AA - Malaysian national power producer Tenaga Nasional Berhad (TNB) has acquired a 30-percent stake in Turkish energy company GAMA Enerji for USD 243 million. TNB’s move secures a foothold in a key growth market with positive long-term prospects, as part of its strategy to expand overseas.
TNB’s investment will result in a strategic partnership that will allow it to pursue regional asset acquisitions, greenfield projects, portfolio optimization and supply market entry, the Malaysian company said in a press statement.
Commenting on the deal, which is subject to regulatory approval by the Turkish and Malaysian authorities, TNB president and CEO Datuk Seri Ir Azman Mohd said that Turkey was one of the largest power markets in Europe, and its electricity consumption has shown an impressive 6 percent average annual demand growth in the past 10 years.
GAMA Enerji currently has an 840MW natural gas-fired electricity generation plant and a 45MW wind farm under construction in Turkey, which will go live in the third quarter of 2016 and the fourth quarter of 2016, respectively.