KKR and ACWA Power Announce Strategic Financing Deal for Rabigh 3 Desalination Project in Saudi Arabia
KKR, a leading global investment firm, has announced a strategic financing transaction with ACWA Power, the world’s largest private water desalination company and a leader in energy transition and green hydrogen. The transaction represents KKR’s first investment in the Kingdom of Saudi Arabia.
Under the agreement, KKR will act as the anchor lender in a long-duration financing structure for the Rabigh 3 desalination plant, a mission-critical facility supplying a significant share of water to the Makkah region and supporting the Kingdom’s long-term water security agenda.
The transaction combines ACWA Power’s industry-leading operational expertise with KKR’s global capabilities in structuring long-dated, investment-grade private credit solutions, aligning with KKR’s thematic focus on efficient and sustainable utility and energy infrastructure.
Water desalination remains a core national priority under Vision 2030, with scalable and cost-effective technologies playing a critical role in meeting the needs of a growing population.
Rabigh 3 is majority-owned by ACWA Power, which provides approximately a quarter of Saudi Arabia’s total desalinated water capacity and operates more than 110 assets across 15 countries, reinforcing its role as a key partner in the Kingdom’s infrastructure and energy strategy for over two decades.
Abdulhameed Al Muhaidib, Chief Financial Officer of ACWA Power, said:
“Rabigh 3 IWP is a cornerstone asset for water security in the Kingdom, and the strong participation from international investors reflects its quality, reliability, and long-term value.”
He added:
“This transaction demonstrates ACWA Power’s commitment to responsible finance, sustainable water infrastructure, and long-term environmental stewardship. We are very proud to issue our first-ever blue bond that attracts new international investors to our Saudi fleet.”
Julian Barratt-Due, Managing Director and Head of Middle East Investing at KKR, described the transaction as a key milestone, marking the firm’s first investment and private credit transaction in Saudi Arabia, and reaffirmed KKR’s ambition to scale its presence across the Kingdom and support critical infrastructure for sustainable growth.
