Huaneng Power International, Inc. (SEHK:902) entered into an interest transfer agreement to acquire 75% Stake in Huaneng Wuhan Power Generation Co., Ltd. and 91.8% Stake in Huaneng Hainan Power Inc. and 53.45% Stake in Huaneng Suzhou Thermal Power Co., Ltd and 97% Stake in Enshi Qingjiang Dalongtan Hydropower Development Co., Ltd. and 100% Stake in Huaneng Hualiangting Hydropower Co., Ltd. from China Huaneng Group for CNY 7 billion in cash on October 13, 2014. Consideration will be paid in three stage according to the ratios of 50%, 20% and 30%, of which the first payment shall be payable within 5 working days after completion, the second payment shall be payable within 3 months from completion and the third payment shall be payable within 6 months from completion. The transaction will funded with own funds of Huaneng Power International.

Huaneng Wuhan Power Generation Co., Ltd., Enshi Qingjiang Dalongtan Hydropower Development Co., Ltd, Huaneng Hualiangting Hydropower Co., Ltd., Huaneng Hainan Power Inc., Huaneng Suzhou Thermal Power Co., Ltd. reported a net profit of CNY 2 billion and total asset of CNY 16 billion at the year ended December 31, 2013. Board of Directors of Huaneng Power International, Inc. approved the transaction. A meeting of shareholders of Huaneng Power International will be held on November 28, 2014.

The transaction is subject to regulatory, shareholder and third party approval. The Independent Board Committee of Huaneng Power International will advise the independent shareholders in respect of the transaction. As on November 28, 2014, the transaction was approved by shareholders of Huaneng Power International. The transaction is expected to complete by January 1, 2015. Guotai Junan Capital Limited acted as financial advisor to Huaneng Power International, Inc. Haiwen & Partners and Tom Chau, Sherry Lai, Lawrence Wang and Isaac Chen of Herbert Smith Freehills acted as legal advisor for Huaneng Power International. China International Capital Corporation Limited acted as financial advisor for Huaneng Power International.

Huaneng Power International, Inc. (SEHK:902) completed the acquisition of 75% Stake in Huaneng Wuhan Power Generation Co., Ltd. and 91.8% Stake in Huaneng Hainan Power Inc. and 53.45% Stake in Huaneng Suzhou Thermal Power Co., Ltd and 97% Stake in Enshi Qingjiang Dalongtan Hydropower Development Co., Ltd. and 100% Stake in Huaneng Hualiangting Hydropower Co., Ltd. from China Huaneng Group on January 8, 2015.