Infigen press release:
Infigen Energy (ASX: IFN) advises that it has today reached financial close on the acquisition of Babcock & Brown International Pty Ltd’s Australian and New Zealand wind energy project development assets.
As advised on 24 June 2009, the Australian and New Zealand wind energy development assets are primarily 50% interests in development opportunities comprising more than 1000MW in four Australian states and in New Zealand, with a number of the projects located close to Infigen’s existing Australian wind farms. The development opportunities have the potential to be delivered in the next five years.
Link:
Wednesday 22 July 2009
CITI INFRASTRUCTURE INVESTORS CLOSES AGREEMENT WITH SPANISH SAVING BANKS AS INVESTORS IN ITINERE
Citi Infrastructure Investors (CII) press release:
Madrid, Spain – Citi Infrastructure Investors (CII), a Citigroup affiliate, today announced that Citi Infrastructure Partners L.P. (CIP), an investment fund managed by CII, and Pear Acquisition Corporation S.L.U., CIP's special purpose vehicle which acquired a controlling stake in the Spanish toll road operator Itínere Infraestructuras S.A. (Itínere), have entered into a shareholders' agreement with Sacyr Vallehermoso S.A. (SyV) and the Spanish savings banks Bilbao Bizkaia Kutxa(BBK), Caixanova, Caixa Galicia and Cajastur governing the acquisition by the aforementioned savings banks of their stakes in Itínere and the relationships among the shareholders.
Collectively, Caixanova, Caixa Galicia and Cajastur will invest EUR500 million in Itínere, which will correspondingly reduce SyV’s stake in the company. BBK and SyV will remain as shareholders, along with a small percentage of privately held shares.
The Spanish savings bank shareholders are domiciled in the north of Spain, in the regions where the toll road assets acquired by CIP are located. As such, these investors bring valuable local knowledge to the company.
Additionally, It ínere is on track to merge with its acquisition parties by the end of September 2009. To this end, the governing bodies of Itínere, Pear Acquisition Corporation S.L.U., SyV Participaciones II (the company belonging to SyV which holds the shares owned by SyV in Itínere) and Avasacyr S.L.U. (a wholly owned subsidiary of Itínere) have signed a plan of merger for the merger of Itínere with Pear Acquisition Corporation S.L.U., SyV Participaciones II and Avasacyr S.L.U.
Link:
Madrid, Spain – Citi Infrastructure Investors (CII), a Citigroup affiliate, today announced that Citi Infrastructure Partners L.P. (CIP), an investment fund managed by CII, and Pear Acquisition Corporation S.L.U., CIP's special purpose vehicle which acquired a controlling stake in the Spanish toll road operator Itínere Infraestructuras S.A. (Itínere), have entered into a shareholders' agreement with Sacyr Vallehermoso S.A. (SyV) and the Spanish savings banks Bilbao Bizkaia Kutxa(BBK), Caixanova, Caixa Galicia and Cajastur governing the acquisition by the aforementioned savings banks of their stakes in Itínere and the relationships among the shareholders.
Collectively, Caixanova, Caixa Galicia and Cajastur will invest EUR500 million in Itínere, which will correspondingly reduce SyV’s stake in the company. BBK and SyV will remain as shareholders, along with a small percentage of privately held shares.
The Spanish savings bank shareholders are domiciled in the north of Spain, in the regions where the toll road assets acquired by CIP are located. As such, these investors bring valuable local knowledge to the company.
Additionally, It ínere is on track to merge with its acquisition parties by the end of September 2009. To this end, the governing bodies of Itínere, Pear Acquisition Corporation S.L.U., SyV Participaciones II (the company belonging to SyV which holds the shares owned by SyV in Itínere) and Avasacyr S.L.U. (a wholly owned subsidiary of Itínere) have signed a plan of merger for the merger of Itínere with Pear Acquisition Corporation S.L.U., SyV Participaciones II and Avasacyr S.L.U.
Link:
Wednesday 15 July 2009
BNDES approves R$ 65.9 million in financing to Power Station in Uberlândia
BNDES press release:
The Board of Directors of the BNDES, the Brazilian Development Bank, approved a R$ 65.9 billion loan to build a Power Station named Malagone. The plant in Uberlândia (Minas Gerais) will be capable of generating 19 megawatts and will be completed in October 2009. During the implementation stage, construction works are expected to create 300 direct jobs and 150 indirect jobs. Construction works are 55% completed, according to the implementation schedule.
The BNDES will hold a 71.6% stake in the project, which is estimated to hit R$ 92 million. The deal falls under project finance, and the funds will be assigned to the Special Purpose Enterprise (SPE) Hidrelétrica Malagone S.A, controlled by Wanerg Energética. It was set up to build and operate the plant on River Uberabinha.
The Power Station Malagone is part of a set of hydroelectric projects underway on River Uberabinha, and it is the first to be implemented due to its size, economic interest and status of preliminary studies and environmental licenses. Connection to the distribution system will be made through Cemig’s electric grid, to be extended with a 34-kilometer transmission line.
Between 2003 and June this year, the BNDES approved loans to 91 power stations, totaling R$ 5.6 billion. The Bank’s support allotted R$ 8 billion investments in the Brazilian economy and the generation of 1,800 MW.
Link:
The Board of Directors of the BNDES, the Brazilian Development Bank, approved a R$ 65.9 billion loan to build a Power Station named Malagone. The plant in Uberlândia (Minas Gerais) will be capable of generating 19 megawatts and will be completed in October 2009. During the implementation stage, construction works are expected to create 300 direct jobs and 150 indirect jobs. Construction works are 55% completed, according to the implementation schedule.
The BNDES will hold a 71.6% stake in the project, which is estimated to hit R$ 92 million. The deal falls under project finance, and the funds will be assigned to the Special Purpose Enterprise (SPE) Hidrelétrica Malagone S.A, controlled by Wanerg Energética. It was set up to build and operate the plant on River Uberabinha.
The Power Station Malagone is part of a set of hydroelectric projects underway on River Uberabinha, and it is the first to be implemented due to its size, economic interest and status of preliminary studies and environmental licenses. Connection to the distribution system will be made through Cemig’s electric grid, to be extended with a 34-kilometer transmission line.
Between 2003 and June this year, the BNDES approved loans to 91 power stations, totaling R$ 5.6 billion. The Bank’s support allotted R$ 8 billion investments in the Brazilian economy and the generation of 1,800 MW.
Link:
EBRD to provide $500 million unsecured 10-year loan for Russian Railways
EBRD press release:
The EBRD’s Board of Directors has approved a $500 million long-term loan to Russian Railways (RZD). This would allow the state-owned railway to restructure its balance sheet and support the completion of reforms of the world’s second largest rail system despite the economic crisis and market contraction.
The 10-year unsecured loan would be the largest single investment since the Bank was founded in 1991. The transaction brings the amount invested by the EBRD in nine Russian railway projects to nearly $1.2 billion following the government’s decision in 2001 to launch a structural reform of the system.
This loan would be closely tied to the ambitious reform goals that RZD and the government have set themselves, including restructuring of freight operations and improving sector regulation. The EBRD, as an institution which has long been deeply involved in the Russian reform programmes, is proud to participate in this process, EBRD Business Group Director for Infrastructure Thomas Maier said.
By providing these long-term funds to RZD, the Bank is contributing to a more efficient match between the assets and liabilities of Russian Railways, thus freeing up resources for the priority goal of upgrading the rail network, Mr. Maier added.
Furthermore, as one of Russia’s biggest energy users, RZD has agreed implement a sustainable energy strategy with EBRD support in order to reduce emissions of greenhouse gases and other pollutants.
Russian Railways is one of the world’s largest transport companies. With a staff of around 1.3 million, it is also Russia’s largest commercial employer. The railway system is a key driver of the Russian economy, accounting for some 85 percent of all freight movements (excluding pipelines). Its network is second only to that of the U.S.
Link:
The EBRD’s Board of Directors has approved a $500 million long-term loan to Russian Railways (RZD). This would allow the state-owned railway to restructure its balance sheet and support the completion of reforms of the world’s second largest rail system despite the economic crisis and market contraction.
The 10-year unsecured loan would be the largest single investment since the Bank was founded in 1991. The transaction brings the amount invested by the EBRD in nine Russian railway projects to nearly $1.2 billion following the government’s decision in 2001 to launch a structural reform of the system.
This loan would be closely tied to the ambitious reform goals that RZD and the government have set themselves, including restructuring of freight operations and improving sector regulation. The EBRD, as an institution which has long been deeply involved in the Russian reform programmes, is proud to participate in this process, EBRD Business Group Director for Infrastructure Thomas Maier said.
By providing these long-term funds to RZD, the Bank is contributing to a more efficient match between the assets and liabilities of Russian Railways, thus freeing up resources for the priority goal of upgrading the rail network, Mr. Maier added.
Furthermore, as one of Russia’s biggest energy users, RZD has agreed implement a sustainable energy strategy with EBRD support in order to reduce emissions of greenhouse gases and other pollutants.
Russian Railways is one of the world’s largest transport companies. With a staff of around 1.3 million, it is also Russia’s largest commercial employer. The railway system is a key driver of the Russian economy, accounting for some 85 percent of all freight movements (excluding pipelines). Its network is second only to that of the U.S.
Link:
EPA Awards Puerto Rico Nearly $72 Million in Recovery Act Funds for Water Infrastructure Projects
EPA press release:
WASHINGTON – In a move that stands to create jobs, boost local economies, and protect human health and the environment, U.S. Environmental Protection Agency Administrator, Lisa P. Jackson, announced that the agency has awarded nearly $72 million to Puerto Rico through the American Recovery and Reinvestment Act of 2009. This infusion of money, a combined total of $71,646,800, will help the commonwealth and local governments finance overdue improvements to wastewater and drinking water systems and conduct water quality planning essential to protecting human health and the environment across the commonwealth. Puerto Rico Governor Luis G. Fortuño joined Administrator Jackson and announced the awards today at a press conference in San Juan.
“EPA is working to revitalize communities that have been hit hardest by this economic downturn, and creating solutions where they’re needed most. Governor Fortuño has been a powerful advocate for bringing recovery to Puerto Rico, and is working closely with EPA to get the local economy moving forward,” said EPA Administrator Lisa P. Jackson. “These are investments in our core mission of protecting people’s health and the environment. The jobs they create will strengthen the local economy and build a new foundation for economic prosperity.”
“We are enthused by the arrival of much needed Recovery Act funds and stand ready to put them to work as soon as possible. These funds will be used for the construction and modernization of 5 wastewater treatment plants in the center of the Island that are ready-to-go. We appreciate Administrator Jackson’s commitment to improving Puerto Rico’s quality of drinking water. We look forward to continue working with the EPA to ensure that all Puerto Ricans are guaranteed clean water and a better environment,” said the Governor of Puerto Rico, Luis Fortuño.
Breakdown of Funding:
EPA awarded $51,630,500 to the Puerto Rico Department of Environmental Quality, which will provide money to municipal governments and wastewater utilities for projects to protect lakes, ponds and streams in communities across the commonwealth. The grant will go to the commonwealth’s Clean Water State Revolving Fund program, which provides low-interest loans for water quality protection projects for wastewater treatment, non-point source pollution control, and watershed and estuary management. Across the country, an unprecedented $4 billion will be awarded to fund wastewater infrastructure projects under the American Recovery and Reinvestment Act.
EPA awarded $19.5 million to the Puerto Rico Department of Health to finance improvements to water projects essential to protecting public health and the environment across the commonwealth. The funds will go to the commonwealth’s Drinking Water State Revolving Fund program, which provides low-interest loans for drinking water systems to finance infrastructure improvements. An unprecedented $2 billion will be awarded to fund drinking water infrastructure projects across the country under the recovery act in the form of low-interest loans, principal forgiveness and grants.
EPA awarded $526,300 for the Commonwealth’s Water Quality Management Planning (WQMP) grant program. Planning is an important step in EPA’s goal to improve water quality in America’s lakes, rivers and streams. WQMP grants support a broad range of activities, such as setting standards, monitoring the quality of the water, developing plans to restore polluted waters, and identifying ways to protect healthy waters from becoming polluted. States and commonwealths are also encouraged to use these funds for more innovative planning activities like developing plans to adapt to climate change, analyzing trends in water availability and use, and creating low-impact development programs. Grants are awarded to state agencies and some of the funds can be awarded to regional and interstate planning organizations.
At least 20 percent of the funds provided under the recovery act are to be used for green infrastructure, water and energy efficiency improvements and other environmentally innovative projects.
President Obama signed the American Recovery and Reinvestment Act of 2009 on February 17, 2009, and has directed that the recovery act be implemented with unprecedented transparency and accountability. To that end, the American people can see how every dollar is being invested at recovery.gov.
Link:
WASHINGTON – In a move that stands to create jobs, boost local economies, and protect human health and the environment, U.S. Environmental Protection Agency Administrator, Lisa P. Jackson, announced that the agency has awarded nearly $72 million to Puerto Rico through the American Recovery and Reinvestment Act of 2009. This infusion of money, a combined total of $71,646,800, will help the commonwealth and local governments finance overdue improvements to wastewater and drinking water systems and conduct water quality planning essential to protecting human health and the environment across the commonwealth. Puerto Rico Governor Luis G. Fortuño joined Administrator Jackson and announced the awards today at a press conference in San Juan.
“EPA is working to revitalize communities that have been hit hardest by this economic downturn, and creating solutions where they’re needed most. Governor Fortuño has been a powerful advocate for bringing recovery to Puerto Rico, and is working closely with EPA to get the local economy moving forward,” said EPA Administrator Lisa P. Jackson. “These are investments in our core mission of protecting people’s health and the environment. The jobs they create will strengthen the local economy and build a new foundation for economic prosperity.”
“We are enthused by the arrival of much needed Recovery Act funds and stand ready to put them to work as soon as possible. These funds will be used for the construction and modernization of 5 wastewater treatment plants in the center of the Island that are ready-to-go. We appreciate Administrator Jackson’s commitment to improving Puerto Rico’s quality of drinking water. We look forward to continue working with the EPA to ensure that all Puerto Ricans are guaranteed clean water and a better environment,” said the Governor of Puerto Rico, Luis Fortuño.
Breakdown of Funding:
EPA awarded $51,630,500 to the Puerto Rico Department of Environmental Quality, which will provide money to municipal governments and wastewater utilities for projects to protect lakes, ponds and streams in communities across the commonwealth. The grant will go to the commonwealth’s Clean Water State Revolving Fund program, which provides low-interest loans for water quality protection projects for wastewater treatment, non-point source pollution control, and watershed and estuary management. Across the country, an unprecedented $4 billion will be awarded to fund wastewater infrastructure projects under the American Recovery and Reinvestment Act.
EPA awarded $19.5 million to the Puerto Rico Department of Health to finance improvements to water projects essential to protecting public health and the environment across the commonwealth. The funds will go to the commonwealth’s Drinking Water State Revolving Fund program, which provides low-interest loans for drinking water systems to finance infrastructure improvements. An unprecedented $2 billion will be awarded to fund drinking water infrastructure projects across the country under the recovery act in the form of low-interest loans, principal forgiveness and grants.
EPA awarded $526,300 for the Commonwealth’s Water Quality Management Planning (WQMP) grant program. Planning is an important step in EPA’s goal to improve water quality in America’s lakes, rivers and streams. WQMP grants support a broad range of activities, such as setting standards, monitoring the quality of the water, developing plans to restore polluted waters, and identifying ways to protect healthy waters from becoming polluted. States and commonwealths are also encouraged to use these funds for more innovative planning activities like developing plans to adapt to climate change, analyzing trends in water availability and use, and creating low-impact development programs. Grants are awarded to state agencies and some of the funds can be awarded to regional and interstate planning organizations.
At least 20 percent of the funds provided under the recovery act are to be used for green infrastructure, water and energy efficiency improvements and other environmentally innovative projects.
President Obama signed the American Recovery and Reinvestment Act of 2009 on February 17, 2009, and has directed that the recovery act be implemented with unprecedented transparency and accountability. To that end, the American people can see how every dollar is being invested at recovery.gov.
Link:
Monday 13 July 2009
Tenaska’s Taylorville Energy Center Selected By U.S. DOE For Loan Guarantee Program; Illinois Electric Ratepayers Could Save Up To $60 Million Per Yea
Tenaska press release:
TAYLORVILLE, Illinois – July 13, 2009 – Tenaska, managing partner for the $3.5 billion Taylorville Energy Center (TEC), announced today that, following a competitive six-month application process, it has been selected by the U.S. Department of Energy (DOE) to proceed into the term sheet negotiation phase under the DOE Loan Guarantee Program. The amount of the guarantee will be up to $2.579 billion, depending on the final project costs and capital structure.
Upon completion of due diligence and negotiations, the Taylorville project expects to receive a federal government guarantee of its debt, which will greatly reduce financing costs. Because TEC financing costs are included in electric rates under the recently enacted Illinois Clean Coal Portfolio Standard Law, the DOE loan guarantee results in savings of between $40 and $60 million per year to Illinois consumers.
"This is a very important step toward securing a clean coal facility in Taylorville. The federal loan guarantee would significantly reduce the cost of financing the construction of the facility," said Attorney General Lisa Madigan. "That's important because cost will be a critical factor when the General Assembly reviews this project next year."
The DOE Loan Guarantee Program, instituted in the Energy Policy Act of 2005, is designed to spur technological innovation in fossil fuel energy development. It essentially gave the U.S. government the ability to back loans for advanced clean energy projects, thereby lowering financing costs.
Rep. John Shimkus (Ill. -19), who represents the Taylorville area in Congress, added, "I have been a vocal supporter of Illinois coal use and particularly the Taylorville Energy Center. I appreciate the state making changes to their laws that are beneficial to both electricity consumers and the coal industry.”
Tenaska’s application for this program required an extensive review of the viability and creditworthiness of the project, including an independent engineers report and a preliminary credit rating. Tenaska received the support of 11 members of the Illinois congressional delegation for TEC’s application.
“Tenaska is pleased that U.S. DOE is joining with the state of Illinois in supporting this project,” said Bart Ford, Tenaska vice president. “This joint state/federal effort is exactly what is needed in order to show that coal can be used on a commercial scale to produce power with no greater emissions than natural gas plants. The implications for the State of Illinois and the country as a whole are enormous.”
Tenaska Vice President and Treasurer Greg Van Dyke added, “TEC’s notification of ‘Selection to Proceed with Due Diligence and Negotiation Leading to a Conditional Commitment’ is important because it shows that TEC has prevailed in the competitive process for a loan guarantee based on the merits of the project. What remains is the normal financing process of due diligence, term sheet negotiations and loan documentation. Closing is also dependent upon final approval by the Illinois General Assembly next spring.”
Tenaska continues to move forward with the front end engineering and design (FEED) work required by the Illinois Clean Coal Portfolio Standard law. The FEED is expected to include more than 100,000 work hours by the time its facility cost report is presented to the Illinois Commerce Commission in early 2010.
Once built, TEC will be one of the nation’s first commercial-scale, coal gasification with carbon capture plants. Its technology will convert coal into substitute natural gas which will be used for electricity generation or fed into the interstate natural gas pipeline system. By capturing and storing more than 50 percent of the carbon dioxide (CO2) it produces, TEC will have an emissions profile comparable to a natural gas-fueled plant. Achieving such a dramatic reduction in greenhouse gases by a coal-fueled plant is a vital step in the global effort to combat climate change.
TEC will create 1,500 construction jobs and hundreds of permanent mining and plant operations jobs. Tenaska expects the plant will capture and sequester up to three million tons of CO2 per year, and will result in a significant reduction in net power plant CO2 emissions, as higher emitting power facilities are displaced by the cleaner, more efficient, TEC.
Citigroup Global Markets Inc. acted as the financial advisor on the DOE Loan Guarantee Program for the Taylorville project. Capital Technology, Inc. also provided advisory services to Tenaska during the application process. TEC has received funding from the State of Illinois Department of Commerce and Economic Opportunity.
About Tenaska
Tenaska has developed approximately 9,000 megawatts (MW) of electric generating capacity across the United States. Tenaska’s affiliates operate and manage eight power plants in six states totaling more than 6,700 MW of generating capacity owned in partnership with other companies. Tenaska Capital Management, an affiliate, provides management services for standalone private equity funds, with more than $4 billion in assets, including nine power plants (with approximately 5,400 MW of capacity), natural gas assets, and transmission infrastructure construction and maintenance operations.
Tenaska is applying proven pre and post combustion technologies on a commercial scale in its two environmentally friendly clean coal projects. Taylorville Energy Center in Taylorville, Ill., incorporating coal gasification, combined-cycle and CO2 capture and sequestration technology, will be among the first of its kind in the nation. Trailblazer Energy Center in Nolan County, Texas, is expected to be the first commercial scale, conventional coal-fueled power plant in the world to capture a significant portion of its CO2 after combustion. This plant’s success would demonstrate how existing plants in the U.S. and China could be retrofitted immediately and cost-effectively with this carbon-reducing technology. In 2008, Tenaska was listed in benchmarking studies by the Natural Resources Defense Council as having the best fleet-wide record in the United States for controlling emissions of CO2 and one of the top performing companies for controlling emissions of nitrogen oxides and sulfur dioxide. For more information about Tenaska, visit www.tenaska.com.
About Christian County Generation, LLC
Christian County Generation, LLC, a joint venture of Omaha-based independent power developer Tenaska and Louisville, Ky.-based MDL Holding Co., LLC. is developing the Taylorville Energy Center (TEC). TEC is the first clean coal power plant proposed for the state. It will incorporate coal gasification, combined-cycle and CO2 capture and sequestration technology, making it among the most environmentally-responsible, commercially-sized coal plants in the world.
Link:
TAYLORVILLE, Illinois – July 13, 2009 – Tenaska, managing partner for the $3.5 billion Taylorville Energy Center (TEC), announced today that, following a competitive six-month application process, it has been selected by the U.S. Department of Energy (DOE) to proceed into the term sheet negotiation phase under the DOE Loan Guarantee Program. The amount of the guarantee will be up to $2.579 billion, depending on the final project costs and capital structure.
Upon completion of due diligence and negotiations, the Taylorville project expects to receive a federal government guarantee of its debt, which will greatly reduce financing costs. Because TEC financing costs are included in electric rates under the recently enacted Illinois Clean Coal Portfolio Standard Law, the DOE loan guarantee results in savings of between $40 and $60 million per year to Illinois consumers.
"This is a very important step toward securing a clean coal facility in Taylorville. The federal loan guarantee would significantly reduce the cost of financing the construction of the facility," said Attorney General Lisa Madigan. "That's important because cost will be a critical factor when the General Assembly reviews this project next year."
The DOE Loan Guarantee Program, instituted in the Energy Policy Act of 2005, is designed to spur technological innovation in fossil fuel energy development. It essentially gave the U.S. government the ability to back loans for advanced clean energy projects, thereby lowering financing costs.
Rep. John Shimkus (Ill. -19), who represents the Taylorville area in Congress, added, "I have been a vocal supporter of Illinois coal use and particularly the Taylorville Energy Center. I appreciate the state making changes to their laws that are beneficial to both electricity consumers and the coal industry.”
Tenaska’s application for this program required an extensive review of the viability and creditworthiness of the project, including an independent engineers report and a preliminary credit rating. Tenaska received the support of 11 members of the Illinois congressional delegation for TEC’s application.
“Tenaska is pleased that U.S. DOE is joining with the state of Illinois in supporting this project,” said Bart Ford, Tenaska vice president. “This joint state/federal effort is exactly what is needed in order to show that coal can be used on a commercial scale to produce power with no greater emissions than natural gas plants. The implications for the State of Illinois and the country as a whole are enormous.”
Tenaska Vice President and Treasurer Greg Van Dyke added, “TEC’s notification of ‘Selection to Proceed with Due Diligence and Negotiation Leading to a Conditional Commitment’ is important because it shows that TEC has prevailed in the competitive process for a loan guarantee based on the merits of the project. What remains is the normal financing process of due diligence, term sheet negotiations and loan documentation. Closing is also dependent upon final approval by the Illinois General Assembly next spring.”
Tenaska continues to move forward with the front end engineering and design (FEED) work required by the Illinois Clean Coal Portfolio Standard law. The FEED is expected to include more than 100,000 work hours by the time its facility cost report is presented to the Illinois Commerce Commission in early 2010.
Once built, TEC will be one of the nation’s first commercial-scale, coal gasification with carbon capture plants. Its technology will convert coal into substitute natural gas which will be used for electricity generation or fed into the interstate natural gas pipeline system. By capturing and storing more than 50 percent of the carbon dioxide (CO2) it produces, TEC will have an emissions profile comparable to a natural gas-fueled plant. Achieving such a dramatic reduction in greenhouse gases by a coal-fueled plant is a vital step in the global effort to combat climate change.
TEC will create 1,500 construction jobs and hundreds of permanent mining and plant operations jobs. Tenaska expects the plant will capture and sequester up to three million tons of CO2 per year, and will result in a significant reduction in net power plant CO2 emissions, as higher emitting power facilities are displaced by the cleaner, more efficient, TEC.
Citigroup Global Markets Inc. acted as the financial advisor on the DOE Loan Guarantee Program for the Taylorville project. Capital Technology, Inc. also provided advisory services to Tenaska during the application process. TEC has received funding from the State of Illinois Department of Commerce and Economic Opportunity.
About Tenaska
Tenaska has developed approximately 9,000 megawatts (MW) of electric generating capacity across the United States. Tenaska’s affiliates operate and manage eight power plants in six states totaling more than 6,700 MW of generating capacity owned in partnership with other companies. Tenaska Capital Management, an affiliate, provides management services for standalone private equity funds, with more than $4 billion in assets, including nine power plants (with approximately 5,400 MW of capacity), natural gas assets, and transmission infrastructure construction and maintenance operations.
Tenaska is applying proven pre and post combustion technologies on a commercial scale in its two environmentally friendly clean coal projects. Taylorville Energy Center in Taylorville, Ill., incorporating coal gasification, combined-cycle and CO2 capture and sequestration technology, will be among the first of its kind in the nation. Trailblazer Energy Center in Nolan County, Texas, is expected to be the first commercial scale, conventional coal-fueled power plant in the world to capture a significant portion of its CO2 after combustion. This plant’s success would demonstrate how existing plants in the U.S. and China could be retrofitted immediately and cost-effectively with this carbon-reducing technology. In 2008, Tenaska was listed in benchmarking studies by the Natural Resources Defense Council as having the best fleet-wide record in the United States for controlling emissions of CO2 and one of the top performing companies for controlling emissions of nitrogen oxides and sulfur dioxide. For more information about Tenaska, visit www.tenaska.com.
About Christian County Generation, LLC
Christian County Generation, LLC, a joint venture of Omaha-based independent power developer Tenaska and Louisville, Ky.-based MDL Holding Co., LLC. is developing the Taylorville Energy Center (TEC). TEC is the first clean coal power plant proposed for the state. It will incorporate coal gasification, combined-cycle and CO2 capture and sequestration technology, making it among the most environmentally-responsible, commercially-sized coal plants in the world.
Link:
$90 Million in Recovery Act Funds to Bolster Water Services in Indian Country and Create Jobs
EPA press release:
WASHINGTON - The U.S. Environmental Protection Agency (EPA) and the U.S. Department of Health and Human Service’s (HHS) Indian Health Service (IHS) today announced $90 million in funds from the American Recovery and Reinvestment Act of 2009 for improved access to vital drinking water and wastewater services in the American Indian and Alaska Native communities. The funds will be invested in ‘shovel ready’ infrastructure projects designed to better protect human and environmental health in Indian Country and to create jobs.
“This investment is win-win. Addressing long-standing water issues in tribal communities is also going to bring in new jobs and new opportunities – helping them get through the economic downturn and build a lasting foundation for prosperity,” said EPA Administrator Lisa P. Jackson. “EPA is committed to working with our tribal partners on solutions that benefit our environment, our health, and our economy.”
“This generous recovery act funding will make communities in Indian Country safer, healthier and stronger,” HHS Secretary Kathleen Sebelius said. “Everyone should have safe drinking water and sanitation facilities and we’re committed to improving the quality of life in Indian Country.”
Continuing a tradition spanning 20 years, EPA and IHS’s combined effort to improve water services in Indian Country contributed to their identification of 95 wastewater and 64 drinking water priority projects to be completed by IHS’s Sanitation Facilities Construction Program through EPA recovery act funds. The projects exceed the recovery act requirement that 20 percent of the funds be used for green infrastructure, water and energy efficiency improvements and other environmentally innovative projects.
According to 2007 data from the IHS, approximately 10 percent of tribal homes do not have safe drinking water and/or wastewater disposal facilities compared with 0.6 percent of non-native homes in the United States that lack such infrastructure as measured in 2005 by the U.S. Census. The water and wastewater infrastructure programs are a significant effort to improve tribal access to safe and adequate drinking and wastewater facilities. For example, a project to benefit the Tule River Tribe in Porterville, Calif., will replace failing septic systems, which threaten public health and the environment, with a community wastewater system. The White Mountain Apache Tribe in Whiteriver, Ariz., will benefit from an efficient surface water treatment facility, which will provide the quality of drinking water needed to protect the health of residents in over 2,000 homes.
President Obama signed the American Recovery and Reinvestment Act of 2009 on Feb. 17, 2009, and has directed that the recovery act be implemented with unprecedented transparency and accountability. To that end, the American people can see how every dollar is being invested at recovery.gov.
Link:
WASHINGTON - The U.S. Environmental Protection Agency (EPA) and the U.S. Department of Health and Human Service’s (HHS) Indian Health Service (IHS) today announced $90 million in funds from the American Recovery and Reinvestment Act of 2009 for improved access to vital drinking water and wastewater services in the American Indian and Alaska Native communities. The funds will be invested in ‘shovel ready’ infrastructure projects designed to better protect human and environmental health in Indian Country and to create jobs.
“This investment is win-win. Addressing long-standing water issues in tribal communities is also going to bring in new jobs and new opportunities – helping them get through the economic downturn and build a lasting foundation for prosperity,” said EPA Administrator Lisa P. Jackson. “EPA is committed to working with our tribal partners on solutions that benefit our environment, our health, and our economy.”
“This generous recovery act funding will make communities in Indian Country safer, healthier and stronger,” HHS Secretary Kathleen Sebelius said. “Everyone should have safe drinking water and sanitation facilities and we’re committed to improving the quality of life in Indian Country.”
Continuing a tradition spanning 20 years, EPA and IHS’s combined effort to improve water services in Indian Country contributed to their identification of 95 wastewater and 64 drinking water priority projects to be completed by IHS’s Sanitation Facilities Construction Program through EPA recovery act funds. The projects exceed the recovery act requirement that 20 percent of the funds be used for green infrastructure, water and energy efficiency improvements and other environmentally innovative projects.
According to 2007 data from the IHS, approximately 10 percent of tribal homes do not have safe drinking water and/or wastewater disposal facilities compared with 0.6 percent of non-native homes in the United States that lack such infrastructure as measured in 2005 by the U.S. Census. The water and wastewater infrastructure programs are a significant effort to improve tribal access to safe and adequate drinking and wastewater facilities. For example, a project to benefit the Tule River Tribe in Porterville, Calif., will replace failing septic systems, which threaten public health and the environment, with a community wastewater system. The White Mountain Apache Tribe in Whiteriver, Ariz., will benefit from an efficient surface water treatment facility, which will provide the quality of drinking water needed to protect the health of residents in over 2,000 homes.
President Obama signed the American Recovery and Reinvestment Act of 2009 on Feb. 17, 2009, and has directed that the recovery act be implemented with unprecedented transparency and accountability. To that end, the American people can see how every dollar is being invested at recovery.gov.
Link:
Friday 10 July 2009
New: Preqin Infrastructure Review 2009
Preqin published the new Infrastructure Review 2009 a detailled report about the unlisted infrastructure funds. Quite expensive but also quite useful.
Link:
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Thursday 9 July 2009
Actis to invest US$244 million in Egypt’s Commercial International Bank to become largest single shareholder
Actis press release:
Commenting on the transaction, Actis Senior Partner Paul Fletcher said, “Actis is committed to the financial services sector as one of our core investment strategies within emerging markets where Egypt stands out for its excellent growth potential. Within Egypt, CIB is the market leading bank, perfectly positioned to achieve significant growth by extending its services into the retail banking sector. We hold the management team in high regard and are delighted that CIB has become an anchor investment for our Actis Emerging Markets 3 fund. CIB is committed to a high standard of governance and corporate ethics that sits perfectly with Actis’s own stringent investment practices.”
CIB is well-placed to build on its 35-year track record in commercial banking and its powerful brand to expand further into the retail sector. The country’s 76 million inhabitants and its burgeoning middle class of consumers are creating a strong demand for modern personal finance and savings products.
Timothy C. Collins, Founder and Chief Executive Officer of Ripplewood, commented, “We are extremely proud of our relationship with CIB and with its board, management and employees. We have long believed that CIB and the Egyptian banking sector have not been fully appreciated by investors in mature markets and therefore offers an exceptional investment opportunity. The investment by Actis, a recognized leader in emerging markets investing with a successful track record in financial institutions, supports this view. This transaction allows CIB to add a new partner who shares our strategic vision and brings complementary strengths to the Bank.”
Hisham Ezz Al-Arab, Chairman of CIB, commented, “Over the past three years, in partnership with Ripplewood, we have made significant progress in strengthening our systems, processes and managerial expertise. We are now ready to take the business to the next level and we welcome Actis as an active partner and board member. With its 60-year legacy of investing in emerging markets, its deep experience in scaling financial institutions in other high growth markets, particularly in retail, and its network of emerging markets contacts, we believe Actis will be an extremely valuable partner as we accelerate our growth in consumer banking.”
Actis seeks to identify attractive opportunities in Egypt by using its local base on the ground, together with its specialist global Financial Services team to find the best overall environments for investment. Egypt has a resilient, growing economy and a strong regulatory banking environment. By enforcing rigorously conservative policies, Egyptian banks have performed strongly, despite the turmoil in global banking markets, making Egypt one of the most attractive banking environments in the world.
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Commenting on the transaction, Actis Senior Partner Paul Fletcher said, “Actis is committed to the financial services sector as one of our core investment strategies within emerging markets where Egypt stands out for its excellent growth potential. Within Egypt, CIB is the market leading bank, perfectly positioned to achieve significant growth by extending its services into the retail banking sector. We hold the management team in high regard and are delighted that CIB has become an anchor investment for our Actis Emerging Markets 3 fund. CIB is committed to a high standard of governance and corporate ethics that sits perfectly with Actis’s own stringent investment practices.”
CIB is well-placed to build on its 35-year track record in commercial banking and its powerful brand to expand further into the retail sector. The country’s 76 million inhabitants and its burgeoning middle class of consumers are creating a strong demand for modern personal finance and savings products.
Timothy C. Collins, Founder and Chief Executive Officer of Ripplewood, commented, “We are extremely proud of our relationship with CIB and with its board, management and employees. We have long believed that CIB and the Egyptian banking sector have not been fully appreciated by investors in mature markets and therefore offers an exceptional investment opportunity. The investment by Actis, a recognized leader in emerging markets investing with a successful track record in financial institutions, supports this view. This transaction allows CIB to add a new partner who shares our strategic vision and brings complementary strengths to the Bank.”
Hisham Ezz Al-Arab, Chairman of CIB, commented, “Over the past three years, in partnership with Ripplewood, we have made significant progress in strengthening our systems, processes and managerial expertise. We are now ready to take the business to the next level and we welcome Actis as an active partner and board member. With its 60-year legacy of investing in emerging markets, its deep experience in scaling financial institutions in other high growth markets, particularly in retail, and its network of emerging markets contacts, we believe Actis will be an extremely valuable partner as we accelerate our growth in consumer banking.”
Actis seeks to identify attractive opportunities in Egypt by using its local base on the ground, together with its specialist global Financial Services team to find the best overall environments for investment. Egypt has a resilient, growing economy and a strong regulatory banking environment. By enforcing rigorously conservative policies, Egyptian banks have performed strongly, despite the turmoil in global banking markets, making Egypt one of the most attractive banking environments in the world.
Link:
CIMB-Principal Announce 50% Fund Size Increase for Two Islamic Funds
CIMB press release:
50% increase for the size of two of its funds: the CIMB Islamic DALI Equity Growth Fund size is now 1.8 billion units and the CIMB Islamic Money Market Fund is 337.5 million units. Previously the fund sizes were 1.2 billion units and 225 million units respectively.
Chief Executive Officer, J. Campbell Tupling said: “This is a timely increase as the funds are able to meet the different needs of our investors in the current market condition. Some are keen to invest in current attractive valuations for the opportunity to further grow their investment, while others are re-strategising for their active return to the market.”
CIMB Wealth Advisors, the major distributor of CIMB Islamic DALI Equity Growth Fund, notes that there is good demand for the EPF-approved Fund due to its consistent out-performance of its benchmark.
“The Fund has been outperforming the FTSE Bursa Malaysia EMAS Shariah Index since its inception in May 1998. As at 31 May 2009, the 3-Year cumulative performance showed outperformance by 20.85%. It is also popular with EPF investors as they can eliminate the hassle of topping up from their own pockets and deduct directly from their EPF accounts instead, provided they have sufficient balance in their Account 1. Investors can consult any CIMB Wealth Advisors to check their latest balance in Account 1,” said Tan Beng Wah, Chief Executive Officer of CIMB Wealth Advisors.
The CIMB Islamic Money Market Fund serves as a convenient parking facility for investors to temporarily place their cash without compromising their accessibility to withdraw anytime without penalty. The Fund aims to provide investors with liquidity and regular income while maintaining capital stability by investing primarily in Shariah-compliant money market instruments.
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50% increase for the size of two of its funds: the CIMB Islamic DALI Equity Growth Fund size is now 1.8 billion units and the CIMB Islamic Money Market Fund is 337.5 million units. Previously the fund sizes were 1.2 billion units and 225 million units respectively.
Chief Executive Officer, J. Campbell Tupling said: “This is a timely increase as the funds are able to meet the different needs of our investors in the current market condition. Some are keen to invest in current attractive valuations for the opportunity to further grow their investment, while others are re-strategising for their active return to the market.”
CIMB Wealth Advisors, the major distributor of CIMB Islamic DALI Equity Growth Fund, notes that there is good demand for the EPF-approved Fund due to its consistent out-performance of its benchmark.
“The Fund has been outperforming the FTSE Bursa Malaysia EMAS Shariah Index since its inception in May 1998. As at 31 May 2009, the 3-Year cumulative performance showed outperformance by 20.85%. It is also popular with EPF investors as they can eliminate the hassle of topping up from their own pockets and deduct directly from their EPF accounts instead, provided they have sufficient balance in their Account 1. Investors can consult any CIMB Wealth Advisors to check their latest balance in Account 1,” said Tan Beng Wah, Chief Executive Officer of CIMB Wealth Advisors.
The CIMB Islamic Money Market Fund serves as a convenient parking facility for investors to temporarily place their cash without compromising their accessibility to withdraw anytime without penalty. The Fund aims to provide investors with liquidity and regular income while maintaining capital stability by investing primarily in Shariah-compliant money market instruments.
Link:
Macquarie Infrastructure Company Reports First Quarter 2009 Financial Results
On following page you find the full report of Macquarie Infrastructure Company first quarter 2009:
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Drax signs contract with Spencer for supply of biomass co-firing infrastructure
Drax press release:
Drax Power Limited (”Drax”) has announced today that it has signed a £18 million ($26 million) Design and Build (”D&B”) contract with C Spencer Limited (”Spencer”) to supply rail unloading equipment and biomass bulk storage and handling systems to feed the direct injection biomass co-firing systems currently being installed at the 4,000MW Drax Power Station in North Yorkshire. This is the final contract to be awarded for the 400MW biomass co-firing project, which is being delivered to cost and schedule.
Co-firing involves the mixing and burning of renewable biomass materials with coal and, given the carbon neutral status of biomass, is a recognised carbon abatement technology that has significant potential to reduce carbon dioxide (”CO2”) emissions from coal-fired power stations. The rail unloading and storage systems represent a major component of the new co-firing facility at Drax and are designed to receive and transport processed biomass materials to be fired in the power station’s coal-fired boilers.
On completion, the biomass co-firing facility will be the largest of its type in the world, which alongside Drax’s existing co-firing capability will provide a total of 500MW of renewable electricity, or the equivalent output of over 600 wind turbines. The biomass co-firing facility will reduce Drax Power Station’s emissions of CO2 by over two and a half million tonnes per annum supporting Drax’s commitment to tackling climate change by reducing its CO2 emissions.
The contract for the rail unloading equipment and biomass bulk storage and handling systems has been awarded following a competitive tender process and is a significant project for Spencer. Work will commence immediately with the detailed engineering design and procurement of key items of equipment. Installation of the equipment is scheduled to be complete in the first half of 2010, coinciding with the completion of the biomass co-firing project.
Dorothy Thompson, Chief Executive of Drax, said:
“This contract marks the final, critical step in the execution of our co-firing project and we are very pleased to be establishing a new working relationship with Spencer.
“Once complete the new 400MW facility will operate alongside our existing co-firing capability to give us a total renewable capacity of 500MW at Drax Power Station, making us the largest single site renewable generator in the UK.
“Combined with our intention to develop 900MW of dedicated biomass-fired capacity, through the construction of three 300MW renewable energy plants, Drax will on current forecasts become responsible for around 15% of the UK’s renewable electricity.
“At Drax, we are only too well aware of the need to tackle climate change and the competence we have developed in biomass procurement and project execution means that we are able to play our part in the move towards a low carbon economy, whilst at the same time delivering reliable and secure supplies of electricity.”
Charlie Spencer, Chief Executive of Spencer, said:
“We are delighted to be building a strong relationship with Drax through the biomass co-firing project.
“Reducing CO2 emissions is something which is of great concern to everyone and we are looking forward to working on a project which will see Drax take a significant step forward through increasing their renewable energy capabilities.
“The contract award recognises our ability to deliver technically challenging materials handling projects on a turnkey basis. Spencer’s in-house team of multi-disciplined professional engineers have been mobilised to work closely with Drax to ensure successful and timely completion of the work.”
Drax Power Station is also making good progress with its turbine upgrade project, with the installation of the new turbine modules already completed on just over one-third of its generating units. When complete across all six generating units the new turbines will deliver a further saving of one million tonnes of CO2 emissions. Combined with the saving from co-firing, Drax is set to reduce its annual emissions of CO2 by up to 17.5% (based on current output levels) by 2012.
Link:
Drax Power Limited (”Drax”) has announced today that it has signed a £18 million ($26 million) Design and Build (”D&B”) contract with C Spencer Limited (”Spencer”) to supply rail unloading equipment and biomass bulk storage and handling systems to feed the direct injection biomass co-firing systems currently being installed at the 4,000MW Drax Power Station in North Yorkshire. This is the final contract to be awarded for the 400MW biomass co-firing project, which is being delivered to cost and schedule.
Co-firing involves the mixing and burning of renewable biomass materials with coal and, given the carbon neutral status of biomass, is a recognised carbon abatement technology that has significant potential to reduce carbon dioxide (”CO2”) emissions from coal-fired power stations. The rail unloading and storage systems represent a major component of the new co-firing facility at Drax and are designed to receive and transport processed biomass materials to be fired in the power station’s coal-fired boilers.
On completion, the biomass co-firing facility will be the largest of its type in the world, which alongside Drax’s existing co-firing capability will provide a total of 500MW of renewable electricity, or the equivalent output of over 600 wind turbines. The biomass co-firing facility will reduce Drax Power Station’s emissions of CO2 by over two and a half million tonnes per annum supporting Drax’s commitment to tackling climate change by reducing its CO2 emissions.
The contract for the rail unloading equipment and biomass bulk storage and handling systems has been awarded following a competitive tender process and is a significant project for Spencer. Work will commence immediately with the detailed engineering design and procurement of key items of equipment. Installation of the equipment is scheduled to be complete in the first half of 2010, coinciding with the completion of the biomass co-firing project.
Dorothy Thompson, Chief Executive of Drax, said:
“This contract marks the final, critical step in the execution of our co-firing project and we are very pleased to be establishing a new working relationship with Spencer.
“Once complete the new 400MW facility will operate alongside our existing co-firing capability to give us a total renewable capacity of 500MW at Drax Power Station, making us the largest single site renewable generator in the UK.
“Combined with our intention to develop 900MW of dedicated biomass-fired capacity, through the construction of three 300MW renewable energy plants, Drax will on current forecasts become responsible for around 15% of the UK’s renewable electricity.
“At Drax, we are only too well aware of the need to tackle climate change and the competence we have developed in biomass procurement and project execution means that we are able to play our part in the move towards a low carbon economy, whilst at the same time delivering reliable and secure supplies of electricity.”
Charlie Spencer, Chief Executive of Spencer, said:
“We are delighted to be building a strong relationship with Drax through the biomass co-firing project.
“Reducing CO2 emissions is something which is of great concern to everyone and we are looking forward to working on a project which will see Drax take a significant step forward through increasing their renewable energy capabilities.
“The contract award recognises our ability to deliver technically challenging materials handling projects on a turnkey basis. Spencer’s in-house team of multi-disciplined professional engineers have been mobilised to work closely with Drax to ensure successful and timely completion of the work.”
Drax Power Station is also making good progress with its turbine upgrade project, with the installation of the new turbine modules already completed on just over one-third of its generating units. When complete across all six generating units the new turbines will deliver a further saving of one million tonnes of CO2 emissions. Combined with the saving from co-firing, Drax is set to reduce its annual emissions of CO2 by up to 17.5% (based on current output levels) by 2012.
Link:
$90 Million in Recovery Act Funds to Bolster Water Services in Indian Country and Create Jobs
EPA press release:
WASHINGTON - The U.S. Environmental Protection Agency (EPA) and the U.S. Department of Health and Human Service’s (HHS) Indian Health Service (IHS) today announced $90 million in funds from the American Recovery and Reinvestment Act of 2009 for improved access to vital drinking water and wastewater services in the American Indian and Alaska Native communities. The funds will be invested in ‘shovel ready’ infrastructure projects designed to better protect human and environmental health in Indian Country and to create jobs.
“This investment is win-win. Addressing long-standing water issues in tribal communities is also going to bring in new jobs and new opportunities – helping them get through the economic downturn and build a lasting foundation for prosperity,” said EPA Administrator Lisa P. Jackson. “EPA is committed to working with our tribal partners on solutions that benefit our environment, our health, and our economy.”
“This generous recovery act funding will make communities in Indian Country safer, healthier and stronger,” HHS Secretary Kathleen Sebelius said. “Everyone should have safe drinking water and sanitation facilities and we’re committed to improving the quality of life in Indian Country.”
Continuing a tradition spanning 20 years, EPA and IHS’s combined effort to improve water services in Indian Country contributed to their identification of 95 wastewater and 64 drinking water priority projects to be completed by IHS’s Sanitation Facilities Construction Program through EPA recovery act funds. The projects exceed the recovery act requirement that 20 percent of the funds be used for green infrastructure, water and energy efficiency improvements and other environmentally innovative projects.
According to 2007 data from the IHS, approximately 10 percent of tribal homes do not have safe drinking water and/or wastewater disposal facilities compared with 0.6 percent of non-native homes in the United States that lack such infrastructure as measured in 2005 by the U.S. Census. The water and wastewater infrastructure programs are a significant effort to improve tribal access to safe and adequate drinking and wastewater facilities. For example, a project to benefit the Tule River Tribe in Porterville, Calif., will replace failing septic systems, which threaten public health and the environment, with a community wastewater system. The White Mountain Apache Tribe in Whiteriver, Ariz., will benefit from an efficient surface water treatment facility, which will provide the quality of drinking water needed to protect the health of residents in over 2,000 homes.
President Obama signed the American Recovery and Reinvestment Act of 2009 on Feb. 17, 2009, and has directed that the recovery act be implemented with unprecedented transparency and accountability. To that end, the American people can see how every dollar is being invested at recovery.gov.
Link:
WASHINGTON - The U.S. Environmental Protection Agency (EPA) and the U.S. Department of Health and Human Service’s (HHS) Indian Health Service (IHS) today announced $90 million in funds from the American Recovery and Reinvestment Act of 2009 for improved access to vital drinking water and wastewater services in the American Indian and Alaska Native communities. The funds will be invested in ‘shovel ready’ infrastructure projects designed to better protect human and environmental health in Indian Country and to create jobs.
“This investment is win-win. Addressing long-standing water issues in tribal communities is also going to bring in new jobs and new opportunities – helping them get through the economic downturn and build a lasting foundation for prosperity,” said EPA Administrator Lisa P. Jackson. “EPA is committed to working with our tribal partners on solutions that benefit our environment, our health, and our economy.”
“This generous recovery act funding will make communities in Indian Country safer, healthier and stronger,” HHS Secretary Kathleen Sebelius said. “Everyone should have safe drinking water and sanitation facilities and we’re committed to improving the quality of life in Indian Country.”
Continuing a tradition spanning 20 years, EPA and IHS’s combined effort to improve water services in Indian Country contributed to their identification of 95 wastewater and 64 drinking water priority projects to be completed by IHS’s Sanitation Facilities Construction Program through EPA recovery act funds. The projects exceed the recovery act requirement that 20 percent of the funds be used for green infrastructure, water and energy efficiency improvements and other environmentally innovative projects.
According to 2007 data from the IHS, approximately 10 percent of tribal homes do not have safe drinking water and/or wastewater disposal facilities compared with 0.6 percent of non-native homes in the United States that lack such infrastructure as measured in 2005 by the U.S. Census. The water and wastewater infrastructure programs are a significant effort to improve tribal access to safe and adequate drinking and wastewater facilities. For example, a project to benefit the Tule River Tribe in Porterville, Calif., will replace failing septic systems, which threaten public health and the environment, with a community wastewater system. The White Mountain Apache Tribe in Whiteriver, Ariz., will benefit from an efficient surface water treatment facility, which will provide the quality of drinking water needed to protect the health of residents in over 2,000 homes.
President Obama signed the American Recovery and Reinvestment Act of 2009 on Feb. 17, 2009, and has directed that the recovery act be implemented with unprecedented transparency and accountability. To that end, the American people can see how every dollar is being invested at recovery.gov.
Link:
Wednesday 8 July 2009
Covanta to acquire Veolia's North American Energy from Waste Business
Covanta press release:
FAIRFIELD, NJ, July 6, 2009 - Covanta Holding Corporation (NYSE:CVA), a world leader in the development, ownership and operation of Energy-from-Waste (EfW) facilities and other renewable energy projects, today announced that it has signed a definitive agreement to acquire from Veolia Environmental Services North America Corp., most of its North American EfW business.
The transaction is expected to be accretive to Covanta. The purchase price of $450 million, less net debt and minority interests (subject to certain other adjustments) will be paid in cash.
The Energy-from-Waste operations to be acquired consist of the following:
Facility Location Capacity
Long Beach CA 1,380 TPD
Dade FL 3,000 TPD
Dutchess NY 450 TPD
Islip NY 486 TPD
Montgomery PA 1,200 TPD
York PA 1,344 TPD
Vancouver Canada 800 TPD
We expect the entire transaction will close by year end. However, the closing of the transaction may occur in stages and is conditioned upon receipt of customary regulatory and other approvals or consents. The failure to obtain certain approvals or consents may result in the removal of certain businesses from the transaction and a related price reduction.
An Attractive Acquisition
Each of the seven EfW businesses to be acquired includes a long-term operating contract with the respective municipal client. In addition we will acquire a majority ownership stake in the Montgomery PA facility and a related transfer station operating contract. Collectively, these seven EfW facilities process approximately 3 million tons of waste per year. The acquired businesses compliment Covanta’s existing portfolio, which includes operation of 38 EfW facilities that process approximately 17 million tons of municipal solid waste annually.
Covanta expects it will achieve meaningful synergies by leveraging its scale, operational expertise and in-house maintenance capabilities. Force reductions are not anticipated at the operating facilities, which employ approximately 500 people. This acquisition is expected to add approximately $60 million of operating cash flow during 2010.
Anthony Orlando, President and CEO of Covanta stated ”We are extremely pleased to announce this acquisition which is consistent with our growth strategy targeting Energy-from-Waste development projects and acquisitions in key markets. We look forward to welcoming new customers and employees into the Covanta family and working closely with each client community to build on and improve the service provided.”
Advisors to Covanta
La Compagnie Financière Edmond de Rothschild (Paris) and Latham & Watkins LLP (New York) served as financial and legal advisors, respectively, to Covanta in connection with this transaction.
About Covanta
Covanta Holding Corporation (NYSE:CVA), is an internationally recognized owner and operator of large-scale Energy-from-Waste and renewable energy projects and a recipient of the Energy Innovator Award from the U.S. Department of Energy's Office of Energy Efficiency and Renewable Energy. Covanta's 38 Energy-from-Waste facilities provide communities with an environmentally sound solution to their solid waste disposal needs by using that municipal solid waste to generate clean, renewable energy. Annually, Covanta's modern Energy-from-Waste facilities safely and securely convert approximately 17 million tons of waste into more than 8 million megawatt hours of clean renewable electricity and create 10 billion pounds of steam that are sold to a variety of industries. For more information, visit www.covantaholding.com.
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking" statements as defined in Section 27A of the Securities Act of 1933 (the "Securities Act"), Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"), the Private Securities Litigation Reform Act of 1995 (the "PSLRA") or in releases made by the Securities and Exchange Commission (“SEC”), all as may be amended from time to time. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of Covanta and its subsidiaries, or general industry or broader economic performance in domestic and international markets in which Covanta operates or competes, to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. Statements that are not historical fact are forward-looking statements. Forward-looking statements can be identified by, among other things, the use of forward-looking language, such as the words "plan," "believe," "expect," "anticipate," "intend," "estimate," "project," "may," "will," "would," "could," "should," "seeks," or "scheduled to," or other similar words, or the negative of these terms or other variations of these terms or comparable language, or by discussion of strategy or intentions. These cautionary statements are being made pursuant to the Securities Act, the Exchange Act and the PSLRA with the intention of obtaining the benefits of the "safe harbor" provisions of such laws. Covanta cautions investors that any forward-looking statements made by Covanta are not guarantees or indicative of future performance. Important assumptions and other important factors that could cause actual results to differ materially from those forward-looking statements with respect to Covanta, include, but are not limited to, the risk that Covanta may not acquire all seven of the EfW businesses in the event that certain consents and approvals are not obtained and those factors, risks and uncertainties that are described in periodic securities filings by Covanta with the SEC. Although Covanta believes that its plans, intentions and expectations reflected in or suggested by such forward-looking statements are reasonable, actual results could differ materially from a projection or assumption in any forward-looking statements. Covanta's future financial condition and results of operations, as well as any forward-looking statements, are subject to change and inherent risks and uncertainties. The forward-looking statements contained in this press release are made only as of the date hereof and Covanta does not have or undertake any obligation to update or revise any forward-looking statements whether as a result of new information, subsequent events or otherwise, unless otherwise required by law.
Link:
FAIRFIELD, NJ, July 6, 2009 - Covanta Holding Corporation (NYSE:CVA), a world leader in the development, ownership and operation of Energy-from-Waste (EfW) facilities and other renewable energy projects, today announced that it has signed a definitive agreement to acquire from Veolia Environmental Services North America Corp., most of its North American EfW business.
The transaction is expected to be accretive to Covanta. The purchase price of $450 million, less net debt and minority interests (subject to certain other adjustments) will be paid in cash.
The Energy-from-Waste operations to be acquired consist of the following:
Facility Location Capacity
Long Beach CA 1,380 TPD
Dade FL 3,000 TPD
Dutchess NY 450 TPD
Islip NY 486 TPD
Montgomery PA 1,200 TPD
York PA 1,344 TPD
Vancouver Canada 800 TPD
We expect the entire transaction will close by year end. However, the closing of the transaction may occur in stages and is conditioned upon receipt of customary regulatory and other approvals or consents. The failure to obtain certain approvals or consents may result in the removal of certain businesses from the transaction and a related price reduction.
An Attractive Acquisition
Each of the seven EfW businesses to be acquired includes a long-term operating contract with the respective municipal client. In addition we will acquire a majority ownership stake in the Montgomery PA facility and a related transfer station operating contract. Collectively, these seven EfW facilities process approximately 3 million tons of waste per year. The acquired businesses compliment Covanta’s existing portfolio, which includes operation of 38 EfW facilities that process approximately 17 million tons of municipal solid waste annually.
Covanta expects it will achieve meaningful synergies by leveraging its scale, operational expertise and in-house maintenance capabilities. Force reductions are not anticipated at the operating facilities, which employ approximately 500 people. This acquisition is expected to add approximately $60 million of operating cash flow during 2010.
Anthony Orlando, President and CEO of Covanta stated ”We are extremely pleased to announce this acquisition which is consistent with our growth strategy targeting Energy-from-Waste development projects and acquisitions in key markets. We look forward to welcoming new customers and employees into the Covanta family and working closely with each client community to build on and improve the service provided.”
Advisors to Covanta
La Compagnie Financière Edmond de Rothschild (Paris) and Latham & Watkins LLP (New York) served as financial and legal advisors, respectively, to Covanta in connection with this transaction.
About Covanta
Covanta Holding Corporation (NYSE:CVA), is an internationally recognized owner and operator of large-scale Energy-from-Waste and renewable energy projects and a recipient of the Energy Innovator Award from the U.S. Department of Energy's Office of Energy Efficiency and Renewable Energy. Covanta's 38 Energy-from-Waste facilities provide communities with an environmentally sound solution to their solid waste disposal needs by using that municipal solid waste to generate clean, renewable energy. Annually, Covanta's modern Energy-from-Waste facilities safely and securely convert approximately 17 million tons of waste into more than 8 million megawatt hours of clean renewable electricity and create 10 billion pounds of steam that are sold to a variety of industries. For more information, visit www.covantaholding.com.
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking" statements as defined in Section 27A of the Securities Act of 1933 (the "Securities Act"), Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"), the Private Securities Litigation Reform Act of 1995 (the "PSLRA") or in releases made by the Securities and Exchange Commission (“SEC”), all as may be amended from time to time. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of Covanta and its subsidiaries, or general industry or broader economic performance in domestic and international markets in which Covanta operates or competes, to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. Statements that are not historical fact are forward-looking statements. Forward-looking statements can be identified by, among other things, the use of forward-looking language, such as the words "plan," "believe," "expect," "anticipate," "intend," "estimate," "project," "may," "will," "would," "could," "should," "seeks," or "scheduled to," or other similar words, or the negative of these terms or other variations of these terms or comparable language, or by discussion of strategy or intentions. These cautionary statements are being made pursuant to the Securities Act, the Exchange Act and the PSLRA with the intention of obtaining the benefits of the "safe harbor" provisions of such laws. Covanta cautions investors that any forward-looking statements made by Covanta are not guarantees or indicative of future performance. Important assumptions and other important factors that could cause actual results to differ materially from those forward-looking statements with respect to Covanta, include, but are not limited to, the risk that Covanta may not acquire all seven of the EfW businesses in the event that certain consents and approvals are not obtained and those factors, risks and uncertainties that are described in periodic securities filings by Covanta with the SEC. Although Covanta believes that its plans, intentions and expectations reflected in or suggested by such forward-looking statements are reasonable, actual results could differ materially from a projection or assumption in any forward-looking statements. Covanta's future financial condition and results of operations, as well as any forward-looking statements, are subject to change and inherent risks and uncertainties. The forward-looking statements contained in this press release are made only as of the date hereof and Covanta does not have or undertake any obligation to update or revise any forward-looking statements whether as a result of new information, subsequent events or otherwise, unless otherwise required by law.
Link:
Monday 6 July 2009
Water Management in Peru – US$10 Million World Bank Loan
World Bank press release:
WASHINGTON D.C., July 2, 2009 – The World Bank approved today a US$10 million loan to support the Peruvian Government in its Water Resources Management Modernization project.
The loan is aimed at improving the management of water resources in Peru through a participatory, sustainable, multisector and basin-scale approach. For such purpose, the project will work with the national water bureau (Autoridad Nacional del Agua - ANA), the agency in charge of the Peruvian National Water Resource System and its local branches.
“We are extremely satisfied with this project,”says engineer Abelardo de la Torre Ugarte, Head of the ANA. “It will help to modernize the management of our water resources by integrating private and public sectors and the civil society in order to achieve the sustainable availability of water in the quantity, timeliness and quality required for present and future generations,” adds de la Torre Ugarte.
The Water Resources Management Modernization project will support the development of participatory plans for an integrated water resource management in the Chancay-Lambayeque, Chili and Ica-Alto Pampas basins.
De la Torre further added that “an important innovation of this project is the joint participation of public agencies, user associations, and operators of water systems in the development of the basins’ management plans. This joint approach pursues to balance the supply and demands of different users and to identify responsibilities in the implementation of coordinated actions for the conservation of water and related natural resources.”
Irrigation accounts for 80 percent of water use in Peru. The Peruvian coasts and lower areas of the Pacific basins are subject to flooding due to high rainfall levels in the upper parts of the basins, while the southern areas are more drought prone.
In addition to variations in water availability, water quality is poor due to uncontrolled discharges. Additionally, climate change is causing tropical glaciers to melt which further increases water scarcity and variability and threatens the water supply.
“We congratulate the Peruvian Government for its commitment in keeping water security as a key element for the population, a sustainable development and the environment’s conservation,” says Felipe Jaramillo, World Bank Director for Bolivia, Ecuador, Peru and Venezuela. “The World Bank will continue supporting the water sector to help establish a new water culture that puts an emphasis on the value, use and management of water resources by all social and productive sectors,” adds Jaramillo.
The Water Resources Management Modernization project will contribute to:
- Improve the sustainable, participatory and multisectoral management of water resources.
- Increase the participation of water users in the management of water resources.
- Promote cross-institutional coordination at national and basin levels.
- Reduce water quality degradation and its negative impacts on human health, agriculture and exports.
- Facilitate access to comprehensive, timely and reliable information on water resources and climate
- Increase the country’s capacity to adapt to climate change impacts.
The project amounts to US$23 million, of which US$13 million are national counterpart funds and the remaining is financed with a US$ 10 million loan. The loan has a fixed margin and an 18 year repayment period, with a grace period of 17.5 years.
WASHINGTON D.C., July 2, 2009 – The World Bank approved today a US$10 million loan to support the Peruvian Government in its Water Resources Management Modernization project.
The loan is aimed at improving the management of water resources in Peru through a participatory, sustainable, multisector and basin-scale approach. For such purpose, the project will work with the national water bureau (Autoridad Nacional del Agua - ANA), the agency in charge of the Peruvian National Water Resource System and its local branches.
“We are extremely satisfied with this project,”says engineer Abelardo de la Torre Ugarte, Head of the ANA. “It will help to modernize the management of our water resources by integrating private and public sectors and the civil society in order to achieve the sustainable availability of water in the quantity, timeliness and quality required for present and future generations,” adds de la Torre Ugarte.
The Water Resources Management Modernization project will support the development of participatory plans for an integrated water resource management in the Chancay-Lambayeque, Chili and Ica-Alto Pampas basins.
De la Torre further added that “an important innovation of this project is the joint participation of public agencies, user associations, and operators of water systems in the development of the basins’ management plans. This joint approach pursues to balance the supply and demands of different users and to identify responsibilities in the implementation of coordinated actions for the conservation of water and related natural resources.”
Irrigation accounts for 80 percent of water use in Peru. The Peruvian coasts and lower areas of the Pacific basins are subject to flooding due to high rainfall levels in the upper parts of the basins, while the southern areas are more drought prone.
In addition to variations in water availability, water quality is poor due to uncontrolled discharges. Additionally, climate change is causing tropical glaciers to melt which further increases water scarcity and variability and threatens the water supply.
“We congratulate the Peruvian Government for its commitment in keeping water security as a key element for the population, a sustainable development and the environment’s conservation,” says Felipe Jaramillo, World Bank Director for Bolivia, Ecuador, Peru and Venezuela. “The World Bank will continue supporting the water sector to help establish a new water culture that puts an emphasis on the value, use and management of water resources by all social and productive sectors,” adds Jaramillo.
The Water Resources Management Modernization project will contribute to:
- Improve the sustainable, participatory and multisectoral management of water resources.
- Increase the participation of water users in the management of water resources.
- Promote cross-institutional coordination at national and basin levels.
- Reduce water quality degradation and its negative impacts on human health, agriculture and exports.
- Facilitate access to comprehensive, timely and reliable information on water resources and climate
- Increase the country’s capacity to adapt to climate change impacts.
The project amounts to US$23 million, of which US$13 million are national counterpart funds and the remaining is financed with a US$ 10 million loan. The loan has a fixed margin and an 18 year repayment period, with a grace period of 17.5 years.
EBRD increases support for upgrade of Bulgarian municipal infrastructure
EBRD press release:
Additional €35 million to Bulgarian Fund for Local Authorities and Governments (FLAG)
In response to the scarcity of commercial funding, the EBRD is enhancing its support for the rehabilitation of municipal infrastructure in Bulgaria by increasing its loan to the Bulgarian Fund for Local Authorities and Governments in Bulgaria (FLAG) with an additional €35 million.
Established by the Bulgarian government in 2007, FLAG is a funding vehicle aimed at facilitating co-financing of local infrastructure projects that can benefit from EU grant funds. In December 2008 the EBRD extended a €35 million credit to FLAG to support municipal projects alongside Unicredit and HYPOInvestmentbank.
The types of projects supported by FLAG include local water and sewer investments, waste management, local road rehabilitation and energy efficiency measures in public buildings. Sub-loans are also used for project preparation, including feasibility studies and preparation for grant applications.
As a result of reduced availability of commercial lending, the demand for FLAG funds has significantly increased. The current pipeline of FLAG projects exceeds €115 million. The number of requests for FLAG funds is expected to grow even more together with the expected the demand for co-financing of municipal projects.
The increased loan from the EBRD will enable FLAG to sustain achievements to date and continue to implement the much-needed projects in the current difficult market conditions with new and longer term credits.
“Through this transaction the EBRD is stepping in to support the Bulgarian government’s efforts to strengthen the institutional capacity of the local authorities to develop suitable projects in the new challenging circumstances. With the EBRD support, FLAG will be able to continue to co-finance the preparation and implementation of important EU funded investments at the local municipal level despite the current economic downturn,” said Jean-Patrick Marquet, EBRD director for Municipal and Environmental Infrastructure.
To date FLAG has approved 29 sub-loans to 26 municipalities, with a total value of more than €16.5 million. These funds will support EU grants of approximately €40 million, provided to help upgrade Bulgaria’s infrastructure to EU standards and facilitate the integration of less developed regions into the national and international economy.
It is envisaged that the FLAG programme will be able to support around 100 municipalities out of the total of 263. The FLAG programme will help Bulgaria and its local governments to efficiently utilise the available EU funds.
Since the beginning of its operations in Bulgaria, the EBRD has committed over €1.8 billion in more than 120 projects in the financial services, corporate, infrastructure and energy sectors. Working with its many partners, the Bank has mobilised more than €6.6 billion for projects in Bulgaria.
Link:
Additional €35 million to Bulgarian Fund for Local Authorities and Governments (FLAG)
In response to the scarcity of commercial funding, the EBRD is enhancing its support for the rehabilitation of municipal infrastructure in Bulgaria by increasing its loan to the Bulgarian Fund for Local Authorities and Governments in Bulgaria (FLAG) with an additional €35 million.
Established by the Bulgarian government in 2007, FLAG is a funding vehicle aimed at facilitating co-financing of local infrastructure projects that can benefit from EU grant funds. In December 2008 the EBRD extended a €35 million credit to FLAG to support municipal projects alongside Unicredit and HYPOInvestmentbank.
The types of projects supported by FLAG include local water and sewer investments, waste management, local road rehabilitation and energy efficiency measures in public buildings. Sub-loans are also used for project preparation, including feasibility studies and preparation for grant applications.
As a result of reduced availability of commercial lending, the demand for FLAG funds has significantly increased. The current pipeline of FLAG projects exceeds €115 million. The number of requests for FLAG funds is expected to grow even more together with the expected the demand for co-financing of municipal projects.
The increased loan from the EBRD will enable FLAG to sustain achievements to date and continue to implement the much-needed projects in the current difficult market conditions with new and longer term credits.
“Through this transaction the EBRD is stepping in to support the Bulgarian government’s efforts to strengthen the institutional capacity of the local authorities to develop suitable projects in the new challenging circumstances. With the EBRD support, FLAG will be able to continue to co-finance the preparation and implementation of important EU funded investments at the local municipal level despite the current economic downturn,” said Jean-Patrick Marquet, EBRD director for Municipal and Environmental Infrastructure.
To date FLAG has approved 29 sub-loans to 26 municipalities, with a total value of more than €16.5 million. These funds will support EU grants of approximately €40 million, provided to help upgrade Bulgaria’s infrastructure to EU standards and facilitate the integration of less developed regions into the national and international economy.
It is envisaged that the FLAG programme will be able to support around 100 municipalities out of the total of 263. The FLAG programme will help Bulgaria and its local governments to efficiently utilise the available EU funds.
Since the beginning of its operations in Bulgaria, the EBRD has committed over €1.8 billion in more than 120 projects in the financial services, corporate, infrastructure and energy sectors. Working with its many partners, the Bank has mobilised more than €6.6 billion for projects in Bulgaria.
Link:
CIMB Standard Appointed Manager for US$500 Million ADB-IDB Fund
CIMB press release:
Kuala Lumpur: CIMB Standard, Asian private equity and infrastructure fund specialists, have been appointed manager and advisor to a new US$500 million Islamic Infrastructure Fund, jointly sponsored by the Asian Development Bank (ADB) and the Islamic Development Bank (IDB).
The Islamic Infrastructure Fund (IIF), Asia’s first major multi-country Islamic infrastructure fund, will make Shariah-compliant equity investments in emerging countries in Asia with significant infrastructure opportunities to meet their developmental needs. Amongst such countries are Bangladesh, Indonesia, Kazakhstan, Malaysia, Pakistan and other member countries common to both ADB and IDB. The IIF will receive an initial commitment of US$250 million from the joint Sponsors – ADB and IDB. The IIF will also help bridge the gap between Islamic investors who require Shariah-compliant products and project sponsors who need capital to build crucial infrastructure. The IIF will adopt a unique investment strategy and seeks to achieve a superior risk-return proposition for investors.
“As Asia seeks to claim a greater share of the world economic pie, heavy emphasis will be placed on its infrastructure development to facilitate sustainable economic growth. With demand for such investments estimated to exceed US$8 trillion in the coming decade, we are very confident about the appetite for this new fund” said CIMB Group Chief Executive, Dato’ Sri Nazir Razak at the launch of the fund. He added “The majority of private equity funds are focused on large markets such as China and India creating a gap which we intend to fulfil by leveraging on our expertise as a focused regional player”.
The CIMB Standard senior management team is ideally suited to lead this new initiative. The team includes private equity and infrastructure specialists with proven track records in the Asian region. The team’s ability has been demonstrated via CIMB Standard’s already successful private equity vehicle, The South East Asian Strategic Assets Fund (SEASAF), a US$150 million fund focusing on energy and infrastructure in the Southeast Asian region.
Nicholas Hamilton, Standard Bank’s Chief Executive of the Asia Pacific region said “Today’s launch of the IIF marks a significant milestone in our partnership with CIMB Group, which began in 2006, and is now a leading investor in Malaysia and Southeast Asia. As a recognised specialist emerging market bank, we are able to leverage on our global network to ensure long-term sustainability. Together with CIMB Group’s vast network and experience in Islamic banking, we firmly believe in the success of our joint venture.”
ADB’s Private Sector Operations Department, Director of Capital Markets & Financial Sector Division, Robert van Zweiten, said, “Infrastructure in many of the countries that are members of both ADB and IDB is less developed than the Asian average. We expect the fund to help channel investments into critical infrastructure projects in the region which will, in turn, will improve the prospects for economic growth and poverty reduction."
Meanwhile, IDB’s Director of Country Operations Department (Asia) Dr. Walid Abdelwahab, said that IDB expects the IIF to attract capital from the Islamic world, notably the Middle East. "There is still a substantial amount of wealth in that region and investors there are increasingly interested in putting their money to work in a way that complies with their faith."
The two development banks announced the prospective launch of the IIF during the annual meeting of IDB’s board of governors in Ashgabad, Turkmenistan recently.
Link:
Kuala Lumpur: CIMB Standard, Asian private equity and infrastructure fund specialists, have been appointed manager and advisor to a new US$500 million Islamic Infrastructure Fund, jointly sponsored by the Asian Development Bank (ADB) and the Islamic Development Bank (IDB).
The Islamic Infrastructure Fund (IIF), Asia’s first major multi-country Islamic infrastructure fund, will make Shariah-compliant equity investments in emerging countries in Asia with significant infrastructure opportunities to meet their developmental needs. Amongst such countries are Bangladesh, Indonesia, Kazakhstan, Malaysia, Pakistan and other member countries common to both ADB and IDB. The IIF will receive an initial commitment of US$250 million from the joint Sponsors – ADB and IDB. The IIF will also help bridge the gap between Islamic investors who require Shariah-compliant products and project sponsors who need capital to build crucial infrastructure. The IIF will adopt a unique investment strategy and seeks to achieve a superior risk-return proposition for investors.
“As Asia seeks to claim a greater share of the world economic pie, heavy emphasis will be placed on its infrastructure development to facilitate sustainable economic growth. With demand for such investments estimated to exceed US$8 trillion in the coming decade, we are very confident about the appetite for this new fund” said CIMB Group Chief Executive, Dato’ Sri Nazir Razak at the launch of the fund. He added “The majority of private equity funds are focused on large markets such as China and India creating a gap which we intend to fulfil by leveraging on our expertise as a focused regional player”.
The CIMB Standard senior management team is ideally suited to lead this new initiative. The team includes private equity and infrastructure specialists with proven track records in the Asian region. The team’s ability has been demonstrated via CIMB Standard’s already successful private equity vehicle, The South East Asian Strategic Assets Fund (SEASAF), a US$150 million fund focusing on energy and infrastructure in the Southeast Asian region.
Nicholas Hamilton, Standard Bank’s Chief Executive of the Asia Pacific region said “Today’s launch of the IIF marks a significant milestone in our partnership with CIMB Group, which began in 2006, and is now a leading investor in Malaysia and Southeast Asia. As a recognised specialist emerging market bank, we are able to leverage on our global network to ensure long-term sustainability. Together with CIMB Group’s vast network and experience in Islamic banking, we firmly believe in the success of our joint venture.”
ADB’s Private Sector Operations Department, Director of Capital Markets & Financial Sector Division, Robert van Zweiten, said, “Infrastructure in many of the countries that are members of both ADB and IDB is less developed than the Asian average. We expect the fund to help channel investments into critical infrastructure projects in the region which will, in turn, will improve the prospects for economic growth and poverty reduction."
Meanwhile, IDB’s Director of Country Operations Department (Asia) Dr. Walid Abdelwahab, said that IDB expects the IIF to attract capital from the Islamic world, notably the Middle East. "There is still a substantial amount of wealth in that region and investors there are increasingly interested in putting their money to work in a way that complies with their faith."
The two development banks announced the prospective launch of the IIF during the annual meeting of IDB’s board of governors in Ashgabad, Turkmenistan recently.
Link:
Wednesday 1 July 2009
Citi Infrastructure Investors Completes Acquisition of Itinere
Citi Infrastructure Investors press release:
Citi Infrastructure Investors (CII), a Citigroup affiliate, today announced that an investment fund managed by it has completed its acquisition of Spanish toll road operator Itίnere Infraestructuras S.A. (Itίnere), an international leader in the global toll road sector. The transaction included the successful execution of a tender offer, at a price of €3.96 per share. The deal was approved by the relevant authorities, including the CNMV, earlier this month.
The transaction implies an equity value for 100% of Itίnere of €2,875bn. Other current investors include Bilbao Bizkaia Kutxa, a Spanish savings bank, and Sacyr Vallehermoso, S.A. (SyV).
The portfolio remaining under CII's control consists of seven mature, resilient toll roads that form part of the national highway network in the northern regions of Spain. To achieve this portfolio, CII has completed the sale of assets to Abertis Infraestructuras, S.A., Atlantia S.p.A. and SyV.
CII is retaining Itίnere's executive management and a business development team, which, together with its asset portfolio, make the company an effective platform for additional investment in the toll road sector. Consistent with CII's strategy of investing in large, mature, core infrastructure platform investments in OECD countries, Itίnere will be CII's platform in the toll road sector.
The transaction execution was extremely complex and represents a powerful demonstration of CII’s execution capability.
“The completion of this transaction required tremendous team effort, which would not have been possible without the support of Abertis, Atlantia, SyV, Itίnere's management team and Board of Directors, public administrations, advisors and lending institutions.” said Fidel Andueza, Partner of CII.
Link:
Citi Infrastructure Investors (CII), a Citigroup affiliate, today announced that an investment fund managed by it has completed its acquisition of Spanish toll road operator Itίnere Infraestructuras S.A. (Itίnere), an international leader in the global toll road sector. The transaction included the successful execution of a tender offer, at a price of €3.96 per share. The deal was approved by the relevant authorities, including the CNMV, earlier this month.
The transaction implies an equity value for 100% of Itίnere of €2,875bn. Other current investors include Bilbao Bizkaia Kutxa, a Spanish savings bank, and Sacyr Vallehermoso, S.A. (SyV).
The portfolio remaining under CII's control consists of seven mature, resilient toll roads that form part of the national highway network in the northern regions of Spain. To achieve this portfolio, CII has completed the sale of assets to Abertis Infraestructuras, S.A., Atlantia S.p.A. and SyV.
CII is retaining Itίnere's executive management and a business development team, which, together with its asset portfolio, make the company an effective platform for additional investment in the toll road sector. Consistent with CII's strategy of investing in large, mature, core infrastructure platform investments in OECD countries, Itίnere will be CII's platform in the toll road sector.
The transaction execution was extremely complex and represents a powerful demonstration of CII’s execution capability.
“The completion of this transaction required tremendous team effort, which would not have been possible without the support of Abertis, Atlantia, SyV, Itίnere's management team and Board of Directors, public administrations, advisors and lending institutions.” said Fidel Andueza, Partner of CII.
Link:
Brookfield Infrastructure Partners Completes Sale of 95% Of Brazilian Transmission Investments
Brookfield press release:
Hamilton, Bermuda, June 30, 2009 –– Brookfield Infrastructure Partners L.P. (the “Partnership”, and along with its related entities, “Brookfield Infrastructure”) (NYSE: BIP) today announced that it has completed the sale of 95% of Brookfield Infrastructure’s minority interests in a group of five related Brazilian transmission investments (“TBE”). The sale of the remaining 5% interest is expected to close within the next week.
Concurrent with the exercise of its option to sell its interests in TBE, Brookfield Infrastructure entered into a foreign exchange hedge to lock in projected proceeds in U.S. dollars. Total after-tax proceeds from the sale are expected to be US$275 million, of which US$27 million was received from realized hedge gains in 2008 and an additional US$43 million was received from realized hedge gains in the first quarter of 2009. The proceeds will be used to repay corporate borrowings, fund growth capital investments and acquisitions, as well as for general corporate working capital purposes.
Link:
Hamilton, Bermuda, June 30, 2009 –– Brookfield Infrastructure Partners L.P. (the “Partnership”, and along with its related entities, “Brookfield Infrastructure”) (NYSE: BIP) today announced that it has completed the sale of 95% of Brookfield Infrastructure’s minority interests in a group of five related Brazilian transmission investments (“TBE”). The sale of the remaining 5% interest is expected to close within the next week.
Concurrent with the exercise of its option to sell its interests in TBE, Brookfield Infrastructure entered into a foreign exchange hedge to lock in projected proceeds in U.S. dollars. Total after-tax proceeds from the sale are expected to be US$275 million, of which US$27 million was received from realized hedge gains in 2008 and an additional US$43 million was received from realized hedge gains in the first quarter of 2009. The proceeds will be used to repay corporate borrowings, fund growth capital investments and acquisitions, as well as for general corporate working capital purposes.
Link:
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