Dubai - Mubasher: National Central Cooling Company (Tabreed) has completed its largest-ever transactions, marking a major step in accelerating regional growth and strengthening its concession-backed business model.

Tabreed, in partnership with CVC DIF, has completed the acquisition of PAL Cooling Holding from Multiply Group for AED 3.87 billion, according to a press release.

This transaction adds 600,000 refrigeration tons (RT), increasing Tabreed’s connected capacity by 13% to 1.55 million RT.

The added capacity will be sourced from eight concessions on Abu Dhabi’s main island and Al Reem Island, backed by five operational plants.

Announced in June, the deal also introduces long-term contracts averaging 25 years with major developers including Aldar, Modon Holding, and Imkan.

Bakheet Al Katheeri, Chairman of Tabreed, said: “Closing this acquisition demonstrates Tabreed’s commitment to sustainable growth, disciplined investment and long-term value creation.”

Khalid Al Marzooqi, CEO of Tabreed, added: “This transaction strengthens our earnings profile and operational presence in Abu Dhabi.”

From her side, Samia Bouazza, CEO and Managing Director of Multiply Group, stated: “The close of the PAL Cooling Holding agreement marks a deliberate exit and a natural liquidity event for Multiply Group. This is a strategic decision aligned with our disciplined investment framework.”

It is worth noting that the deal is funded through equity contributions and non-recourse project-level debt.

Over the past three years, PAL Cooling has delivered a 7.50% revenue CAGR and around 60% average EBITDA margin.

Palm Jebel Ali: Strategic Growth in Dubai

The DFM-listed company has finalized a AED 1.50 long-term district cooling concession with Dubai Holding Investments for Palm Jebel Ali.

The project will be developed in phases through a joint venture in which Tabreed holds a 51% stake and Dubai Holding Investments holds 49%.

It is expected to deliver 250,000 RT of cooling capacity, supporting one of Dubai’s most significant and high-profile developments.

Al Marzooqi commented on the partnership: “It also strengthens our presence in Dubai’s high-growth developments, creating a dynamic platform for future projects and reinforcing our position as the world’s leader in sustainable cooling.”

In the first half (H1) of 2025, Tabreed posted AED 291.06 million in net profits after tax, while the gross profits of Multiply Group hit AED 509.04 million.