Cathay Life Insurance Invests NT$27.32 Billion in Ørsted's Greater Changhua 4 Offshore Wind Farm　Setting the Largest Wind Energy Investment in Life Insurance Sector

Cathay Financial Holdings, through its subsidiary Cathay Life Insurance, announced today that it intends to invest in Ørsted's Greater Changhua 4 - North West Offshore Wind Farm via Cathay Wind Power and Cathay Power. The company has obtained approval from the Financial Supervisory Commission (FSC), with the transaction amount not exceeding NT$27.32 billion, marking the largest investment by the domestic life insurance sector in wind power to date.

Cathay Wind Power is 99% owned by Cathay Life Insurance, with Cathay Power holding the remaining 1%. The investment aims to acquire 50% of the common and preferred shares of Greater Changhua NW Holdings, as well as 50% of the shareholder loans in both reater Changhua NW Holdings and the Greater Changhua 4 Offshore Wind Farm.

Cathay Life Insurance and Cathay Power will contribute in proportion to their respective shareholdings, with a total investment not exceeding NT$27.32 billion, the investors will fund future capital requirements of the Greater Changhua Northwest project based on their shareholding ratios.

Cathay Life Insurance stated that the investment will generate long-term stable returns, aligning with the capital deployment objectives of the insurance industry. The funding will come from both internal resources and bank financing.

On October 22, Cathay Life Insurance received approval from the FSC's (Financial Supervision Commission) Insurance Bureau for this investment. The next step involves signing key agreements. The equity transfer will take place once all conditions precedent are satisfied.

Reference: Liberty Times