August 23rd, 2021 | Dubai, UAE
China Three Gorges South Asia Investment Ltd acquires Alcazar Energy Partners, a portfolio of solar and wind assets in Middle East and North Africa
China Three Gorges South Asia Investment Ltd, in consortium with other Chinese investors, acquires Alcazar Energy Partners, one of the largest independent renewable energy companies in the Middle East and North Africa
Alcazar Energy Partners’ portfolio includes seven wind and solar projects across Jordan and Egypt with a total generation capacity of 411 MW
Transaction will allow China Three Gorges South Asia Investment Ltd to extend its business into the Middle East and North African markets
Alcazar Energy Partners’ investors include prominent institutions, BluStone Management and DASH Ventures, IFC, a member of the World Bank Group, and IFC’s Catalyst Funds, Mubadala Infrastructure Partners and Alcazar Energy Partners’ management team
August 23rd, 2021, Dubai, UAE: China Three Gorges South Asia Investment Ltd (“CSAIL”), together with other consortium members, announces today that it has completed the acquisition of 100 percent of Alcazar Energy Partners (“AEP”), one of the Middle East and North Africa (“MENA”) region’s leading independent renewable energy developers and producers. This transaction enables CSAIL to extend its business and gain exposure to the renewable energy markets in the MENA region.
In just under six years, Dubai headquartered AEP built a portfolio of five solar and two wind projects in Egypt and Jordan, with a total operational capacity of 411 MW. The company has a proven track record of best-in-class project development, contracting and operating capabilities and has played a leading role in the development of the renewable energy industry in Jordan and Egypt.
AEP’s established regional footprint, leading technology and operational excellence, provide a solid foundation for CSAIL’s future expansion in the region and this transaction will enable significant growth through access to new markets and business opportunities across the wider MENA region.
Driven by investor demand, the MENA region’s renewable energy sector is exposed to strong structural growth trends, with 157 GW of renewable energy capacity and additional USD 175 billion expected to be invested in the next ten years.
Daniel Calderon, Co-Founder and Chief Executive Officer of Alcazar Energy Partners, commented:
“We are proud of what we have achieved at Alcazar Energy Partners with the support of our investors, lenders and local governments over the past six years. In this short period of time, we have built the MENA region’s leading developer and producer of renewable energy. Our plants have helped develop the renewable energy industry in Jordan and Egypt powering 275,000 households and saving over 15.6 million tons of CO2 whilst also making a strong contribution to economic growth and employment, particularly within the local communities. I am certain that CSAIL will continue to serve our customers in Jordan and Egypt according to the highest industry standards and accelerate the company’s growth journey in the region.”
Financial advisors to CSAIL on this transaction were Natixis and its affiliates Vermilion Partners and EFG Hermes. Allen & Overy LLP provided legal counsel.
Standard Chartered acted as exclusive financial advisor to Alcazar Energy Partners. Freshfields Bruckhaus Deringer LLP and Bracewell provided legal counsel.
About China Three Gorges South Asia Investment (“CSAIL”)
CSAIL is an investment holding company which was formed by China Three Gorges Corporation (“CTG”) and China Three Gorges International Corporation (“CTGI”) in 2011, to acquire, develop, build, own and operate renewable power generation projects, primarily in Asia. Other shareholders of CSAIL include International Finance Corporation (“IFC”) and Silk Road Fund.
CTG is China’s largest clean energy group and the largest hydropower enterprise in the world.
CTGI, a wholly-owned subsidiary of CTG, is CTG’s overseas investment arm. Its primary scope of operations includes investment and finance, design and construction, operation and maintenance, and consultation in clean energy, including in hydro, wind and solar projects.
About Alcazar Energy Partners (“AEP”)
AEP is a leading independent developer and power producer, headquartered in the Dubai International Financial Centre, with two regional offices in Jordan and Egypt. Investors in AEP were BluStone Management, DASH Ventures, IFC and IFC’s Catalyst Funds , Mubadala Infrastructure Partners, and AEP’s management. Since its establishment in 2014, the company has mobilized in excess of USD 700 million in debt and equity and aims to create sustainable socio-economic value for the local communities in its host countries.
