Picture: ISTOCK
Picture: ISTOCK

Hong Kong — Equis Energy, the Singapore-based developer of power projects, had asked for binding bids for its $4bn renewable energy business by late September, people with knowledge of the matter said.

A consortium led by 1 Squared Capital is among suitors chosen to proceed in the bidding for the portfolio of Asia Pacific assets, according to the people. The infrastructure investment company is partnering with Thailand utility Electricity Generating and Japanese trading house Mitsubishi, the people said, asking not to be identified because the information was private.

Orix, which has teamed with Dutch asset manager APG Group and Royal Dutch Shell, was also invited to make second-round offers, the people said. China’s State Power Investment and French utility Engie, which were earlier considering bids, are no longer pursuing the assets, according to the people.

Renewable energy assets are attracting heightened investor interest as governments throughout Asia are encouraging the use of nonfossil fuels.

Any deal will add to the $10.9bn in acquisitions of Asian alternative power companies announced over the past 12 months, data compiled by Bloomberg show.

Equis, which has appointed banks for a strategic review, was seeking to value the portfolio at more than $4bn including debt, the people said.

Equis expected a transaction to close in the fourth quarter, communications director Roberto de Vido said in June.

No final decisions had been made and there was no certainty the deliberations would lead to a transaction, the people said.

Spokesmen for Engie, Equis, Orix and Shell declined to comment, while a representative for Mitsubishi said the company could not comment.

Equis was pursuing a sale after delaying plans for an initial public offering of its operational assets, people with knowledge of the matter said in March.

Bloomberg


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