ACEN Corp., the renewable energy (RE) arm of Ayala Corp., announced Monday that it has signed nearly 4.5 billion pesos worth of solar power contracts.
In a regulatory filing, ACEN announced that it has entered into a subscription agreement with wholly owned subsidiary Giga Ace 8 Inc. for ACEN’s subscription of 12,296,920 Common A Shares; 110,694,854 Redeemable Preferred Stock A (RPS A); and 28,698,665 Redeemable C Preferred Stock.
The total price for this transaction is P4.1 billion.
“The subscription will be used by Giga Ace 8 to fund the proposed 300,011 MWp/237 MW AC Palauig Solar 2 project – including transmission for 1200 MWac,” reads the disclosure.
Giga Ace 8 is a subsidiary of ACEN.
In a separate disclosure, ACEN announced that it acquired 60.44 percent of Sinocalan Solar Power Corp. (SPPC) for 362.2 million pesos. ACEN announced that it has entered into an absolute share sale agreement with Sungrow Power Renewables Corp. (SPRC) to acquire its 4,400 Class A common shares from SSPC.
Another deed of absolute sale of shares was signed with Havilah AAA Holdings Corp. to acquire its 600 Class B common shares from SSPC.
ACEN has also signed a warrant assignment instrument with Havilah for the purchase of rights to 6,000 Class B common shares and a subscription agreement with SSPC for an additional 600,000 RPS B shares.
The subscription of 600,000 RPS B is subject to the necessary Securities and Exchange Commission (SEC) regulatory approvals for an increase in SSPC’s authorized common stock.
“The acquisition will allow ACEN to have a significant stake in SSPC and is expected to implement the development of the 60 MWp solar power plant in San Manuel, Pangasinan,” the disclosure reads.
Additionally, ACEN said that pursuant to its November 29 share purchase agreement, it will acquire warrants to 400,000 RPS-A shares from the increase in SSPC’s authorized share capital once certain conditions precedent are met.
“Following the acquisition of the 400,000 RPS-A shares, the Company will own 100 percent of SSPC,” the disclosure reads.
ACEN is the publicly traded energy platform of the Ayala Group. It has around 4,000 MW of attributable capacity in the Philippines, Vietnam, Indonesia, India and Australia, with a renewable energy share of 87 percent, among the highest in the region.
The company’s goal is to become the largest publicly traded renewable energy platform in Southeast Asia, aiming to reach 20,000 MW of renewable energy capacity by 2030.