AboitizPower drops Vietnam wind farm

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ABOITIZ POWER Corp. reported that its unit terminated the deal to fully acquire a wind power company in Vietnam.

In a stock exchange disclosure on Thursday, the power firm said its wholly owned subsidiary AboitizPower International Pte. Ltd. broke off from the transaction to acquire a 100% interest of Armstrong Southeast Asia Clean Energy Fund Pte. Ltd. in Mekong Wind Pte. Ltd. The deal termination was “due to a condition precedent being unmet by the agreed longstop date.”

In August, the two firms signed a share purchase agreement for the acquisition of Mekong Wind, which also has a 99.9999934% direct interest in Dam Nai Wind Power JSC, operator of a 39.4-megawatt (MW) onshore wind power facility in Ninh Thuan Province, Southern Vietnam. The transaction was expected to close by the fourth quarter of 2019.

AboitizPower said the two companies are in talks to revisit the acquisition at a future date. On Thursday, shares in AboitizPower dropped by 3.57% to close at P27.00 each. — Adam J. Ang