Equis Pte. Ltd. and U.S.-based investment fund Global Infrastructure Partners (GIP) have announced the execution of binding documentation for the sale of 100% of Equis Energy for $5 billion (including assumed liabilities of $1.3 billion) in cash to GIP and co‐investors. The transaction is subject to customary regulatory approvals and expected to close in the first quarter of 2018.
Headquartered in Singapore, Equis Energy is among the largest renewable energy independent power producers (IPPs) in the Asia‐Pacific region, with over 180 assets comprising about 11.13 GW in operation, construction and development across Australia, Japan, India, Indonesia, the Philippines and Thailand.
The companies and other parties, including research organization Bloomberg New Energy Finance, are hailing this transaction as the largest renewable energy generation acquisition in history. The deal positions GIP as a dominant renewable energy developer in the key OECD growth markets of Australia and Japan, as well as across India and South‐East Asia.
David Russell, CEO of Equis and chairman of Equis Energy, says, “The investment by GIP and its partners is exciting news for the development of renewable energy in the Asia Pacific. GIP has a strong track record of managing and growing utility‐scale infrastructure businesses, and the combination of experience and knowledge across GIP and the existing management team will allow Equis Energy to continue expanding competitively across its target markets.”
Adebayo Ogunlesi, chairman and managing partner of GIP, says, “We are excited by the new investment in Equis Energy, which is a strong fit with GIP’s global renewable investment strategy. Equis Energy is a unique success story in the APAC region, as it has systematically executed its growth strategy since its founding five years ago. In that period, Equis Energy has become one of the leading renewable energy platforms in the region, with a best‐in‐class business model, a high-quality asset portfolio and an outstanding management team. We look forward to continuing the Equis Energy success story in the years to come and to supporting new growth opportunities in one of the most promising renewable energy markets in the world.”
Credit Suisse (Singapore) Ltd. and J.P. Morgan (S.E.A.) Ltd. acted as financial advisors to Equis Energy. Skadden, Arps, Slate, Meagher & Flom LLP acted as legal advisor to Equis Energy and Clifford Chance LLP acted as legal advisor to GIP.