To jointly form RMB 2 billion equity JV & a target size RMB 7 billion green infrastructure fund to invest in renewable energy

13 March 2024, Taipei, Taiwan – Hon Hai Technology Group (“Foxconn”) (TWSE:2317), the world’s largest electronics manufacturer and service provider, announced today that it has signed an agreement with Albamen Capital Partners (“Albamen”), a private equity infrastructure investment manager, to form a renewable energy joint venture investment platform and a target size RMB 7 billion green infrastructure fund, aimed at accelerating Foxconn’s supply chain toward its net zero goals. 

The JV investment platform will have a total equity capital of RMB 2 billion and aims to acquire operating renewable energy and related infrastructure assets across China, with the ultimate goal of generating 2 terawatt-hours (TWh) of renewable energy every year.

The two parties also plan to form a green infrastructure fund with a target size of RMB 7 billion to invest in a portfolio of renewable energy development projects such as solar power, wind power, energy storage and related infrastructure. Once fully invested and operational, the portfolio will generate circa 6 TWh of renewable energy per year. By tapping the green infrastructure fund, Foxconn’s upstream supply chain will have a pathway to clean energy.

Facing the urgent challenges of global climate change and energy sustainability, Foxconn deeply understands the key role it plays in achieving net-zero goals in the global technology industry supply chain. The Group has pledged to achieve net-zero emissions in the value chain by 2050, a move that has been welcomed by institutional investors and stewardship providers engaging with the company through the Climate Action 100+ initiative. Foxconn’s near-term emission reduction pathway has been validated under the Science Based Target initiative (SBTi). By the end of last year, Foxconn’s renewable energy ratio exceeded 40%.

Strengthening its self-sufficiency in renewable energy like self-built solar power, expanding renewable energy procurement, and investing heavily in renewable energy, underline Foxconn’s commitment to achieving sustainable energy goals, promoting low-carbon production and operation processes, and providing a clear path to achieve its net-zero goals.

About Albamen

Albamen (www.albamencapital.com) is a private equity infrastructure investment manager with a focus on renewable energy, digital infrastructure and other power-intensive infrastructure assets in Asia. Its cycle-tested senior management team boasts more than two decades of international experience across asset operations, investment, finance, banking, governance and risk management. Albamen is one of the few investment managers with a full-lifecycle private equity investment track record in investing in Chinese renewable energy.

The Albamen senior management team has equity investment experience in over 30+ infrastructure investments spanning Asia, Australasia and Europe, including 1GW wind and solar power projects in China. Through hands-on involvement in optimizing project and engineering design, construction, operations and the capital structure of portfolio companies, together with a focus on compliance, the Albamen team was able to deliver above targeted dividends and capital gains to its investors.

Albamen is headquartered in Hong Kong and has offices in Shenzhen and Guangzhou. As at end of February 2024, Albamen has circa USD1.2 billion Assets under Advisement.  

About Foxconn

Established in 1974 in Taiwan, Hon Hai Technology Group (“Foxconn”) (TWSE:2317) is the world’s largest electronics manufacturer and leading technological solutions provider, ranking in the top 30 among the Fortune Global 500. In 2022, revenue totaled TWD6.62 trillion (approx. USD222 billion or EUR200 billion). The Group’s market share in electronics manufacturing services (EMS) exceeds 40% and covers four major product segments: smart consumer electronics; cloud and networking; computing; and components and others. The Group operates 205 campuses across 24 countries and is one of the world’s largest employers with over a million employees during peak manufacturing season. The Group has expanded its capabilities into the development of electric vehicles, digital health, and robotics, and three key technologies – next-generation communications technology, AI, and semiconductors – which are key to driving its long-term growth strategy. It is dedicated to championing environmental sustainability in the manufacturing process and serving as a best-practices model for global enterprises.

To learn more, visit www.honhai.com