I Squared Asia renewable sale kicks off

19 March 2019 - 12:00 am UTC

The sale of Asia Cube Holdings (ACH), an I Squared Capital renewable portfolio, will gear up next month when indicative bids are due, market sources said. 

Financial advisor Credit Suisse has set an April 18 indicative bid date for the 1.4GW of power and water assets spread across China, South Korea, Taiwan and Vietnam. The investment bank has been mandated to sell 100% of Asia Cube Holdings, according to a teaser released in early February,  

I Squared has been exploring the sale since last year, as first reported by our sister title SparkSpread on Sept. 4.

But it noted that Credit Suisse was still contemplating the sale and made no mention of a bid timetable. 

ACH is comprised of Asia Cube Energy, a 1.4GW, APAC renewable energy platform with 23 assets spread across four countries; and Asia Cube Water, a portfolio of 13 waste water treatment assets, with a total capacity of 312,500 tons per day, and two hazardous waste treatment assets, spread across five Chinese provinces.

Asia Cube Energy’s 1.4GW portfolio includes projects, which are operational, under construction and shovel ready, of which 1GW is expected to be operational by the end of 2020.

ACH run rate revenue stands at around USD 220m; while the company’s EBITDA stands at around USD 155m, with Asia Cube Energy contributing 87% of that EBITDA.

ACH revenue is forecast to grow by 98% to USD 435m by 2023, while EBITDA is projected to grow by 106% to USD 320m.

Asia Cube Energy’s 20 operational projects are spread across China, South Korea, Taiwan and Vietnam.

The portfolio is comprised of 33% ground mounted solar; 21% solar floating on water; 21% offshore wind; and 21% onshore wind, with the remainder made up of co-generation and waste-to-energy assets.

Asia Cube Water is made up of 10 operating assets and a further six pipeline assets spread across five Chinese provinces.

A banker at Credit Suisse declined to comment.

 

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