Saudi Arabia’s Public Investment fund (PIF) is considering increasing its stake in local power developer Acwa Power to up to 35 per cent, according to news agency Reuters.

It has tendered an advisory role to investment banks.

The PIF already owns a 13.7 per cent stake in Acwa Power through its subsidiary Sanabil. Other shareholders include the local Abunayyan Holding, the Washington-based International Finance Corporation (IFC) and the local Public Pension Agency (PPA).

The PIF is also planning to sell stakes in local companies such as Saudi Basic Industries Corporation (Sabic) and Saudi Telecom Company, according to news agency Bloomberg. This is to free up cash for acquisitions, as part of the kingdom’s Vision 2030.

The PIF will increase the proportion of assets abroad to 50 per cent by 2020, and could eventually be worth $2 trillion. It has already made major investments in US online transportation firm Uber and the new Middle East e-commerce site Noon.

The wealth fund has also agreed to start a $100bn technology fund with Japan’s Softbank Group Corporation.

It will also take ownership of the King Abdullah Financial District, in a deal currently under negotiation with the PPA.

Acwa Power is the second-largest power developer active in the region. It is thought to be preparing to invest in generation companies unbundled by Saudi Electricity Company for privatisation.