Nonghyup Financial Group to Invest $22 Mn in KEPCO’s Solar Power Plant in Japan
Nonghyup Financial Group will invest 25 billion won ($22 million) in a solar power plant in Japan as part of its sustainable green growth initiatives.
The South Korean major financial group will acquire a 35 percent stake in a solar power plant located in Chitose, Hokkaido, Japan for 25 billion won from Korea’s public utility firm Korea Electric Power Corp. (KEPCO).
The investment will be made through an infrastructure fund pooled by Nonghyup’s financial units and run by NH-Amundi Asset Management. Samjong KPMG is a financial advisor on the latest deal.
After the stake sale, KEPCO will still remain as the largest shareholder of the Chitose solar power plant with more than 50 percent stake.
KEPCO’s first solar farm in Japan has 28-megawatt solar power generation facilities backed by an energy storage system with a capacity of 13.7 megawatt-hours. It kicked off operation in 2017 and supplies power in the area under a 20-year contract with Hokkaido Electric Power Co.
The latest investment is part of Nonghyup Financial Group’s ESG initiatives with an aim to expand investments in sustainable and green energy at home and abroad. Recently, a group of Nonghyup financial companies jointly created an ESG fund for investment in various green energy projects.
ESG, short for environmental, social, and corporate governance, is a term for measuring the sustainability and ethical impact of an investment in a business or company.
Source: pulsenews
