GIC invests in e-platform, Japan’s renewable energy

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Singapore’s sovereign wealth fund GIC announced two investments yesterday.

One is an investment in Japan Renewable Energy Corporation (JRE), which marks GIC’s first entry into Japan’s infrastructure and renewable energy sector.

A GIC affiliate has now become a corporate partner in JRE’s parent, GS Renewable Holdings GK.

JRE, founded in August 2012, develops, constructs and operates renewable energy power plants. These include solar, wind and biomass energy power plants located across Japan.

JRE currently operates 34 power plants with a total capacity of approximately 210MW, while new plants with around 170MW in capacity are under construction.

JRE chief executive Kazuhiro Takeuchi said the company will use GIC’s investment as an opportunity to accelerate expansion of its business and become the industry leader.

Mr Ang Eng Seng, GIC’s chief investment officer of infrastructure, said JRE is a leading diversified independent power producer in Japan’s renewable energy sector. “We look forward to supporting the company’s growth plan alongside our partner Goldman Sachs to generate stable and sustainable returns.”

Yesterday, GIC also announced that it had invested in e-platform Meituan-Dianping, which has raised US$4 billion (S$5.4 billion) in its latest financing round led by existing investor Tencent.

GIC participated along with new investor The Priceline Group, as well as other existing investors such as Sequoia Capital, Canada Pension Plan Investment Board, Trustbridge Partners, Coatue Management, IDG Capital, Tiger Global Management and China-UAE Investment Cooperation Fund.

Meituan-Dianping will use the funds to strengthen its core business groups and enable continued investment in artificial intelligence-based technology and innovation.

The one-stop services e-platform connects 280 million annual active consumers to more than five million annual active local merchants across a wide range of services and products.

Mr Choo Yong Cheen, GIC’s chief investment officer of private equity, said: “GIC believes Meituan-Dianping will continue to transform China’s local services industry and bring convenience to a large, growing consumer base. We are an existing investor of Meituan-Dianping and our investment will now support the company in expanding its leadership position.”

He added that GIC aims to forge relationships with the best technology players and engage firms from the start-up phase to post-initial public offering.