Hamburg, Germany [RenewableEnergyWorld.com] Epuron Pte. Ltd. Singapore, a regional subsidiary of the Conergy Group in Asia-Pacific, and GE Energy Financial Services have launched Asia-Pacific’s first renewable energy private trust to spur their growth and investments in wind, solar, small hydroelectric, biogas and biomass power generation throughout the region.
The Renewable Energy Trust Asia (RETA) is an investment vehicle focused on the US $7 billion annual renewable energy markets of India, the Association of Southeast Asian Nations (ASEAN) countries and South Korea. It plans to build a portfolio of some 200 megawatts through potential investments totaling US $250 million within the next five years.
With an 80 percent stake, GE Energy Financial Services will serve as RETA’s anchor investor. In addition to maintaining its core expertise in greenfield development, Epuron will hold a 20 percent stake in RETA and act as its Trustee-Manager. Epuron will be responsible for project development, debt financing, acquisition of hardware and supervision of the construction of renewable energy projects. GE Energy Financial Services will share expenses, deciding on each proposed investment when presented. Financial details of the arrangement were not disclosed.
“This sophisticated investment vehicle offers great opportunities to develop in future even more commercial-scale renewable power projects in Asia-Pacific. These projects secure predictable cash flow and long-term capital growth and are therefore a particularly interesting asset class for investors, despite the volatile financial markets,” said Joachim Müller, Epuron’s managing director.
Once a sufficient investment volume has been achieved, RETA may be listed on the Singapore Exchange Securities Trading Limited stock exchange, becoming the first pure-play renewable energy business trust to be listed in Asia-Pacific, the two companies said.