WHA Utilities and Power Public Company Limited (WHAUP), Thailand’s integrated utilities products and service provider and investment firm, has completed the acquisition of 34 per cent stake in northern Vietnam’s biggest water plant Duong River Surface Water plant JSC (DWTP).
In a statement, the Thai power investor said that it signed a share purchase agreement with Do Tat Thang, a shareholder of the water treatment plant, to buy 33,986,774 shares for approximately THB 2,762.96 million ($89.35 million).
“This investment marks another important step for WHAUP utilities business expansion in CLMV, especially in Vietnam, as part of our long-term investment target. Moreover, it is also in line with our strategic plan to expand the utilities business outside WHA Group’s industrial estates,” the company said.
Established in 2016, DRSW is a joint venture between four investors who contributed a total of VND5 trillion ($215.8 million). Local firm Aqua Onen owns 51 per cent stake in the venture followed by Vietnam Oman Investment (28%), state-owned Hanoi Water Limited Company (10%) and tech and tourism firm NEWTATCO (5%).
Currently, the project’s capacity is 54,750,000 cubic meters per year for phase 1A which has commenced operation since the first quarter of 2019. By year end 2019, the total capacity of DWTP will be 109,500,000 cubic meters per year.
WHAUP, previously known as Hemaraj Clean Water Company Limited, was set up in 2008 with a registered capital of THB 645 million.
The company’s core business is distributing raw water, producing and distributing industrial water and providing wastewater treatment services to industrial estates.
In recent deals in this sector, Philippine-listed infrastructure holding firm Metro Pacific Investments Corp acquired 49 per cent stake in Vietnamese water firm Tuan Loc Water Resources (TLW) for P1.988 billion ($38 million).