London – 13 January 2020 – Denham Capital (“Denham”), a leading global energy-focused private equity firm, acting through its International Power Fund, is pleased to announce an initial commitment of $250 million to Ceiba Energy (“Ceiba”), owner, developer, and operator of Latin American power generation assets.
The partnership with Ceiba will reinforce Denham Capital’s position as a leading investor in renewable and natural gas-fired Latin American power generation assets. Ceiba Energy’s management team brings more than 80 years of combined experience in power generation and related energy infrastructure in Latin America and emerging markets to the partnership. The Ceiba team has led the development, acquisition, operations, financing, and re-financing of over 50 Latin American power projects.
Denham’s strong balance sheet will enable Ceiba to develop, build, and acquire multiple renewable and low-carbon projects across the region. Ceiba’s objective is to provide efficient and competitive power solutions in each chosen focus market while delivering strong returns to its shareholders.
Ceiba looks for countries with stable regulatory frameworks where its management team has deep local knowledge and previously owned assets. Ceiba’s target markets include Mexico, Colombia, Brazil, Chile, Panama, and Peru. The Company is committed to growth through a combination of targeted M&A and brownfield & greenfield development.
Saurabh Anand, Managing Director in Denham’s International Power Team, said: “This partnership with Ceiba Energy brings to Denham an unparalleled combination of Latin American power experience. Ceiba has exceptional local and cross-border relationships, strong ties with lenders, a substantial target pipeline, and a strong track record in execution. They share our vision for sustainable growth and value creation and will complement Denham’s strong investment track record in Latin America. With this newventure, we are poised to remain power sector leaders in the region.”
Emilio Vicens, CEO of Ceiba Energy, commented: “We are delighted that Denham has chosen to partner with us to develop and finance much needed power generation in growing Latin American markets. Denham’s capital resources, proven expertise, and established relationships throughout the global energy sector complement the Ceiba Energy team’s extensive background in power generation development, finance, and asset management. Together, we will be able to effectively leverage on our combined industry expertise, network of contacts, and financial strength.”
Notes to Editors
About Denham Capital
Denham Capital is a leading energy and resources-focused global private equity firm with more than $9.3 billion of invested and committed capital across nine fund vehicles and offices in London, Boston, Houston, São Paulo and Perth. The firm makes direct investments in the energy and resources sectors, including businesses involving international power, oil and gas, and mining, across the globe. Denham’s investment professionals apply deep operational and industry experience and work in partnership with management teams to achieve long-term investment objectives. For more information about Denham Capital, visit www.denhamcapital.com.
About Ceiba Energy
Founded in 2015, Ceiba Energy is an owner, developer, and operator of renewable, capacity-firming, and low-carbon power generation assets in Latin America. The Ceiba management team brings an in-depth understanding of Latin American power markets and assets. The team has more than 80 years of combined power generation and energy infrastructure experience in Latin America and emerging markets. Members of Ceiba Energy’s management team have been part of AEI, Enron, Union Fenosa, AES, First Solar, and Duke Energy. Ceiba’s management team was most recently a part of the senior executive team at AEI, a $10-billion revenue power/utility platform that became the largest private company in Houston in the space. AEI owned and operated energy assets across emerging markets, with 2.3GW of power plants, 7.4 million electricity and gas distribution customers, and an extensive network of gas transportation pipelines. While at AEI, aside from running the day-to-day operations, the Ceiba Energy team was directly responsible for the company’s three-fold growth and executed a divestiture strategy achieving significant returns for its shareholders. For more information about Ceiba Energy, visit www.ceibaenergy.com.
Melissa Hancock (on behalf of Denham Capital)
T: +44 (0)20 7979 7512