31 August, 2017
Baker McKenzie Wong & Leow, the Singapore member firm of Baker McKenzie International has advised on the first public-private partnership project with a foreign investor in the power sector in Bangladesh. The project reached successful financial close on 22 August 2017.
The Firm advised Sembcorp Utilities Pte Ltd as sponsors on the US$310 million project financing of the 413.8 MW (gas) / 333.02 MW high speed diesel dual fired power station to be developed by Sembcorp North-West Power Company Ltd and located in Sirajganj in Bangladesh. The financing was provided by International Financing Corporation (IFC), Commonwealth Development Corporation (CDC), Clifford Capital Pte Ltd and Japan International Cooperation Agency (JICA), and was supported by a MIGA investment guarantee.
The success of the Project will contribute to the sustainability of public and private sector partnerships in the power sector in Bangladesh to overseas power developers and operators.
The team in Singapore was led by Martin David, Head of the Projects practice in Singapore and Asia Pacific Head of the Energy, Mining and Infrastructure practice and supported by Principal Ang Kim Hock, Local Principal Erik Bégin, and Associates Dennis Lim and Ong Shi Ning.
Commenting on the deal, Martin David said:
"We are delighted to have advised Sembcorp on its first build-own-operate project in Bangladesh. This deal reinforces our position as a leading advisor for companies looking to tap on the increasing number of opportunities in emerging markets. We continue to build our platform to support clients in their multijurisdictional growth and development strategies."
This is the first dual-fired Independent Power Project (IPP) to be developed in Bangladesh by international sponsors. Members of our team acted on the very first IPPs to be project financed in Bangladesh (Haripur and Meghnaghat) which formed the blueprint for this latest IPP.
