Macquarie International Infrastructure Fund Limited (MIIF) announced on June 17th that it has agreed to sell its 100 per cent interest in Miaoli Wind for cash consideration of NT$2.25 million (US$74).

The divestment to Challenger Emerging Market Infrastructure Fund Pte Ltd (EMIF) was negotiated on an arm's length commercial basis and is subject to closing conditions, including regulatory approval. Following the divestment, there will be no further liability or obligation to MIIF in relation to Miaoli Wind. EMIF is managed by Challenger MBK Fund Management Pte Limited, a fund management company incorporated in Singapore.

MIIF has valued Miaoli Wind at zero since 31 December 2009 because wind speeds have been significantly lower than forecasted at acquisition. MIIF's forecast was revised to the average actual historic generation which had the commensurate impact of reducing the valuation of the business.

Miaoli Wind owns and operates 25 wind turbines, with a combined capacity of 49.8MW, at two sites in Miaoli County, Taiwan. Miaoli Wind generates revenue by selling its entire energy production to Taipower under two 15 year fixed tariff PPA (one agreement per wind farm site) with an option to extend each PPA for an additional five years.

During last financial year, Miaoli Wind posted a 11% decline in revenues and a 17 % decrease of EBITDA.

Source: MIIF