New York City, May 6, 2010 — China Hydroelectric Corp. completed the purchase of the 19 MW Husahe Project located in the Yunnan province of China.
The purchase price for the hydropower project was $15 million paid in the form of cash and a seller note, all or a portion of which may be refinanced with non-recourse bank debt from local Chinese banks.
The company had announced the execution of the definitive agreement for this acquisition on April 14, 2010. Prior to executing the definitive agreement, the company had entered into a memorandum of understanding with respect to the acquisition.
The company continues to work towards the consummation of its previously announced pending acquisition of a 44 MW Xiaopengzu Project, also in Yunnan province, as well as on finalizing acquisitions of additional projects for which the company has entered into memoranda of understanding.
China Hydroelectric Corp. is a consolidator, developer and operator of small hydroelectric power projects in China. Led by an international management team, the company’s primary business is to identify and evaluate acquisition and development opportunities and acquire, and in some cases construct, small hydroelectric power plants in China.
China produces about 22 percent of its total energy from hydroelectric energy. The company currently owns thirteen operating hydropower projects (consisting of 16 operating stations) in China with total installed capacity of 396 MW. These projects are located in four provinces: Zhejiang, Fujian, Yunnan and Sichuan.