The Caisse de depot et placement du Québec (CDPQ) announced on Tuesday an increase in its stake, brought to 50%, in the Indian electricity company Apraava Energy, now owned equally with the CLP group based in Hong Kong.
The CDPQ and the CLP group have reached an agreement for the sale by CLP of a 10% stake in Apraava Energy to the Caisse, which has been a strategic shareholder since 2018. This partnership thus brings the respective stake of the two companies to 50% .
The objective is to “[strengthen] the joint commitment of the CDPQ and CLP towards accelerating the transition to a greener economy in India”, can we read in a press release.
The transaction, valued at US$83 million, will provide Quebecers with increased governance rights equal to those of CLP within Apraava Energy, which has made successful investments related to the energy transition.
“Since our investment in Apraava Energy nearly four years ago, the CDPQ has worked with CLP to make Apraava a true leader in sustainable development with a concrete transition plan towards renewable energies,” said Emmanuel Jaclot, Senior Vice-President and Head of Infrastructure at the CDPQ.
“This transaction demonstrates the success of the partnership that we have been building with the CDPQ since 2018 and reflects our strategic alignment and our joint commitment”, mentioned Richard Lancaster, president and chief executive officer of CLP Holdings.
For his part, the managing director of Apraava Energy, Rajiv Ranjan Mishra said he was grateful of the “unrelenting support ability and confidence” of the CDPQ and CLP towards its company. “Alongside them, Apraava Energy will support India's goal of bringing clean and reliable energy to all as part of developing a greener economy,” he said.
Katrine Johns has been a reporter on the news desk since 2013. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining The Gal Post, Katrine Johns worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my email@example.com 1-800-268-7128