Renewable energy giant EDP Renovaveis SA has finalised the acquisition of 200 MW of solar plants in Vietnam from domestic developer Xuan Thien Group.
EDPR has paid a total of USD 284 million (EUR 287.3m) to take full control of two operational photovoltaic (PV) parks. The buyer said on Wednesday that dependent on the achievement of certain performance milestones, it may make an earn-out payment.
The renewable energy firm expects this deal to be the first step in a long-term partnership with Xuan Thien, focused on the joint exploration of additional opportunities in the region.
EDPR noted that both of the acquired solar farms are selling their output through a 20-year power purchase agreement (PPA) at USD 93.5 per MWh.
In addition to doubling its operational capacity in Vietnam, EDPR also strengthens its presence in the Asia-Pacific (APAC) region through this transaction.
Present in the APAC market since 2021, the renewables firm reinforced its local footprint with the integration of Sunseap earlier this year.