF) holds a stake in ACWA Power.
The IPO has been delayed because of problems related to ACWA Power’s Turkish project where players in the power market have had their margins squeezed due to slow reform in the sector and recent economic plight.
Several Saudi based mega companies have delayed IPO plans this year.