The trustee-manager intends to fund the purchase consideration with a combination of internal sources and/or external borrowings.
Keppel Infrastructure Trust’s (KIT) trustee-manager has agreed to acquire Keppel Core Infrastructure Fund’s (KCIF) 39% stake in Keppel Merlimau Cogen Plant (KMC) for up to approximately $128.1 million. Post-transaction, KIT will hold 90% of KMC, with the remaining 10% retained by Keppel’s Infrastructure Division.
The acquisition is expected to be accretive to KIT's unitholders on a pro forma basis. If the proposed acquisition had been completed on Jan 1, 2025, and KIT held the interests acquired through to Dec 31, 2025, the distribution per unit (DPU) would have increased to 4.18 cents, representing a 6% uplift over the actual DPU of 3.94 cents for FY2025.
