AES Gener postpones USD-500m capital hike for renewables

Latin American power company AES Gener SA has postponed its USD-500-million (EUR 426.6m) capital increase, with which it planned to finance new renewables in Chile and Colombia, for the first quarter of 2021.

The Santiago-based company, controlled by US power giant AES Corp (NYSE:AES), said it has enough liquidity to develop renewable energy projects and meet its obligations in the coming months.

AES Gener beefed up liquidity by collecting USD 720 million as a result of recently terminated power purchase agreements (PPAs) between its Angamos coal-fired plant and two copper mines and selling a stake in another plant for USD 113 million.

The delay of the capital increase was approved by AES Gener shareholders.

“AES Gener’s value lies in its contracts and long-term relationships with its clients and not in its coal-fired assets,” said CEO Ricardo Falu.

In April, AES Gener shareholders approved the capital hike to secure part of the financing needed for 1.6 GW of wind and solar power projects in Chile and Colombia.

(USD 1.0 = EUR 0.853)

Choose your newsletter by Renewables Now. Join for free!