Deals this week: Power Construction Corporation of China, Enel, and Total

12 May 2016 (Last Updated May 12th, 2016 18:30)

Power Construction Corporation of China has announced its intention to raise approximately CNY12bn ($1.84bn) through private placement of shares.

Enel HQ

Power Construction Corporation of China has announced its intention to raise approximately CNY12bn ($1.84bn) through private placement of shares.

This will be used to fund its projects and increase its working capital.

Enel plans to sell its 20% stake in a liquefied natural gas (LNG) fired power plant in Chile, a coal-fired power plant in Russia, a gas-fired power plant unit in Belgium, a business in France, and certain assets of Enel Green Power by 2016.

The sale price for these assets is estimated at approximately €1bn ($1.14bn) and it forms part of the company's larger plan to sell assets worth €6bn ($6.83bn approximately) by 2019.

Total has signed an agreement with manufacturer of advanced technology batteries Saft Groupe to accelerate its renewable energy and electricity portfolio.

As per the agreement, Total will acquire all issued and outstanding shares of Saft Groupe for €950m ($1.08bn).

NRG Energy has announced plans to offer qualified institutional investors an aggregate principal amount of $700m in senior notes, which are due in 2026.

The notes will be guaranteed by some of the company's subsidiaries and are expected to result in an aggregate payment amount of up to $1bn.

The company plans to use the net proceeds from this private placement to purchase outstanding existing senior notes it offered in another tender.

Huadian Fuxin Energy Corporation has announced the issuance of the second part of ultra-short-term financing instruments due 11 November to national inter-bank bond market institutional investors.

The CNY2.bn ($307.25m) financing instruments have a maturity period of 180 days. The proceeds will primarily be used to repay the company's existing financing including those of its subsidiaries.


Image: Enel plans to sell assets worth €6bn ($6.83bn approximately) by 2019. Photo: courtesy of Blackcat.