UAE-Based Positive Zero Secures Financing Of Up To US$375 Million To Scale Across The GCC
Positive Zero’s new financing facility was arranged by Paris-based Natixis Corporate and Investment Banking and Riyadh-based The Arab Energy Fund.
UAE-based energy transition platform Positive Zero has secured a non-recourse financing facility of up to US$375 million to support the expansion of its decentralized clean energy infrastructure portfolio across the GCC.
Founded by Mohammed Abdulghaffar Hussain and David Auriau more than 10 years ago, Positive Zero builds, finances, and operates site-integrated energy systems in distributed generation, energy efficiency, and clean mobility that require no upfront investment from clients. The company today has the largest distributed solar capacity of more than 500MW in the GCC region, avoiding more than 450,000 metric tons of carbon emissions annually (the equivalent of planting seven million trees), and its efficiency solutions have saved over 100 million kWh in energy consumption across its client portfolio to date.
In an interview with Inc. Arabia, Auriau, co-founder and CEO of Positive Zero, reflected on the company’s origins. “From the outset, our vision was to create a platform that would deliver long-term value by investing in infrastructure supporting the energy transition…” he told Inc. Arabia. “While the utility-scale infrastructure was addressed by well-established developers, we saw an opportunity to address the decentralized infrastructure market, where access to capital remained essential but not sufficient. By being agile, flexible and entrepreneurial, we could drive success for our business and our partners.”
What began as separate UAE-based businesses across distributed solar, energy efficiency, and clean mobility eventually came together under the Positive Zero platform in late 2023, when global asset manager BlackRock backed the company with an investment of up to $400 million. Its new financing facility, which Positive Zero described as the first of its kind in the region for a diversified portfolio of decentralized infrastructure assets, was arranged by Paris-based Natixis Corporate and Investment Banking (Natixis CIB) and Riyadh-based The Arab Energy Fund (TAEF). The facility covers distributed solar power generation, energy efficiency, and clean mobility solutions, providing capital to support Positive Zero's expansion across the UAE, Saudi Arabia, Bahrain, Oman, and Qatar. It will also help the company grow its distributed infrastructure portfolio, finance its capital expenditure program, and advance its strategic development initiatives.
Positive Zero CFO Paul Pountney, Positive Zero CEO David Auriau, Lara Khatib, Head of Infrastructure and Energy Finance - Middle East, Caucasus, and Central Asia, Natixis CIB, and Pierre-Louis De Richemont, Associate - Infrastructure and Energy Finance, Natixis CIB.
"This is not our first non-recourse portfolio financing facility,” Auriau highlighted. “Back in 2020, we secured a similar facility with Apicorp (now TAEF), which laid the foundation for today's achievement. That said, this new facility is on an entirely different scale and truly unique in its nature. It is significantly larger and, unlike the previous one, is available across all of our business lines and geographies. It represents a truly innovative financing solution, and, to our knowledge, one of the most unique portfolio financing facilities of its kind in the region.”
According to Auriau, the company’s track record is what helped build confidence among its backers. "The key factors that have attracted both investors and lenders to Positive Zero are our clear vision, differentiated market positioning, the scale of the business we have already built, our future growth potential, and the strength of our leadership team,” he explained. “Over the years, we have established a sizeable portfolio of high-quality assets supported by bankable contracts, creditworthy off-takers, and a proven operational track record. This existing asset base, combined with consistently strong operational performance, provides a solid foundation for future growth, and has given our financial partners confidence in our ability to continue scaling the platform successfully.”
As Positive Zero now gets set to broaden its footprint in the GCC, Auriau said that success will depend on its offerings adapting to the unique characteristics of each market in the region. "The GCC may look like one market from the outside, but each country is very different,” he noted. “The regulations, electricity tariffs, approval processes, and client needs are not the same; so, we cannot simply copy and paste one model everywhere. In the UAE, the market is more mature and nuanced within the different emirates. In Saudi Arabia, the scale and industrial opportunity are much larger. Bahrain, Oman, and Qatar each have their own dynamics. Our role is to adapt the commercial and technical solution to the local market, while keeping the same basic proposition: we invest, we operate, and the client avoids the upfront capital."
Positive Zero’s journey has also given Auriau a clear perspective on what entrepreneurs need to get right in the sustainability space. “My advice would be to develop a clear vision and robust roadmap,” he said. “There is already a lot of good technology in the market. The real challenge is making it simple for clients to adopt. That means removing the upfront cost, simplifying the contract, and taking responsibility for performance. Sustainability will only scale when the solution also makes financial and operational sense."
Pictured in the lead image are Positive Zero CEO David Auriau, Positive Zero CFO Paul Pountney, and Mohamed El Setouhy, Associate, Corporate Banking, The Arab Energy Fund. All images courtesy Positive Zero.
