Aqualia Capital Aqualia Gestion Integral del Agua S.A. (Aqualia or the Sponsor), a leading company in the global water management business, has been engaged in public-private water projects in developing countries since 2005. Aqualia currently has five projects under construction and operation in Algeria, Egypt and Mexico, including the: (i) Mostaganem (capacity: 200,000 m3 per day) and Cap Djinet (capacity: 100,000 m3 per day) desalination projects in Algeria; (ii) New Cairo (capacity: 250,000 m3 per day) wastewater treatment project in Egypt; and (iii) Queretaro (capacity: 129,600 m3 per day) and El Realito (capacity: 86,400 m3 per day) aqueduct projects in Mexico.   Subject to IFCs proposed equity investment mentioned below, Aqualia intends to form a new investment holding company (Aqualia Capital or the Company) which will be responsible for the development, financing, ownership and operation of water projects in developing countries, except in Eastern Europe where it is already pursuing similar opportunities through an existing investment company, Aqualia New Europe B.V. Aqualia plans to transfer its ownership interests in the abovementioned five projects into Aqualia Capital after obtaining relevant approvals for such transfers. The Sponsor is currently considering bidding for water projects in Latin America, North Africa and South Asia. The Sponsor has been actively participating in and expanding its business presence in developing countries. In the context of rapidly growing demand for reliable water and wastewater treatment services in developing countries, public sector financing constraints and generally lack of quality service delivery by the public sector, private sector participation can play an important role in serving the growing demand, financing the required infrastructure expansion and rehabilitation works, and improving sector efficiency and quality of service delivery. Aqualia has significant operational experience, technological know-how and managerial competencies that it can leverage and share to contribute to the development of the water sector in its developing country target markets.    Water scarcity has become a matter of serious global concern and it has become especially pronounced in the Middle East and North Africa region, where the Sponsor is currently active. In Mexico, the Sponsor is building aqueducts to deliver water to communities which are facing growing water scarcity as nearby aquifers have been over-exploited. The Sponsor''s desalination projects in Algeria and aqueducts in Mexico are expected to serve around 2.8 million people.  The Company is expected to develop new projects in the future that will help significantly expand the number of customers to whom it will deliver clean drinking water.   Rapid urbanization and industrialization in developing countries has also meant that governments need to aggressively address the issue of wastewater treatment in a sustainable manner. Projects like the Sponsor''s New Cairo wastewater treatment plant will be important in proper management of wastewater and the re-use of treated wastewater for purposes such as irrigation. By contributing to enabling increased access to clean drinking water, improving efficiency in water management and supporting best practices in wastewater management, the proposed Project will support sustainable economic development.