Globeleq completes disposal of shares in St. Lucia Electricity Services Ltd

HOUSTON, 1 July 2004 – Globeleq, the emerging markets power company, announced today that it recently completed the sale of the approximately 45 percent of the issued ordinary shares in St. Lucia Electricity Services Ltd. (Lucelec) that it had managed for its shareholder, CDC Group plc of the United Kingdom.

The shares were sold in three transactions. Twenty percent of the shares Lucelec shares were sold in a private transaction in early 2004. A second transaction, also for 20 percent, was concluded earlier in June with First Citizens Bank Limited of Trinidad and Tobago. The sale of the final 4.6 percent of the shares of Lucelec was executed earlier this week through the Eastern Caribbean Stock Exchange (ECSE) at EC$13.90 (US$5.21) per share.

“Our efforts and resources are focused on operating the power companies in which we have the majority of the shares or management responsibility and expanding our regional businesses in Africa, the Americas and Asia,” said Robert Hart, CEO of Globeleq. “Lucelec is a well-run company but did not fit our strategy of achieving majority ownership of the assets in which we invest.”

Arun Sen, Globeleq Executive Vice President for the Americas, added, “Our decision to divest CDC’s position in Lucelec was motivated by our desire to comply with changes in the electricity law of St. Lucia that limit a single investor to ownership of 20 percent of the shares in Lucelec.”

Further details of the transactions were not released.

With new investments totalling US$385 million, Globeleq is the fastest growing power company in the emerging markets of Africa, the Americas and Asia. Since 2002 the company has acquired more than 2,000 megawatts (MW) of generation capacity, reaching a total of 2,400 net equity MW in 19 projects in 14 countries. The company is actively pursuing acquisitions, seeking to more than double its operating capacity with additional investment of US$700 million.