CPID Announces Acquisition of Clean Energy Power Projects from SPIC and Holds Online Analyst Meeting
On July 26, 2023, CPID announced its intention to acquire clean energy power projects with a total capacity of 9.3 GW from SPIC for a consideration of approximately RMB 10.785 billion.
The transaction includes 55.15% equity interest in Beijing Company and 100% equity interest in Fujian Company, Heilongjiang Company, Shanxi Company and Jieyang Company, and will accelerate the establishment of SPIC's flagship listed clean energy company, implement CPID's new development strategy and further increase the ratio of installed clean energy capacity and CPID's profitability.
On July 27, 2023, CPID held an online analyst meeting in Beijing to further communicate and exchange views on this important capital operation and capital market. Mr. He Xi, Chairman of CPID and Chief Engineer (New Energy) of SPIC, chaired the meeting and delivered a speech; Ms. Xu Lihong, Chief Capital Operation Coordinator of SPIC, spoke on behalf of SPIC; Mr. Gao Ping, President of CPID, and Mr. Shou Rufeng, Vice President of CPID, participated in the meeting and answered questions from investors.
In his speech, Mr. He emphasized that this acquisition is a solid step for CPID to further implement its strategy and another milestone in building a world-class power company. In summary, this acquisition has several main points. First, it is to firmly strengthen SPIC's flagship listing platform and build the world's largest listed clean energy power company. Second, it is to vigorously expand the coverage of resource-rich areas, secure the development rights of high-quality projects and consolidate the foundation of CPID's high-quality development. Third, it is to efficiently integrate SPIC's regional resources and give full play to SPIC's synergies among provinces, regions and industries. Fourth, it is to further promote the optimization of CPID's asset structure, enhance its sustainable earnings growth capability and bring substantial returns to all shareholders.
Ms. Xu summarized the transaction in three key words. First, "LARGEST", this transaction is the largest internal clean energy asset reorganization of SPIC, the world's largest clean energy power generation company, with the aim of creating the world's largest listed clean energy company, and is of great significance. Second, "HIGH QUALITY", this transaction is an important measure for SPIC to comprehensively promote the reform of state-owned investment companies and effectively improve the quality of state-controlled listed companies. Third, "SPECIAL", SPIC is committed to building CPID into a listed clean energy service technology and innovation company with hydropower, wind power and PV power oriented by scientific and technological innovation, and currently CPID is the only one in Hong Kong and the A-share capital market.
After the announcement, CPID held an online analyst meeting, which attracted great attention. More than two hundred investors and analysts from home and abroad participated in the online meeting, and Citibank, JP Morgan, Guotai Junan, Industrial Securities, Huatai Securities, Shenwan Hongyuan Securities and other organizations enthusiastically asked questions.