Aboitiz Power Corporation announced its planned acquisition of a 25% stake in Van Phong Power Company Ltd. (VPCL) for $220 million, marking the company’s first major investment outside the Philippines. The stake was purchased from Japan’s Sumitomo Corporation.

“This investment is in parallel with our renewable investment program and is aligned with our aspiration to ensure a balanced long-term energy transition, contributing to reliable and affordable energy systems,” AboitizPower said in a press release.

Based in Vietnam, VPCL owns and operates the Van Phong 1 Power Plant, a 1,320-megawatt high-efficiency, low-emission (HELE) coal facility located in Khánh Hòa province. The plant began commercial operations in January 2024 and operates under a 25-year power purchase agreement (PPA) with Vietnam Electricity (EVN), the country’s national utility.

Designed to generate around 8.5 billion kilowatt-hours (kWh) annually—equivalent to roughly 4% of Vietnam’s total power output—the Van Phong 1 Power Plant is the largest foreign-invested power project within the Van Phong Special Economic Zone.