China: Shenyang signs $ 147-M alliance with A-Power
A-power, which built China’s largest wind turbine manufacturing facility in Shenyang last year, will provide 60% of the capital. Image sourced from A-PowerIn China, the city of Shenyang announced that it will be entering into a local DG alliance with wind turbine maker A-Power Energy Generation Systems, Ltd. (NASDAQ: APWR) last Friday (June 19). Called the Shenyang Power Group (“Shenyang Power”), the alliance will be established with $147 million (RMB 1 billion) in registered capital.
A-power, which built China’s largest wind turbine manufacturing facility in Shenyang last year, will provide 60% of the capital. Shenyang government’s investment arm, Shenyang Ruida Investment, will provide 20%. Other companies and research institutes participating in the alliance will supply the remainder of the capital.
Another $14.7 million (RMB 100 million) will be provided by the Shenyang government from its Industrial Development Fund as subsidies to other entities joining the alliance. The subsidies will be granted by installment, with the first installment of $6 million (RMB 40 million) scheduled for release to Shenyang Power at the end of this month.
A-Power will be choosing a site in Shenyang for the set-up of the alliance’s headquarters. Construction is scheduled within this year.
A-Power, also a leading distributed power generation systems company in China, focuses on energy-efficient and environmentally-friendly projects of 25 megawatts to 400 megawatts. The company was backed by technologies licensed from wind companies Fuhrlander AG of Germany and Norwin of Denmark when it built the Shenyang wind turbine facility.
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Jen Balboa
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