The AES Corporation (NYSE: AES) has entered into an agreement to sell its 49.62 percent equity interest in AES Entek Elektrik Üretimi A.S. (AES Entek), a joint venture with KOÇ HOLDING A.S. and AYGAZ A.S., in Turkey, to its partners.
The sale represents 100 percent of AES’ interest in assets in Turkey, consisting of 364 MW of operating natural gas and hydroelectric facilities and its interest in a coal-fired development project, for $125 million in equity proceeds to AES. Subject to customary regulatory approvals, this transaction is expected to close by the first quarter of 2015.
“With the sale of our Turkish assets, we will have exited nine countries and received proceeds of $2.4 billion from asset sales over the past three years," said Andrés Gluski, AES President and Chief Executive Officer. “In line with our strategy, we have focused on simplifying our portfolio and exiting those markets where we do not have a sustainable competitive advantage. Active portfolio management has allowed us to prepay $1.3 billion in debt and invest $817 million in our shares, while reducing our corporate overhead by one-third, or nearly $200 million. At the same time, we have more megawatts under construction than at any other time in AES’ thirty-three year history.”