Abunayyan Holding, Nextpower Complete Solar JV, Plan Jeddah Manufacturing Plant

Saudi Arabia-based Abunayyan Holding and U.S. solar tracker maker Nextpower (earlier Nextracker) have completed the formation of their previously announced joint venture, Nextpower Arabia, the companies said on Monday.

The joint venture, headquartered in Riyadh, aims to support the rollout of utility-scale solar projects across the Middle East and North Africa (MENA) region as governments step up efforts to meet renewable energy and net-zero targets.

Manufacturing Unit In Jeddah

As part of the venture, the partners will set up an advanced manufacturing facility in Jeddah to produce solar tracking systems and related control and yield management solutions for large-scale solar projects across the region.

The facility, which is currently under construction on a 42,000 square metre site, is expected to open in the second quarter of 2026. It will have a manufacturing capacity of up to 12 gigawatts per year and is expected to create as many as 2,000 jobs, including around 600 direct positions, the companies said.

Abunayyan Holding Chairman Khalid Abunayyan said the partnership would support Saudi Arabia’s clean energy ambitions by localising advanced manufacturing, building technical capabilities and contributing to long-term economic development.

Saudi As Strategic Market

Nextpower founder and chief executive Dan Shugar said Saudi Arabia was a strategic market for the company’s regional expansion, adding that the joint venture would enable faster delivery of solar technology through local manufacturing and partnerships.

Nextpower Arabia will be led by Abunayyan Holding chief executive Turki Al-Amri, who said the project would strengthen the regional solar supply chain by sourcing key materials locally, including Saudi-produced steel, in line with the Kingdom’s Vision 2030 industrialisation goals.

Riyadh-based Abunayyan Holding has more than 75 years of experience in developing and operating water and energy infrastructure across Saudi Arabia and the wider MENA region.

U.S.-headquartered Nextpower, formerly known as Nextracker, is a global supplier of solar tracking systems, with more than 150 GW of capacity either operational or under fulfilment across more than 45 countries. Its portfolio includes over 6 GW of projects in the Middle East and Africa, including utility-scale developments in Saudi Arabia and the United Arab Emirates.

The joint venture is expected to support Saudi Arabia’s National Renewable Energy Program, which aims to significantly increase the share of renewables in the country’s power mix by 2030.

According to the Middle East Solar Industry Association, regional solar capacity is projected to exceed 180 GW by 2030, driven by falling costs and government-backed clean energy policies.

Abunayyan Holding and Nextpower said they expect to invest around $88 million (330 million Saudi riyals) in equity and debt funding into the joint venture over the next two years to support the manufacturing facility and workforce development.