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Overview

China Construction Bank (Asia) provides a €72 million EUR loan to China Energy Construction Group Planning and Design to finance the purchase of 100% equity stake in Empresarios Agrupados Internacional, S.A. (EAI) and Ghesa Ingenieriay Tecnologia, S.A. and for working capital purposes

Commitments (Constant USD, 2023)$84,414,585
Commitment Year2020Country of ActivitySpainDirect Recipient Country of IncorporationHong Kong (China)Overseas JurisdictionHong Kong (China)SectorEnergyFlow TypeLoan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2020
Start (actual)
Jan 21, 2020
End (actual)
Jan 21, 2020

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • China Construction Bank (Asia) Corporation Limited (CCB (Asia))

Receiving agencies

State-owned companies

  • Unspecified Hong Kong Subsidiary of China Energy Engineering Group Planning and Engineering Co., Ltd.

Loan description

China Construction Bank (Asia) provides a €72 million EUR loan to China Energy Construction Group Planning and Design to finance the purchase of 100% equity stake in Empresarios Agrupados Internacional, S.A. (EAI) and Ghesa Ingenieriay Tecnologia, S.A. and for working capital purposes

Interest typeUnknown

Narrative

Full Description

Project narrative

In 2020, China Construction Bank (Asia) Corporation Limited (CCB (Asia)) entered into a €72 million EUR loan agreement with an unspecified Hong Kong subsidiary of China Energy Engineering Group Planning and Engineering Co., Ltd. (CPE; CEEPE) — a Chinese state-owned engineering and design firm which is wholly-owned by China Energy Engineering Corporation Limited (CEEC) — to (a) finance the purchase of a 100% equity stake in Empresarios Agrupados Internacional, S.A. (EAI) and Ghesa Ingenieriay Tecnologia, S.A. (Ghesa) and (b) provide working capital to EAI and GHESA and the Hong Kong borrower. CPE entered into a Share Purchase Agreement with EAI and Ghesa's shareholders, Naturgy Engineering, S.L., IIberdrola Ingeniería y Construcción, S.A.U., and Técnicas Reunidas, S.A., to purchase a 100% equity stake in the companies for a consideration of €78.3 million EUR. Ghesa and EAI are Spanish engineering design firms active in the design and the construction of facilities and infrastructure of the energy sector, especially for nuclear plants and thermonuclear plants. EAI was founded in 1971 and works with electricity, information, and renewable energy, while Ghesa was founded in 1963 and works for power facilities, foundations, and infrastructure construction. The equity transfer ceremony was held on January 21, 2020. This was one of the largest acquisitions of a Spanish engineering and design companies by a Chinese company to date.