Singapore's REA to buy 49% in Chinese wind farm for USD 7m - report
(ADPnews) - Nov 19, 2010 - Singapore's Renewable Energy Asia Group (SIN:5DW), or REA, has agreed to buy a 49%-stake in a 49.5 MW wind farm in China's Inner Mongolia region for CNY 48 million (USD 7.2m/EUR 5.3m), Singapore's Business Times reports.
Under the agreement, REA will acquire Nantong Huaishuo Investment Co, which holds 49% in the plant's developer and operator Datang Baotou AsiaElectricity Co Ltd, from Jiangsu Maritime Engineering Services Co Ltd.
The wind farm has been operational since October and will yield revenue to REA almost immediately, according to the daily.
China Datang Renewable Power Co Ltd, a unit of state-owned power producer China Datang Corp, is the owner of the majority stake of 51% in the farm.
REA will fund the acquisition with the proceeds from a recent share issue completed in September, the daily added.