AES Andes and GIP expand their strategic partnership in renewables

December 21, 2023

In a new show of confidence in AES Andes and its successful transformational strategy Greentegra, Global Infrastructure Partners (GIP) agreed with AES Andes to expand its partnership in renewables, through joint investments in a new portfolio of the company's projects.

With this transaction, valued at US $441 million, the partnership between AES Andes and GIP will increase by 693 MW, with investments in Bolero Solar, Andes Solar IV, the San Matías Wind Farm, and an additional battery storage system for Andes Solar IIa.

Under the new agreement AES Andes will receive US $333 million in December 2023. GIP will invest the difference as the agreed conditions are met and the projects under construction reach commercial operation.

As in the agreement signed between the companies in 2021, GIP will have a 49% interest and AES Andes, a 51% interest in the companies developing these projects. The partnership between the two companies will now include a portfolio of more than 1,400 MW of wind, solar and battery capacity in Chile.

AES Andes CEO, Javier Dib, said, "We are proud to complete this second phase of our strategic alliance with GIP, one of the world leaders in renewable investment, as it not only ratifies the confidence of our partner in the execution of the transformational strategy we are carrying out, but also demonstrates the willingness we have as a company to continue investing in renewable energy and storage solutions for Chile."

Ricardo Roizen, AES Andes CFO, said, "This agreement allows us to secure a large part of the financing for the coming years of the growth plan that AES Andes is executing in Chile. It is a very competitive capital resource that will allow us to accelerate our transformation."

In July 2021, GIP and AES agreed to jointly invest in the Los Cururos Wind Farm, Andes Solar IIa, Andes Solar IIb, Los Olmos, Mesamávida and Campo Lindo projects.

 

About AES Andes

AES Andes generates and sells power in Chile, Colombia and Argentina. The company operates 5,636 MW in South America along with a large portfolio of renewable energy projects under development. The company is one of the region's leading generation firms, with a diversified portfolio that includes hydroelectric, wind, solar, energy storage, biomass, natural gas and coal plants.

In Chile, AES Andes and its subsidiaries own and operate 3,913 MW, comprising 2,129 MW of thermoelectric, 771 MW of hydroelectric, 348 MW of wind, 429 MW of solar photovoltaic, 13 MW of biomass and 223 MW of battery energy storage systems, in addition to seawater desalination plants and transmission lines.

About GIP

Global Infrastructure Partners (GIP) is a leading infrastructure investor that specializes in investing in, owning and operating some of the largest and most complex assets across the energy, transport, digital infrastructure and water and waste management sectors. With decarbonization central to our investment thesis, we are well positioned to support the global energy transition. Headquartered in New York, GIP has offices in Brisbane, Dallas, Delhi, Hong Kong, London, Melbourne, Mumbai, Singapore, Stamford and Sydney.

GIP has approximately $103 billion in assets under management. Our portfolio companies have combined annual revenues of approximately $75 billion and employ over 115,000 people. We believe that our focus on real infrastructure assets, combined with our deep proprietary origination network and comprehensive operational expertise, enables us to be responsible stewards of our investors' capital and to create positive economic impact for communities. For more information, visit www.global-infra.com.