KKR has agreed to acquire about 11.9% of shares in the Philippines’ listed power producer First Gen Corp for US$192.2m (€172m).

KKR’s Singapore-based Valorous Asia Holdings is buying the common shares on 1 July, via a voluntary tender process, from the Lopez family, one of the longest-established conglomerates in the Philippines, and the ultimate owner of First Gen.

KKR is making the investment from its Asia-Pacific infrastructure strategy.

First Gen has 3,492MW of installed capacity in its portfolio. It generates power through renewable energy and indigenous fuel sources.

David Luboff, partner and head of Asia Pacific Infrastructure at KKR, said: “This is an exciting further milestone for KKR’s Asia-Pacific infrastructure business.”

Federico Lopez, chairman and chief executive officer of First Gen, said KKR’s investment would facilitate the company’s strategic shift towards clean energy.

“It’s especially exciting given the accelerating transition we all need to make toward a decarbonised future, and we look forward to engaging with a world-class global investor, such as KKR, as we navigate the journey ahead as partners,” he said.

Michael de Guzman, a managing director on KKR’s Infrastructure team, said KKR had now invested more than US$1bn in the Philippines and continued to look for new opportunities to support the country’s growth trajectory.

KKR’s other interests in the Philippines include Metro Pacific Hospitals and technology firm Voyager Innovations.