Peru power platform sale: Actis’ stunning $500M exit

Actis Announces Peru power platform sale: Actis’ stunning $500M exit

Global sustainable infrastructure investor Actis has finalized the sale of Orygen, a major 2.3 GW power generation platform in Peru, to InfraCorp, the infrastructure division of the esteemed Peruvian conglomerate Grupo Romero. This transaction marks a significant milestone in the nation’s energy landscape, transferring ownership of the country’s second-largest power producer.

A Diversified Portfolio Driving Peru’s Energy Transition

Under Actis’s ownership, Orygen was developed into a formidable energy leader, distinguished by a strategically balanced asset portfolio. The platform’s 2.3 GW capacity is heavily weighted towards clean energy, with renewables comprising 62% of the total mix. This includes a substantial 34% from hydropower and a further 28% from wind and solar installations, cementing Orygen’s status as Peru’s foremost renewables platform. The remaining 38% of the portfolio consists of highly efficient thermal gas assets, which provide crucial flexibility and reliability to the national grid, complementing the intermittent nature of renewable sources.

Value Creation and Investor Confidence

Actis’s strategy of identifying and scaling high-quality assets was executed in less than two years, culminating in this successful exit. A key indicator of the platform’s strength under Actis’s management was the issuance of a US$1.2 billion investment-grade bond in September 2024. This 10-year bond was the largest single-tranche private corporate bond in Peru’s history at the time, signaling robust market confidence in Orygen’s operational and financial stability. Nicolas Escallon, Managing Director of Energy Infrastructure at Actis, noted that the firm’s success stems from its ability to recognize promising assets, cultivate them into market leaders, and generate significant value for investors.

Actis’s Enduring Commitment to Global Energy

This sale aligns with Actis’s extensive history in the global energy sector, where the firm has invested US$11 billion and currently manages US$8.5 billion in assets, having overseen the development of approximately 42 GW of power capacity worldwide. Actis continues to view Latin America as a prime region for sustainable infrastructure investment, citing strong energy demand and favorable market dynamics. The successful divestment of Orygen reinforces Actis’s reputation as a pivotal force in advancing energy systems across the region and the globe.

Sources

1. [PDF] Quarterly Investment Review | SDCERA
2. Actis (Infrastructure) | Asset manager – IPE Reference Hub
3. [PDF] Private Investing in the Power Sector in Emerging Markets
4. [PDF] Infrastructure Investment Managements
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