Anhui New Energy Heat and Power

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Anhui New Energy Heat and Power Company Ltd. was established in April 2001 in Bengbu, Anhui Province. This coal-fired, 80MW, combined heat power plant, was sponsored by Alliant Energy International (64%), state-owned Bengbu Thermal Power Plant (30%) and TransPacific Capital (6%). The deal was the first equity swap in which foreign investors have bought debt to acquire a share in a domestic firm. Alliant's investment enabled the power plant to pay back 85.1 million yuan (US$1=CNY8.28) of overdue debts. Terms of the contract were for 20 years. Power was to be sold to Anhui province and steam was to be sold to various industrial customers. Financial close was April 2001 with the partners investing roughly US$14 million in the plant, of which roughly US$1 million of the initial investment was to be used for plant upgrades. As of August 2001, Alliant's investments in China amounted to a total of 500MW spread across 9 projects. Total investments in these projects were approximately US$150 million. Most of these investments were made through Peak Pacific Investment Company, a development company which Alliant had a 93.5% stake. In February 2006, Banpu Power Limited acquired 91% shares of Alliant in Peak Pacific Investment for US$84 million. The assets include Anhui plant. None None