Shizuoka Gas to acquire shares in My Son-Hoan Loc Viet Solar Energy

November 11, 2024 | 17:24

(0) user say

On November 8, Shizuoka Gas Co., Ltd. reached an agreement with energy developer Hoan Loc Viet JSC (HLV) to acquire 25 per cent of My Son-Hoan Loc Viet Solar Energy JSC (MSHLV).

MSHLV is an affiliate of Hoan Loc Viet, and manages and operates its solar power plants. This will be the first time Shizuoka Gas has developed a business in Vietnam.

MSHLV owns the 50MW-class mega solar power plant Myson Power Plant, located in Ninh Thuan province in the central-southern part of Vietnam. The plant has been in commercial operation since 2019.

Shizuoka Gas to acquire shares in My Son-Hoan Loc Viet Solar Energy

Photo: Shizuoka Gas

The power plant's projected annual power generation in fiscal year 2024 is approximately 78 million kWh, equivalent to the annual power consumption of approximately 40,000 average Vietnam households.

In Vietnam, demand for electricity is increasing along with economic growth, but the development of power generation infrastructure has not been well developed, and chronic power shortages have become a social issue.

To meet the ever-growing demand for electricity and achieve carbon neutrality by 2050, the Vietnamese government aims to roughly double the country's power generation capacity by 2030 compared to 2022 levels and increase the proportion of renewable energy sources in the country by approximately 29 per cent by 2045 compared to 2020 levels.

Through its partnership with Hoan Loc Viet, Shizuoka Gas will help alleviate power shortages and promote the development of renewable energy in Vietnam, while contributing to sustainable economic growth.

Shizuoka Gas will continue to support the realisation of a carbon-neutral society and contribute to the development of local communities both inside and outside Japan.

M&As pick up pace in sectors from food to energy

A raft of transactions are still taking place in the Vietnamese market across different industries, from food to renewable energy, signalling improved sentiment from investors.

M&A figures can be rejuvenated through stability

Mergers and acquisitions activity saw a decline during the first nine months of 2024, as rising inflation and economic slowdowns affected dealmaking confidence. Masataka “Sam” Yoshida, head of the Cross-border Division of RECOF Corporation, spoke with VIR’s Thanh Van about how this trend is expected to be temporary.

Japanese groups accelerate their M&A activities in Vietnam

In recent years, dealmaking activities between Vietnam and Japan have grown significantly. Japan has become one of the leading countries investing in Vietnam, with billions of US dollars poured on an annual basis. Japanese capital is now present in 57 out of 63 provinces throughout the country, with major concentrations in Ho Chi Minh City and Hanoi.

By Thanh Van

What the stars mean:

★ Poor ★ ★ Promising ★★★ Good ★★★★ Very good ★★★★★ Exceptional