Keppel Asia Infrastructure Fund, among others, will own a 51 percent stake in the company.
A partnership led by Keppel Corporation is acquiring a 51 percent stake in Cleantech Solar, an Asian clean energy provider.
The group also includes the Keppel Asia Infrastructure Fund (KAIF) and Cloud Alpha, a KAIF co-investor.
Shell Eastern Petroleum will continue to own the remaining 49 percent of the company.
“It is truly a source of great pride that we now have the backing of Keppel Corporation and Shell — two world leading corporations with long-term commitments to renewable energy, sustainability, and net zero emissions,” Cleantech Solar founder and CEO Raju Shukla stated.
“Within five years, Cleantech aims to reach a combined generation capacity of 3GW.”
“The investment in Cleantech underscores Keppel’s commitment to sustainability and our Vision 2030 objectives to build our renewables industry,” stated Keppel CEO Loh Chin Hua.
“Not only will we be able to benefit from Cleantech’s expertise and experience in solar energy projects, but we will also be able to explore prospects for collaboration with other areas of the Keppel Group.”
“We would be able to accelerate Keppel’s expansion in the renewables area by acquiring a majority position in an established platform with KAIF and a like-minded partner, as we move towards attaining and exceeding our target of 7GW of renewable energy assets by 2030.”
The transaction’s completion is subject to and contingent on a number of usual conditions, including regulatory and other clearances.
The deal should be completed in the first quarter of 2022.
For this transaction, Standard Chartered served as Cleantech Solar’s exclusive financial advisor.