(Yicai Global) April 12 -- China's largest nuclear power operator, Guangdong Nuclear Power Group has sold 13 hydroelectric projects for almost CNY5.2 billion (USD754 million).
On April 5, CGN Energy Development Co., one of the group's divisions, suddenly handed over equity and creditor's rights for 13 hydroelectric projects in Guangxi, Shaanxin, Yunnan and Sichuan provinces. Most of the projects were stable, high-quality assets. Three are individually valued at more than CNY600 million, although others are insolvent. Some 12 of the ventures were shifted in a package deal, with the remainder being sold individually.
"CGN is selling its hydroelectric assets to meet business development requirements," a source connected to the firm said yesterday. "It's a normal activity in market-oriented operations."
The nuclear energy company claimed that the big shift in assets was a response to requirements of the State-Owned Assets Supervision and Administration Commission, which requested CGN exit the hydroelectric sector and prioritize the nuclear sector, according to domestic media. The company said it would withdraw from all of its hydroelectric assets apart from those in companies listed overseas.