AES Corporation has entered into a strategic partnership with the Estrella-Linda Group (Estrella-Linda), for its business in the Dominican Republic.
Under this agreement, Estrella-Linda will acquire an 8% minority interest in AES’ business in the Dominican Republic for US$ 96 million. The transaction is expected to close in Q4 2014 and is subject to customary closing conditions.
Commenting on the agreement, Andrés Gluski, AES President and CEO, said: “This transaction, at a valuation of US$ 1.2 billion for AES Dominicana, highlights the value of our Dominican assets. We believe that Estrella-Linda represents a strong local player and will support our planned expansions, such as upgrading our DPP power plant. AES and Estrella-Linda are committed to bringing affordable, sustainable and reliable energy solutions to the Dominican Republic.”
LNG import terminal
AES’ Dominican Republic business consists of an LNG import terminal, a 319 MW combined-cycle gas-fired plant (Andres), a 236 MW open cycle gas-fired plant with potential expansion of the capacity to 358 MW in combined-cycle mode (DPP), and 50% ownership of a 295 MW coal-fired plant (Itabo).
Adapted from press release by Katie Woodward