GPSC set up a subsidiary to expand the company's renewable energy portfolio through an acquisition of shares in a solar power plant in Taiwan
GPSC Board of Directors gave the green light to GRP to set up a subsidiary, GRP1, to acquire 90 percent shares in Taiwan’s Sheng Yang Energy, a Tatung Group company, which owns solar power plants with a total capacity of 55.8 MW. In keeping with its business strategy, the company aims to expand its renewable energy portfolio and increase its specialization in the management of overseas solar power plants.
Mr. Chawalit Tippawanich, President and Chief Executive Officer of Global Power Synergy Public Company Limited or GPSC, the innovative power flagship of PTT Group, revealed that the company’s Board of Directors approved the plan for Global Renewable Power Company Limited (GRP), a wholly-owned subsidiary of GPSC, to set up Global Renewable Power 1 Company Limited (GRP1). The new subsidiary will be responsible for the acquisition of 90 percent shares in Sheng Yang Energy from Tatung Forever Energy Co., Ltd. (TFE), a subsidiary of Tatung Co., Ltd. which is a company listed on the Taiwan Stock Exchange. The total value of the transaction is approximately NTD 2,521 million, or THB 2,748 million and will help scale up the company’s renewable portfolio by 50 equity MW from the current capacity of 563 equity MW from hydroelectric, solar and waste-to-energy power plants in Thailand and overseas, increasing GPSC’s total committed capacity from 5,026 equity MW to 5,076 equity MW.
“Sheng Yang Energy Co., Ltd.’s solar power plants have a total installed capacity of 55.8 MW, of which 54.4 MW is from an operating plant and 1.4 MW from an under-construction plant. The acquisition approval was due to the recognized potential of Sheng Yang Energy’s solar power plant project as the Taiwanese government places great importance on power generation from renewable energy as shown by the country’s measures promoting power purchase such as allowing for Feed-in Tariff benefits throughout the entire duration of the project. The investment will not only create income stability for the company but is also in line with its growth strategy to expand its overseas renewable energy business to increase its specialization in the management of solar power plants,” said Mr. Chawalit.