Hong Kong’s Cheung Kong Infrastructure Holdings Ltd. announced the successful completion of a share offer to acquire Canada’s TransAlta Power L.P. in an all-cash deal worth about C$629 million (US$622 million), excluding debt.
In what was described as a friendly acquisition, Cheung Kong said Dec. 5 that it acquired 85.1 percent of the outstanding shares of TransAlta Power L.P., paving the way to completion of the takeover.
TransAlta Power L.P., an affiliate of TransAlta Corp., owns 49.9 percent of TransAlta Cogeneration L.P., owner of five cogeneration facilities and a coal-fired project totaling 1,362 MW. TransAlta Corp. will retain 50.01 percent of TransAlta Cogeneration L.P. and remains its managing partner.
TransAlta Corp. owns 50 power plants in Canada, the U.S., Mexico, and Australia, including 13 hydro plants in Alberta and two in the U.S. None of the hydro projects is involved in the Cheung Kong transaction, as had been implied in an October report by HydroNews.net.