Bangladesh firm acquires 17% stake in Sembcorp project company for US$12.8m

SEMBCORP Industries said on Friday that a state-owned power generation company in Bangladesh has acquired a 17 per cent stake in Sembcorp North-West Power Company (SNWPC) for US$12.8 million.

Sembcorp said that the state-owned company - North-West Power Generation Company (NWPGC) - made the equity injection at par value of SNWPC's shares.

The remaining 83 per cent stake is owned by Sembcorp.

SNWPC is a Sembcorp project company that is developing the Sirajganj Unit 4 power project in Bangladesh and proceeds from the sale of the stake will be used by Sembcorp to fund the ongoing construction of the Sirajganj Unit 4 power plant.

NWPGC plans to make further equity injection by the end of this year, which will result in SNWPC being 71 per cent owned by Sembcorp and 29 per cent by NWPGC, Sembcorp said.

Sembcorp shares finished S$0.02 or 0.7 per cent down at S$3.04 on Friday.