ABU DHABI: CVC DIF, the infrastructure investment strategy of global private markets manager CVC, and National Central Cooling Company PJSC (Tabreed) have announced a strategic partnership to acquire PAL Cooling Holding from Abu Dhabi’s Multiply Group, in a deal valued at approximately AED 3.8 billion.
The transaction—subject to customary regulatory approvals—includes eight long-term concessions currently supported by five operational district cooling plants, with three additional facilities under development and one plant already under construction. Once complete, the portfolio is expected to deliver a connected cooling capacity of approximately 600,000 refrigeration tons (RT), up from the current 182,000 RT as of December 2024.
Founded in 2006, PAL Cooling is a major player in the UAE’s district cooling sector, with operations servicing landmark developments across the capital. Its concessions are strategically concentrated in key growth zones, including three in Abu Dhabi’s main island and five on Al Reem Island—an increasingly vital financial and residential hub within the Abu Dhabi Global Market (ADGM) free zone.
Tabreed Chairman Dr. Bakheet Al Katheeri said the acquisition supports the company’s broader strategic growth initiatives. “Tabreed is always looking to the future and ensuring we remain agile,” Al Katheeri said.
“The acquisition of PAL Cooling with CVC DIF aligns perfectly with our strategic objectives and readiness to adapt to Abu Dhabi’s ambitious real estate projects.”
Khalid Al Marzooqi, Tabreed’s Chief Executive Officer, called the move “a pivotal moment” for the company. “These additional plants will be operated and maintained by the world’s leading experts in sustainable cooling,” he said, noting the acquisition strengthens Tabreed’s investment-grade profile through long-term concession agreements and poised growth on Reem Island.
CVC DIF, which manages around €19 billion in infrastructure assets globally, views the acquisition as a high-quality investment offering both stability and growth potential. “PAL Cooling operates under long-term concession-based contracts in a fast-growing urban environment,” said Gijs Voskuyl, Managing Partner at CVC DIF. “We’re excited to partner with Tabreed to build on this momentum and deliver sustainable, energy-efficient solutions.”
Özgür Önder, Head of CVC Middle East, highlighted the alignment between CVC’s infrastructure priorities and Tabreed’s industry-leading experience. “Our partnership with Tabreed underscores our commitment to investing in the UAE and supporting businesses that drive long-term sustainable development,” he said.
From the seller’s perspective, Multiply Group CEO and Managing Director Samia Bouazza described the transaction as a calculated step in its portfolio optimization strategy. “The monetization of PAL Cooling reflects our ability to unlock value from our assets while creating liquidity for future growth across our core verticals and global investments,” she said.
The signing ceremony took place at Multiply Group’s Abu Dhabi headquarters, attended by senior leadership from all participating firms.