Pacific Hydro operates 19 hydro-electric and wind generation facilities, which have a combined generation capacity of 900MW. The projects are located in Chile, Australia and Brazil.
SPIC expects the acquisition to provide a high quality global renewable development platform.
SPIC chairman Wang Binghua said: "The SPIC is committed to maintaining the stability of Pacific Hydro’s current business and management team, as well as supporting expansion through the pipeline of development projects."
According to reports from Australian Business Review, the deal is estimated to be more than A$3bn ($2.2bn), including debt.
IFM Investors infrastructure global head Kyle Mangini said: "IFM Investors’ Australian Infrastructure Fund has been a proud, long-term owner of Pacific Hydro and invested heavily in growing the business over the last 10 years."
The deal, which is subject to regulatory approval, is planned to be completed in the first quarter of 2016.
SPIC, formed by a merger between the former China Power Investment Corporation and State Nuclear Power Technology, has around $113bn in total assets.
The firm is involved in power generation, coal, aluminium, logistics, finance, environmental protection and high-tech industries in 35 countries including Malta, Japan, Turkey and Vietnam.
Image: Pacific Hydro has renewable assets in Chile, Australia and Brazil. Photo: courtesy of Jomphong/ FreeDigitalPhotos.net.
