A consortium of co-investors led by ACON Latin America Opportunities Fund (ALAOF) unveiled plans to invest in Hidrotenencias, a Mexico based hydro power project developer.
The investment will allow the consortium to acquire a controlling stake in the company.
The consortium includes the Netherlands Development finance company and Societe de Promotion et de Participation pour la Cooperation Economique.
Financial terms of the deal were not disclosed.
Currently, Hidrotenencias owns three run-of-the-river hydroelectric projects, with a total capacity of 30MW, located in the Chiriqui province, western Panama.
Hidrotenencias president Alejandro Hanono said the partnership with ACON opens an array of opportunities for Hidrotenencias by providing additional capital and experience to expand the portfolio of renewable energy assets throughout the region.
"As a committed long-term investor with 16 years of experience investing in Latin America, we believe ACON is an ideal partner as we continue in our path of profitable growth," said Hanono.