London-based International Power to sell its 33.3% stake in 420-MW T-Power natural gas-fired power plant in Belgium to Japan's Itochu for €48M; deal expected to close by year's end
May 18, 2011
– International Power announces that it has agreed the sale of its 33.3% equity interest in the 420MW T-Power CCGT power plant in Belgium for €48 million (£42 million) to Itochu, a leading Japanese conglomerate. Under this agreement, International Power’s role in the associated Operations and Maintenance Agreement will also be transferred to a subsidiary of Itochu and Itochu will assume International Power’s share of debt in the project.
Completion of the sale of the T-Power stake will satisfy the undertakings made to the European Commission as part of gaining clearance from the European Commission for International Power’s combination with GDF SUEZ Energy International.
Completion of this transaction is expected by the end of this year and it is subject to customary conditions that among others include pre-emption rights of the other shareholders, European Commission clearance and lender approval.
Notes to Editors:
The T-Power project is in final stages of commissioning with commercial operation expected in Q2 2011. International Power announced in December 2008 that for its 33.3% share in the project its equity investment was expected to be €23 million. The project was financed using non-recourse debt. For the complete announcement please visit http://www.iprplc-gdfsuez.com/news/press-releases/2008/pr-19-12-2008.aspx
About International Power
International Power plc is a leading independent electricity generating company with 70,196MW (gross) (41,550MW net) in operation and a significant pipeline of 17,249MW (gross) (6,826MW net) projects under construction as at 31 December 2010. International Power is listed on the London Stock Exchange with ticker symbol IPR. Company website: www.iprplc-gdfsuez.com
GDF SUEZ holds a 70% interest in International Power plc, further information about the GDF SUEZ Group is available at: www.gdfsuez.com
ITOCHU Corporation is one of the leading Japanese conglomerates, with consolidated assets of JPY5,764 Billion as at 31 March 2011, and doing a wide range of businesses. One of its core business is investment in infrastructure projects, such as IPPs. Under its “Brand-new Deal 2012” medium-term management initiative, Itochu will pursue investment opportunities in IPP assets, as one of its priority areas. Itochu is listed on the stock exchange of Tokyo and other cities in Japan. Company website: http://www.itochu.co.jp/en/