Denham Capital to Sell Interests in GNPower’s MarivelesPowerPlant
Ayala Corporation To Acquire Stake in 600-Megawatt Project in Philippines
BOSTON -- December 17, 2012
Denham Capital announced today that it has entered into a definitive agreement
to sell its interests in the GNPower Mariveles project, a 600 megawatt power
generating plant currently undergoing commissioning in the Philippines’ Bataan
province, to Ayala Corporation (“Ayala”), a Philippines-based conglomerate,
for $155 million. Completion of the transaction is subject to lenders’ consent
and other customary closing conditions.
Denham’s initial investment in the Mariveles project was alongside Power
Partners, the developer of the project, in June 2007. Financed by a consortium
of Chinese and Filipino banks, the Mariveles project received Asian Project
Finance Magazine’s “Deal of the Year” award in 2010. Mariveles is the only
large-scale plant that will come online in the Philippines in 2013, and will
be a low-cost source of power to help fill the nation’s anticipated power
“The GNPower Mariveles project is an example of the global nature of the work
being done by our power and renewables group,” said Scott Mackin, Denham
Capital’s Co-President and head of its power and renewables team. “The deal
affirms our thesis of patiently supporting strong local development partners
in countries with significant need for new generation capacity, stable
regulatory frameworks and a deep pool of potential buyers.”
“Partners such as Denham Capital are crucial to the continued growth of the
Philippines’ economy, as they provide needed capital to help keep the cost of
power down so that local industries can remain competitive, as well as
creating numerous jobs,” added Dr. Dan Chalmers, chief executive officer of
GNPower. “Beyond simply providing capital, however, Denham greatly contributed
to bringing this plant on line through their hands-on assistance with our
development and financing efforts over the years. They have been an ideal
About Denham Capital
Denham Capital is a leading energy-focused global private equity firm. With
approximately $7.3 billion of invested and committed capital, Denham makes
direct investments in the energy and resources sectors, including businesses
involving oil and gas, metals and minerals, and power and renewables. With
offices in Boston, Houston, Short Hills, London, São Paulo and Perth (February
2013), Denham invests globally, with investments currently in the U.S.,
Canada, South America, Europe, Australia and Asia. Denham invests across all
stages of the corporate lifecycle, from exploration and development projects
to mature, operating businesses, and all segments of the capital structure.
For more information about Denham Capital, visit www.denhamcapital.com.
About Ayala and AC Energy
AC Energy is a wholly-owned subsidiary of Ayala, the holding company of one of
the Philippines’ oldest and most respected business groups. Founded in 1834,
Ayala today is one of the largest and most widely diversified conglomerates in
the Philippines, with leadership positions in real estate development, banking
and financial services, telecommunications, electronics and information
technology, water infrastructure development and management, and new
investments in power and infrastructure. Ayala’s common shares are listed on
the Philippine Stock Exchange and had a market capitalization of around US$7
billion as of December 6, 2012.
AC Energy is Ayala’s energy sector development arm. Its goal is to develop a
portfolio of competitive power generation assets across traditional and
renewable technologies, and to operate as a major retail electricity supplier.
AC Energy aspires to reach over 1,000 MW of generation assets (gross) within
the next 5 years through a combination of green field and operating assets.
Brad Russell, +1 713-627-2223
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