Privatization possibility for Chinese hydropower project developer

China Hydroelectric Corporation Logo

Investment firm NewQuest Capital Partners has agreed to acquire the China Hydroelectric Corporation in a US$190 million deal that could take the company private.

The Hong Kong-based firm first expressed interest in the New York Stock Exchange-listed China Hydroelectric Corporation (NYSE: CHC) this past September.

CHC said NewQuest will pay $1.17 per ordinary share or $3.51 per American Depositary Share (ADS), which is 18.2% higher than when it made its preliminary non-binding proposal.

NewQuest currently owns 49.8% of CHC's ordinary shares, with options and warrants to acquire additional ordinary shares that could increase its stake to 56.8%.

China Hydroelectric's board has recommended that shareholders vote for the privatization deal, which would close during the first half of this year if approved.

China Hydroelectric was founded in 2006 and now has offices in Beijing and New York City. The company owns 25 hydropower projects in China that have a cumulative installed capacity of 517.8 MW. HydroWorld.com reported in April that CHC had sold its 30-MW Yuheng project to an undisclosed buyer. The company also recently announced changes to its executive team.

 

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...

Reduce Engineering Project Complexity

Engineering document management presents unique and complex challenges. A solution based in Enter...

Revolutionizing Asset Management in the Electric Power Industry

With the arrival of the Industrial Internet of Things, data is growing and becoming more accessib...

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs