Moscow, 13 December 2011
Macquarie Renaissance Infrastructure Fund (MRIF or the Fund) has agreed to acquire an interest in GSR Energy Investments Ltd (GSR), an operator of heat and power generation and heat distribution facilities in Kolpino, St Petersburg region, Russia, for a total of $US83 million.
GSR supplies heat and electricity to over 100 industrial customers located in the Kolpino industrial and manufacturing centre, the home to a number of major industrial enterprises, and to the Kolpino residential area with a population of 144,000 people.
GSR is currently expanding its operations with the construction of a new energy efficient combined heat and power plant (CHPP), with a total capacity of 220 MW electrical power and 153 Gkal/h heat to meet increasing demand for heat and power from industrial customers. MRIF’s investment will finance part of this expansion project.
Chief Executive Officer of MRIF, Mr Damian Secen, said: "This is the second investment for MRIF and takes total Fund investments to more than $US200 million. GSR’s stable regulated revenues, coupled with an excellent growth profile due to the current expansion of the Kolpino industrial zone, make this investment particularly attractive for MRIF."
The new CHPP will address an anticipated power deficit in the area and as such will significantly contribute to the development of industrial enterprises in Kolpino and the local economy.
Mr Hasnen Varawalla, Co-Chairman of MRIF, said: "Investment in GSR is the first power plant investment in the MRIF portfolio. We are delighted that this investment has been secured by the Fund which is a result of the successful partnership between Renaissance and Macquarie and the strong support of the Fund’s other investors, Vnesheconombank, EBRD, IFC, EDB and Kazyna Capital Management."
Renaissance Group is an independent group of unified finance, investment and management companies specialising in creating value in high-opportunity emerging markets. The Group consists of investment banking, asset management, merchant banking, consumer credit, real estate and advisory businesses. Renaissance Group operates in 19 countries and regions, including Russia, Ukraine, Kazakhstan, Africa, Hong Kong, the United Kingdom, the United States and Cyprus.
Daria Khilenkova, Renaissance Group
+7 (495) 258-7777 (ext. 4839)