Japan's biggest power generator, JERA said it will spend about JPY15bn (USD112mn) to buy a 35.1% stake in Vietnamese renewable energy company, Gia Lai Electricity JSC (GEC) to expand its overseas business. The acquisition of an affiliate of Vietnamese conglomerate, TTC Corp comes as the Japanese utility steps up its decarbonisation efforts to help tackle global climate change. The deal is aimed at contributing to both economic growth and decarbonisation in Vietnam. Under the deal to be completed by October or November, JERA will buy about 14% stake in GEC from International Finance Corp and about 21% from Armstrong Asset Management Pte. GEC, which holds about 600 megawatts (MW) of wind, solar and hydroelectric power assets, including projects under construction, aims to expand its power generation assets to 1.7 gigawatts (GW) by 2025, mainly solar and wind power. After the acquisition, JERA's renewable power assets through equity holdings will grow to nearly 2 GW.

Source: Reuters