Singapore’s Sembcorp pays $131 mln for acquiring renewable energy projects in Vietnam

Singaporean giant Sembcorp Industries spent SGD174 million ($131.1 million) on the acquisitions of majority interests in three out of four renewable energy subsidiaries of Vietnamese conglomerate Gelex.

According to Sembcorp’s performance review for the first half of 2024, the acquisitions were completed in May-June.

In combination with cash and cash equivalents in the acquired subsidiaries of negative SGD11 million ($8.3 million), Sembcorp recorded a cash outflow of SGD163 million ($122.7 million) from the move, according to the report.

Those acquisitions contributed turnover of SGD7 million ($5.3 million) and profit of SGD1 million to the giant’s results in H1/2024, Sembcorp noted.

In June, Sembcorp Industries said it had acquired majority interest in three subsidiaries of Vietnamese conglomerate Gelex, adding 196 MW of operational wind and solar assets to its portfolio in the country.

Sembcorp Industries said the acquisition was completed by its wholly-owned subsidiary Sembcorp Solar Vietnam Pte Ltd.

In July, Vietnamese industrial major Gelex Group noted it is completing procedures to sell the 49-MW Song Bung 4A hydropower project to Sembcorp.

It also informed that the three projects sold to Sembcorp are Huong Phung wind power project, Gelex Quang Tri wind power project, and Gelex Ninh Thuan solar power project, totaling 196 MW.