MY Signs financing framework agreement for renewable energy projects with Reliance Power and China Development Bank
Tuesday, Nov 27, 2012
ZHONGSHAN, China, Nov. 26, 2012 /PRNewswire/ -- China Ming Yang Wind Power Group Limited ("Ming Yang" or the "Company") (NYSE: MY), a leading wind turbine manufacturer in China, today announced that Guangdong Mingyang Wind Power Industry Group Limited ("Guangdong Mingyang"), a subsidiary of Ming Yang, has entered into a financing framework agreement (the "Framework Agreement") with Reliance Power Limited ("Reliance Power"), the largest private sector power company in India, both in capacity under development as well as market capitalization, and China Development Bank Corporation ("CDB"), a government policy bank wholly owned by China's central government, under which CDB is expected to act as the coordinating bank and lead potential lender for renewable energy projects in India to be jointly developed by Ming Yang and Reliance Power.
On July 2, 2012, Ming Yang announced that it has signed a Memorandum of Understanding ("MOU") with Reliance Power to co-develop up to 2,500MW renewable energy projects in India within three years. Under the MOU, Ming Yang is expected to provide total engineering, procurement and construction solutions for the projects and Reliance Power is expected to play a supporting role in facilitating the projects in addition to providing local market support.
Under the Framework Agreement, being the coordinating bank and lead potential lender, CDB will act as the lead arranger to coordinate the provision of financing facilities to Reliance Power to support future renewable energy projects. The amount, terms and conditions of the financing facilities will be subject to the potential lenders' respective internal approval procedures and further assessment of the projects.
"We are very pleased to work with Reliance Power and have CDB's support for our renewable projects. This is a big step forward for all parties involved, aiming at facilitating the strategic cooperation in renewal energy development between China and India. India presents a strong growth potential for us, which is substantially reflected by Reliance Power's project pipeline." said Mr. Chuanwei Zhang, Chairman and Chief Executive Officer of Ming Yang. "Together with the proposed financial support by CDB, Ming Yang's strong expertise and innovative total solutions will be expected to help us expand more new business opportunities overseas."
Source: China Ming Yang Wind Power Group Limited