Malayan Banking Bhd. agreed with Maybank MEACP Pte of Singapore to start a $500 million private equity fund for renewable energy in Asia, according to a statement from Maybank.
The 10-year fund will have a first tranche of $87.5 million, of which Maybank will contribute $50 million. It will invest in wind, solar, geothermal, small hydroelectric, biomass, biofuels and energy efficiency projects in the Asia-Pacific region with a focus on China, India, Indonesia, Malaysia, Thailand, the Philippines, Vietnam, Cambodia and Laos, said Zafrul Tengku Aziz, CEO of Maybank Investment Bank.
It will comprise a $350 million fund supported by Maybank, the Asian Development Bank and the International Finance Corp. and a $150 million co-financing facility supported by the Overseas Private Investment Corp. of the U.S., according to the statement.