Five companies, including ACWA Power of Saudi Arabia and the UAE’s Alcazar Energy are bidding to acquire the Egyptian Gabel El-Zeit wind farm on the Red Sea, the Saudi Asharq Business news website has revealed.

The 580-megawatt (MW) wind farm is among the public utilities Egypt intends to sell to the private sector as part of reforms meant to spur economic growth and ease the state’s financial burden
Besides Saudi and UAE firms, bidders include the UK’s Actis and two other companies from Europe and Malaysia, the report said.

“These companies have until the end of October to submit their bids to acquire that wind farm,” it said, quoting an unnamed Egyptian government official.

The wind farm comprises 300 wind turbines spread over an area of 100 square kilometres.

The sale of public entities has fetched Egypt nearly $5.8 billion since 2022, just below half the targeted sum of $12 billion, Asharq said.

Local business news website EnterpriseAM said on Monday that the government is also evaluating the option of an Initial Public Offering (IPO) on the Egyptian stock exchange for Gabel El-Zeit.

It said the government has simultaneously kick-started procedures to float 30-40 percent of the project in an IPO that could raise between $300-400 million.

The report said a sale of a majority stake in the wind farm to a strategic investor will target $600-$800 million.