Statkraft has agreed to buy a majority stake in Empresa Eléctrica Pilmaiquén S.A., owner and operator of the 52.5MW Rucatayo hydropower plant in Chile.
The agreement initially includes the purchase of 70.47% of the shares and triggers a mandatory offer to all shareholders. Completion of the transaction requires fulfilment of certain conditions, including Statkraft acquiring a minimum of 75% of the shares.
As well as the Rucatayo project, Pilmaiquén also holds water rights for three other hydropower projects, with two projects - 54.3MW Osorno and 50.8MW Los Lagos - ready for construction.
"This acquisition strengthens Statkraft's position in Chile and expands our project portfolio for further growth within international hydropower," said EVP International Hydropower, Øistein Andresen.
Through SN Power, Statkraft has been active in Chile since 2004 with its 50% owned Tinguiririca Energia Joint Venture together with Pacific Hydro. In June 2014, SN Power's assets in Chile were operationally integrated into Statkraft.
