Coro Energy PLC (AIM: CORO) announced its plans to procure a set of rooftop solar assets in Vietnam, a deal valued at US$1.3 million. The transaction is anticipated to yield profits and generate positive cash flow.
Initially, Coro Energy was set on purchasing a 3.25 MW section of KIMY Trading Services’ solar portfolio lease, spread across four locations in Saigon. However, following an in-depth due diligence process and site visits, the acquisition scope was reduced to a 2.39 MW portfolio, and the price was adjusted correspondingly.
Upon finalizing the acquisition, Coro Energy will take on a debt of $600,000, make a cash payment of $111,912 (which includes $30,000 for firefighting certificates), issue new shares worth $285,000 that will be locked for 18 months, and additionally, pay $300,000 in instalments.
The portfolio, which has been operational for two years, includes an 18-year power purchase agreement with the state-owned entity, Electricity Vietnam. The acquisition deal is expected to be finalized in the fourth quarter.
