Vietnamese law firm YKVN has advised the Asean Infrastructure Fund, a Japanese-sponsored Southeast Asian energy-focused fund, on the restructuring of Trung Nam Krong No Hydroelectric Corporation.
The Aseanb Infrastructure Fund held a 40% stake in the company through an initial investment in 2018 and a joint venture with Vietnamese renewable energy developer Trung Nam Group, the firm said.
Under the restructuring, Trung Nam Krong No Hydroelectric Corporation will become a wholly owned subsidiary of Trung Nam Group.
Managing partner Truong Nhat Quang led the YKVN team, with support from senior associate Lanh Dang Thu Nga.
“YKVN advised on the regulatory workstreams involved in unwinding the fund’s position and consolidating Trung Nam Group’s ownership, including co-ordination with Vietnamese regulatory authorities and project lenders, and resolution of post-closing foreign exchange and investment regulatory matters arising from the restructuring,” Truong told Asia Business Law Journal.
Truong said one of the notable challenges involved co-ordinating with numerous stakeholders.
“The transaction facilitated the complete exit of an international infrastructure fund from a Vietnamese hydropower joint venture, while enabling Trung Nam Group to consolidate full ownership of the project company,” he said.
“It required co-ordinating multiple stakeholders simultaneously (the departing foreign investor, the Vietnamese project lenders and local regulatory authorities).”
YKVN said Trung Nam Krong No Hydroelectric Corporation owns and operates two hydroelectric power plants in Vietnam’s Dak Lak and Lam Dong provinces.
