Shanghai Electric Power advances €250 million Investment
Chetcuti Cauchi,
advisor to Shanghai Electric Power (SEP), is pleased to announce that today the
transaction for the acquisition of 33% shareholding in Enemalta and a majority
stake in the BWSC plant has been concluded. Today SEP has advanced €250 million
to Enemalta as part of the deal. Through this transaction, SEP shares have also
been assigned.
Malta Largest Single Foreign Direct Investment
The transaction between the Chinese state-owned
corporation Shanghai Electric Power, the Maltese government and Enemalta has
constituted the Malta's largest
single foreign investment that Malta has ever experienced. SEP will
also invest €70 million in converting the BWSC plant from Heavy Fuel Oil to gas
and gasoil on June 2016.
Shanghai Electric Power concludes Enemalta Transaction
A government spokesman confirmed that “This means that
the contractual obligations and responsibilities under the energy sector and
investment cooperation agreement, signed on December 12, will come into force”.
This agreement will bring forth the establishment of two
joint venture companies that will focus on renewable energy and on the
maintenance of SEP's energy plants in the region. The Government said,
“Enemalta will thus be writing a new chapter in its history and will open new
horizons for our country”.
Chetcuti Cauchi Advocates is a full service commercial
law firm with a focus on corporate, administrative, tax, financial
services, banking, i-gaming and intellectual property law. The firm brings a
multi-disciplinary approach to problem solving and regularly advises businesses
looking to set up their operations in Malta or otherwise invest in the
jurisdiction. The firm acts as legal advisors to Shanghai Electric
Power and its Chinese legal counsel on various contractual and structural
aspects of the deal. The project gave rise to a number of complex legal
challenges and required a co-ordinated effort in bringing together the firm’s
various strands of expertise in corporate, administrative, property and
contract law. The deal represents an important milestone for the Maltese
economy, and the Chetcuti Cauchi team is very pleased to be part of this
landmark foreign direct investment into the Maltese economy.
The Firm's Energy & Resources Industry Group assists major
entities as well as start up companies in the gas, oil, utilities and power
industries in identifying opportunities in this ever-evolving industry. Our
professionals follow industry developments in the sector very closely, thus
they are strategically positioned to advise on international developments, and
opportunities as well as business issues. Drawing upon insight from our legal,
tax and corporate practices, we are able to assist investors from the very
inception of projects up till their completion, offering unrivalled level of
expertise all throughout. Whether it is applying for funding or securing
trading and planning permissions, our team offers holistic solutions enabling
clients to succeed in their endeavours. Whilst being a Malta Cyprus based firm,
we serve clients from all around the globe, and thanks to our international
connections in various jurisdictions, we have successfully engaged with
corresponding firms located in the client’s target jurisdiction.
References:
- Shanghai Power acquires 33% of Maltese utility Enemalta
- Shanghai Electric invests
320 million USD in Maltan power company, Enemalta
- 14 March 2014 - Shanghai Power to acquire 33% of Maltese
utility Enemalta
