SUPER to Invest ฿14.6bn in 4 Solar PP in Vietnam with a Total Installed Capacity of 750MW

Super Energy Corporation Public Company Limited (SUPER) has announced its Board of Directors’ resolution from the meeting on March 25, 2020 to approve the investment in the solar power plant project by Super Solar (Thailand) Company Limited (SST), a subsidiary of SUPER in Vietnam, totaling four projects with a total installed capacity of 750 megawatts. The total transaction value will not exceed USD 456,700,000 or not over Baht 14,614,400,000.

 

The four projects include;

1) The 200 megawatt solar power plant project “Loc Ninh1 Project”

SST expects to purchase a 100% stake in SSE Vietnam1 Joint Stock Company “SSEVN1” for the purchase of shares not more than USD 17,800,000 or not more than Baht 569,600,000. SSEVN1 holds 70% stake in Loc Ninh Energy Joint Stock Company “LN1“, which is the owner of the Loc Ninh1 project.

Value of project construction (EPC Contract) and cost of other project development according to investment proportion not more than USD 81,900,000 or not more than Baht 2,620,800,000.

 

2) The 200 megawatt solar power plant project “Loc Ninh2 Project”

SST expects to purchase a 100% stake in SSE LN2 Joint Stock Company “SSELN2” for the purchase of shares not more than USD 23,000,000 or not more than Baht 736,000,000. SSELN2 is the 100% shareholder of the Loc Ninh 2 Energy Joint Stock Company “LN2“, which is the owner of the Loc Ninh2 project

Value of project construction (EPC Contract) and cost of other project development according to investment proportion not more than USD 117,000,000 or not more than Baht 3,744,000,000.

 

3) The 150 megawatt solar power plant project “Loc Ninh3 Project”

SST expects to purchase a 100% stake in SSE BP3 Joint Stock Company “SSEBP3” for the purchase of shares not more than USD 17,250,000 or not more than Baht 552,000,000. SSEBP3 is the 100% shareholder of the Loc Ninh 3 Energy Joint Stock Company “LN3”, which is the owner of the Loc Ninh3 project “Project.

Value of project construction (EPC Contract) and cost of other project development according to investment proportion not more than USD 87,750,000 or not more than Baht 2,808,000,000.

 

4) The 200 megawatt solar power plant project “Loc Ninh4 Project”

SST expects to purchase a 100% stake in New Holding Company “New Hold Co 4” for the purchase of shares not more than USD 18,000,000 or not more than Baht 588,000,000. New Hold Co 4 is the 80% shareholder of the Loc Ninh 4 Energy Joint Stock Company “LN4”, which is the owner of the Loc Ninh4 project.

Value of project construction (EPC Contract) and cost of other project development according to investment proportion not more than USD 93,600,000 or not more than Baht 2,995,000,000.

 

The source of capital that the company will use to enter into the transaction for a total of not exceeding USD 456,700,000 or not over Baht 14,614,400,000 will come from the working capital of SUPER at the date of transaction and / or loan from the financial institution. It depends on the cash position and company liquidity and the cash flow plan of the company as at the transaction date. The cash flow required to invest will be in line with the project development plan for each project.

The investment will enhance SUPER’s strengths and competitiveness in the future and continue to generate revenue for the company. It also expands SUPER’s investment abroad, which will receive investment incentives in renewable energy from the Vietnamese government, such as tax benefits and access to finance.

By investing in Vietnam, these three projects will help strengthen the competitiveness and competitiveness in the business. This is because Vietnam is a country with high potential for renewable energy development, especially solar and wind energy.

Moreover, Vietnam is in the direction of growing trade and industry, so there is a tendency to increase energy consumption. Currently, the Government of Vietnam gives priority to Alternative Energy and Alternative Energy. The goal is to produce more, to reduce the environmental impact, and to build energy security for the country. This is a good opportunity for the company to invest.