Tabreed shareholders authorize inaugural interim cash distribution
Tabreed Strengthens Position as a Regional Leader in Energy Transition
In a significant stride towards capital-efficient growth and sustainable value, Tabreed, a leading district cooling solutions provider, has made several landmark developments in the first half of 2025.
These developments, which include the acquisition of PAL Cooling Holding and the securing of an exclusive district cooling concession for Palm Jebel Ali, have expanded Tabreed's total cooling capacity significantly. The PAL Cooling acquisition, made in partnership with CVC DIF, added more than 182,000 first watch of connected capacity, primarily across Abu Dhabi. The Palm Jebel Ali concession, secured in partnership with Dubai Holding Investments, adds an additional capacity of approximately 250,000 first watch.
These transactions, which are the largest in Tabreed's history, have expanded the company's total site capacity to approximately 2.6 million first watch. This growth has been accompanied by a significant increase in Tabreed's total connected capacity, which reached 1.37 million first watch in the first half of 2025, a marked increase from the previous year. The company also added a record 41.6k first watch of new connections, almost doubling the capacity added in all of 2024.
Dr. Bakheet Al Katheeri, Chairman of Tabreed, expressed the company's commitment to delivering sustainable long-term value to shareholders. He stated, "These developments strengthen the foundation for capital-efficient growth, recurring cash flows, and a platform capable of delivering sustained value beyond 2025."
The UAE and Saudi Arabia have made strong contributions to Tabreed's growth, reinforcing its position as a cross-regional operator. The company's strong foundations and record first-half results also reinforce the scalability of its platform.
In line with the region's energy transition, Tabreed is reinforcing its role as a long-term partner. Renewable energy is being deployed at select Tabreed plants, and low carbon cooling solutions are being piloted. A $700 million green sukuk was successfully issued, strengthening Tabreed's balance sheet and enhancing liquidity. These efforts have also earned Tabreed investment-grade credit ratings from Moody's and Fitch.
Tabreed's first-ever interim dividend was also approved, demonstrating the company's commitment to shareholder returns. Robust free cash flow and disciplined capital allocation have supported both growth investment and shareholder returns in the first half of 2025.
As Tabreed continues to grow and evolve, it remains dedicated to its mission of providing efficient, sustainable, and reliable district cooling solutions to the region.
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