CR Power provides a £221.920 million GBP shareholder loan for the acquisition of a 30% stake in 402 MW Dudgeon Offshore Wind Farm (Linked to Record ID#99038)

Project narrative

On December 19, 2017, CRP Overseas Investment Co., Ltd. — a wholly-owned subsidiary of China Resources Power Holdings Company Limited (CR Power) — entered into a shareholders' agreement with CR Strategic Investment Co., Ltd. and CR & CNIC Investment Ltd. — two subsidiaries of China Resources (Holdings) Company Limited (CRH), the controlling shareholder of CR Power — for the formation and governance of a joint venture and special purpose vehicle for the acquisition of a 30% stake in the 402 MW Dudgeon Offshore Wind Farm. As part of the shareholders' agreement, on December 19, 2017, CR Power entered into a £221,920,000 GBP ($2,338,770,000 HKD) shareholder loan agreement with Summit Plus International Limited (Chinese: 华润国新投资有限公司) — a British Virgin Islands-incorporated special purpose vehicle jointly owned by CRP Overseas Investment Co., Ltd. (40% equity stake) and CR Strategic Investment Co., Ltd. and CR & CNIC Investment Ltd. (collectively a 60% equity stake) — for the acquisition of a 30% stake in the 402 MW Dudgeon Offshore Wind Farm. This loan was interest-free and featured a fixed term of repayment which would be disclosed as capital commitment. Record ID#99039 captures CR Power's shareholder loan. Furthermore, on December 19, 2017, CRC New Energy (UK) Limited — a wholly-owned subsidiary of Summit Plus International — entered into a share purchase agreement with Statkraft UK Ltd. for the sale and purchase of Statkraft's 30% equity stake in Dudgeon Holdings Limited. The shareholders of Summit Plus expected to invest up to £600 million GBP ($6.256 billion HKD) into it for the acquisition, of which CRP Overseas would invest up to £240 million GBP ($2.502 billion HKD). Then, in 2018, a syndicate of banks — including Hong Kong Branch of the Agricultural Bank of China (ABC) — entered into a £280 million GBP syndicated loan agreement with Summit Plus International Limited for the acquisition of a 30% stake in the 402 MW Dudgeon Offshore Wind Farm. ABC served as a lead bank alongside other lenders in the syndicate. ABC was the only Chinese bank among the lead banks. Record ID#99038 captures ABC's contribution. The proceeds of these loans were to be used by the borrower to finance the £555 million GBP ($742.5 million USD) acquisition of a 30% stake in the Dudgeon Holdings Limited from Statkraft AS. Dudgeon Offshore Wind Farm is located on a 55 square kilometer site in the North Sea off the coast of Cromer in North Norfolk, England. The electricity generated is routed to shore via a seabed cable at Weybourne Hope, with an underground cable transiting it further to Necton, Norfolk, where a purpose-built substation transfer it into the National Grid. It opened on November 22, 2017. In addition to Statkraft's share, 35% of the farm was owned by Norway's Statoil Wind Limited and 35% was owned by the UAE's Masdar Offshore Wind UK Limited. The acquisition was completed on March 7, 2018.