EGCO closes deal to sell shares in Ban Pong-Khlong Luang power plant, receiving 2.77 billion baht to fund new investments.

EGCO has closed a deal to sell a 49% stake in the Ban Pong and Khlong Luang power plants to J-POWER, receiving 2,765 million baht. This move follows EGCO's strategy of rotating assets to enhance liquidity and financial flexibility. EGCO retains a 51% stake and will continue to manage the two power plants. The proceeds will be used to fund new projects and support its 30 billion baht investment budget.

On September 10, 2569, Mr. Thawatchai Samranvanich, President and CEO of Electricity Generating Public Company Limited (EGCO), revealed that the company had successfully closed a deal to sell its 49% stake in Ban Pong Utility Company Limited (BPU) and Khlong Luang Utility Company Limited (KLU) to J-Power Holdings (Thailand) Company Limited or J-POWER, receiving approximately 2,765 million baht in cash from the transaction.

The sale of these shares is part of a strategic asset recycling strategy under the "POWER4" framework, aimed at enhancing portfolio management efficiency, improving financial flexibility, and increasing capital allocation capabilities towards new projects with the potential for higher returns.

Following the completion of the share transfer and payment on September 10, 2026, EGCO continues to hold a 51% stake in BPU and KLU. As a result, both companies remain subsidiaries of EGCO, and the company continues to manage the two power plants, recognizing profits and cash flow from these assets.

BPU operates a combined cycle power plant project with an installed capacity of 256 megawatts, while KLU has an installed capacity of 122 megawatts. Both power plants have long-term 25-year power purchase agreements with the Electricity Generating Authority of Thailand (EGAT), as well as contracts to sell electricity and steam to industrial customers in the area.

Mr. Thawatchai stated that the funds raised from the share sale will strengthen the company's capital base and enhance its readiness for new investments. EGCO has an investment budget of approximately 30,000 billion baht to seek opportunities from the country's power generation development plan for 2026 (PDP 2569), direct power purchase agreements (Direct PPA) projects, battery energy storage systems (BESS), as well as expanding its natural gas and renewable energy power plant businesses abroad, particularly in the United States.

EGCO will continue to restructure and optimize its investment portfolio while maintaining financial discipline in order to generate long-term returns and value for shareholders.

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