AboitizPower buys Vietnam wind energy firm for $46M

AboitizPower has entered the international renewable energy market by acquiring a Vietnamese wind power producer.

Wholly-owned subsidiary AboitizPower International signed a share purchase agreement for a 100% ownership of Mekong Wind Pte. Ltd. from Armstrong Southeast Asia Clean Energy Fund Pte. Ltd, AboitizPower said.

The total purchase consideration payable for the acquisition of Mekong Wind is approximately $46 million which may be subject to certain closing adjustments, AboitizPower said.

“The acquisition is subject to customary closing conditions and is expected to complete in the fourth quarter of 2019.”

The acquisition is in line with AboitizPower’s goal to reach 4,000-megawatts (MW) net attributable capacity by 2020 through a balanced mix strategy.

Through the acquisition, AboitizPower captures all legal and economic interest in Mekong Wind, which holds a 99.9999934% direct interest in Dam Nai Wind Power JSC.

“Dam Nai Wind owns and operates the 39.4-megawatt (MW) onshore wind power facility in Ninh Thuan Province, Southern Vietnam. Ninh Thuan Province boasts some of the most attractive sites for wind energy in the country,” AboitizPower said.

Dam Nai Wind is one of the first wind power projects in Vietnam to have been successfully brought online with commercial operations having commenced in late 2017, it said.

“This transaction is a milestone for AboitizPower and sets the tone for our expansion in the international market. We have announced our intentions to go international some time back and we have been prudent in looking for the right opportunity that will bring the best value for the company and our shareholders. This is such a transaction,” AboitizPower president and CEO Aboitiz said.

AboitizPower is generating some 1,200 MW of clean and renewable energy from its portfolio of hydro, geothermal, and solar power plants. —VDS, GMA News