Keppel Corp, consortium, to raise stake in Cleantech solar assets
Increased stake will speed up Keppel’s growth in renewable business.
Infrastructure firm, Keppel Corporation, and Keppel Capital consortium will increase their stake in the assets of renewable energy supplier, Cleantech Solar Asia Pte Ltd (CSA), for $157m (US$115m) to accelerate their growth in renewable business.
Keppel Corporation said in a statement that it will acquire the remaining 50% interest in CSA, following the corporation, Keppel Asia Infrastructure Fund LP (KAIF) and a coinvestor of KAIF’s December 2021 acquisition of 51% stake in Cleantech Renewable Assets Pte Ltd (CRA), which owns 50% of CSA.
With this, Keppel Corporation’s collective effective stake in CSA, CRA’s asset firm, increased from 25.5% to 75.5%, post transaction.
The acquisition of 50% stake in CSA will be completed after the CRA transaction has been finalised and certain other customary conditions including regulatory and other approvals. Keppel Corporation expects the transaction to close in the first half of 2022.
This transaction is not expected to have any material impact on the earnings per share and net tangible asset per share of Keppel Corporation for the financial year ending 31 December 2022.
$1 = US$0.73