Thai-listed BCPG to pick 33.3% in Indonesia’s Star Energy

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Thai listed renewable energy firm BCPG has secured the approval from the Board of Directors to acquire one-third stake in Indonesia-based Star Energy Group Holding for not exceeding $357.5 million.

Both companies expect to enter into the transaction in the second quarter of this year, according to BCPG’s filing on Wednesday.

Bundit Sapianchai, president of BCPG, said that this investment creates the opportunity to expand the company’s renewable energy business.

He stated, in the filing, the company saw a big growth opportunity in Indonesia given the country’s high demand for electricity.

Following the acquisition, BCPG will hold stakes in three geothermal power plants in Indonesia with a combined production capacity of 182 MW. The three projects are top geothermal power plants in Indonesia.

The largest plant is located in Sukabumi City in West Java with the installed capacity of 377 MW. The other two include the 227-MW geothermal power plant at Wayang Windu and the 271-MW Darajat project in Garut and Bandung.

The company will source the acquisition through loan and internal cash flows.

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