Chile power play secures $20 million
Article Date: Jul 22 2008HydroChile, a company set up to build and operate hydro-electric power stations in the South American nation, has raised equity finance of US$20 million (£10 million). The major investors are London-based utilities investor Ecofin and asset management firms GLG Partners and The Tudor Group.
Ecofin takes a 25 per cent stake in HydroChile following the investment, while Tudor, a seed investor, has increased its holding. GLG is a new entrant to the company’s shareholder register.
The funding will allow HydroChile’s wholly owned Chilean subsidiary to begin construction of two “run-of-river” power stations, which are located approximately 150 km south-east of Santiago and will have capacities of 27 and 24 megawatts. The company claims to have seven further deals in the pipeline (totalling 148 megawatts) and says the Chilean government is eager to reduce the country’s energy shortfall.
HydroChile, which intends to raise a further $50 million before the end of the year, was advised on the completed fundraising by Domain Capital in Australia, and by Independent Capital Partners and Carbon International in London.
