Lanka Ventures Group invests $ 5 m in Bangla power venture
Thursday, 13 March 2014 00:30
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Lanka Ventures (LVEN) yesterday announced that a Group entity has invested $ 5 million (Rs.653 m) for a 33% stake in Lakdhanavi Bangla Power Ltd. that will undertake the construction of a 52.2MW thermal power plant in Comilla, Bangladesh.
The investing entity is Lanka Energy International Ltd. (LEI), a subsidiary of LVL Energy Fund Ltd., a subsidiary of LVEN.
The company said in February 2013 LEI invested US$ 2 m (Rs. 255 m) for a 16% stake in Raj Lanka Power Company Ltd., which constructed another 52.2MW thermal power plant in Rajshahi, Bangladesh.
This plant commenced supplying electricity to the Bangladeshi national grid on 24 January. The promoter of both projects is Lakdhanavi Ltd., a local company with experience in setting up and operating thermal power plants in Sri Lanka and overseas.
Following these investments, the energy sector investment portfolio of LVEN amounting to Rs. 1.84 billion accounts for 14% hydro, 36% wind and 50% thermal.
The Company said thermal power projects in Bangladesh are expected to provide a stable income to the Group compared to hydro and wind power projects of which income is seasonal.
