The newly formed company, APW-1, will focus on acquiring a portfolio of selected Abengoa’s projects which are under construction, including renewable and conventional power generation and power transmission assets.
The projects which will be acquired by APW-1 will initially include Atacama I & II (STE and PV) in Chile, A3T and A4T in México, and a participation in the Brazilian T&D lines.
EIG will provide 55% of the total investment to the new joint venture, and the remaining 45% will be contributed by Abengoa, which will have a non-controlling ownership in APW-1.
Abengoa will receive an initial payment of $500m as a compensation for investments already made in the projects.
Abengoa and APW-1 have also signed a new right of first offer (ROFO) agreement to enable investment by APW-1 in new projects awarded to Abengoa, as part of the agreement.
