A joint venture between International Power and Mitsui has been completed, creating a common ownership platform for UK assets to be held 75% by International Power and 25% Mitsui.
As part of this agreement, International Power sold 25% equity interest in Rugeley, Deeside and Indian Queens to Mitsui and acquired an additional 5% equity interest in First Hydro and Saltend. Mitsui has provided a £200 million ($400 million) credit facility to support trading activities of the UK assets. International Power has also acquired the right to additional returns from Paiton in Indonesia equivalent to 9.2% of Paiton’s earnings and cash distributions, equalising the returns at 40% each.
The sale and purchase of the interests in the UK assets and Paiton also resulted in a net cash payment of £85 million ($170 million) to International Power.
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