Japan-based Marubeni has agreed to acquire a stake in Chenya Energy from I Squared Capital for an undisclosed amount.

Upon completion of the deal, Chenya will become a wholly owned subsidiary of Marubeni, which has IPP projects assets of more than 12.5GW across 19 countries.

Taiwan-based Chenya Energy develops, builds and operates solar power plants and currently has 344.4MW of capacity that includes floating, ground-mounted and rooftop projects.

The firm is a wholly owned subsidiary of Asia Cube Energy, which is a pan-Asian renewable portfolio company founded by I Squared Capital in 2017.

I Squared Capital managing partner Gautam Bhandari said: “The company is currently building the world’s largest floating solar project and has grown rapidly to become the largest solar platform in Taiwan.

“This is I Squared Capital’s third platform realization in emerging markets and adds to our consistent track-record of creating value for our investors through building world-class infrastructure growth companies that are highly valued by strategic buyers.”

Marubeni to gain expertise in floating solar power business

Through the acquisition of Chenya and its solar power generation assets, Marubeni is expecting to gain expertise in the floating solar power business and continue to improve its renewable energy development capabilities.

Additionally, the firm is also planning to expand its floating solar power business in Taiwan and in other regions.

Previously, Marubeni has invested in 960MW Ever Power gas-fired combined power project and 600MW Hsin Tao gas-fired combined cycle power project in Taiwan.

With the acquisition of Chenya energy, the firm will have stake in more than 950MW of power generation assets in Taiwan.

Recently, Marubeni signed a power purchase agreement (PPA) with Emirates Water and Electricity Company (EWEC) for 2.4GW Fujairah F3 Independent Power Project (Fujairah F3 IPP project) located in the UAE.