Wealth funds look at power firm IPO

BEIJING - China Investment Corp (CIC) and Temasek Holdings Pte are among key investors who plan to buy a combined $415 million of shares in Huaneng Renewables Corp's initial public offering, according to two people with knowledge of the matter.

CIC, the Chinese sovereign wealth fund, has agreed to subscribe for $60 million of shares, while Temasek, Singapore's state investment company, plans to invest $50 million, said the people, who declined to be identified as the process is private. The funds are among 13 so-called "cornerstone" investors that include General Electric Co, the people said.

The wind-power unit of China Huaneng Group Corp, China's biggest electricity producer, is seeking to raise as much as HK$7.4 billion ($950 million), offering about 2.5 billion shares at between HK$2.28 and HK$2.98 each, the people said. They added that the company aims to start trading on June 10.