(Yicai Global) Aug. 12 -- A coal-fired power generation company in China's northern region of Inner Mongolia plans to raise almost CNY1.97 billion (USD296 million) to buy wind power assets from North Electric (China) Co. to increase its installed capacity from new energy sources.
Inner Mongolia Mengdian Huaneng Thermal Power Corporation Ltd. [SHA:600863] is seeking funds from as many as 10 investors in a private placement of no more than 700 million shares, the company said in a statement yesterday. The company proposes to acquire the 81.25 percent of North Longyuan Wind Power Co. it does not already own.
North Electric, Huaneng Thermal's controlling shareholder, will not be among the investors. Its stake in Huaneng Thermal will fall to 50.54 percent from 56.63 percent after the share allocation.
Longyuan Wind Power has eight wind farms with a total installed capacity of 70.63 gigawatts. It also has one solar power plant that has 2.07 gigawatts of installed capacity. The company is building another wind farm with 25 generators. It had net profit of CNY98.3 million in 2015.