Sembcorp bags 196 MW of wind, solar in Vietnam acquisition deal

Singaporean energy sector player Sembcorp Industries Ltd (SGX:U96) has finalised the acquisition of majority stakes in three firms in Vietnam, adding their operational wind and solar assets totalling 196 MW to its portfolio in that country.

The company said on Wednesday that its wholly-owned subsidiary Sembcorp Solar Vietnam Pte Ltd bought majority stakes in three of four units of Vietnamese electrical equipment manufacturer Gelex Group JSC (HOSE:GEX).

The deal was first announced in November 2023 when Sembcorp said it would buy stakes ranging from 73% to 100% in several of Gelex subsidiaries. These subsidiaries own a total of 245 MW of operational wind, solar and hydropower plants.

Financial details were not disclosed.

The acquisition of the hydropower asset is due to be finalised in the second half of 2024, subject to regulatory approvals. As part of this transaction, Sembcorp will acquire a 73% stake in a Gelex unit, which owns a 49-MW hydropower plant.

The acquisition of all four Gelex subsidiaries will raise Sembcorp’s gross renewables capacity in Vietnam to 455 MW. The Singaporean group’s total gross renewables capacity will stand at 14.4 GW, it said.

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