China Yangtze Power Co has announced plans to buy a 45% stake in Hubei Provincial Energy Group Co for 3.1 billon yuan (US$399 million) in a bid to diversify its hydro dominated portfolio.
Yangtze Power will gain about 2 GW of new hydro and thermal capacity through the acquisition.
A further 2.3 GW of new capacity are under construction by Hubei Energy.