Coro Energy PLC (AIM:CORO) has agreed to rebuild equity interest in its own Vietnamese rooftop solar venture through the repurchase of shares.
Half of Invest Gains Viet Nam Company’s 15% stake in the holding company for Coro's Vietnamese investments, Coro Renewables VN1 Joint Stock Company, will be repurchased under the deal.
This will see Coro’s own stake rise from 85% to 92.5% in the company, which owns its growing rooftop solar portfolio, a statement said on Friday.
Coro has plans in place to develop a 50MW portfolio of rooftop solar panels in Vietnam.
“This transaction, timed as we move towards finalising our previously announced Vietnam funding arrangements with a view to initiating our rollout of the [...] project, increases Coro's equity in the Vietnamese business and aligns our partners with Coro's shareholders,” director Michael Carrington commented.
Total consideration for the deal, which was signed on Thursday, is US$290,000 (£231,500), with US$100,000 of this being paid by Coro initially.