AC Energy invests P1.8B in Laguna solar project
Credit to Author: Jordeene B. Lagare| Date: Tue, 14 Jan 2020 14:00:37 +0000
AC Energy Philippines Inc. is investing P1.86 billion in a 120-megawatt (MW) solar power farm in Alaminos town, Laguna province.
In a disclosure on Tuesday, AC Energy said it had signed a subscription agreement with SolarAce1 Energy Corp., which would develop the farm.
Under the deal, the Ayala-led energy firm would subscribe 6,000,000 Class A common shares and 180,000,000 Class A redeemable preferred shares.
SolarAce 1 is a wholly owned subsidiary of Gigasol2 Inc., in turn a unit of AC Energy Development Inc., one of the entities acquired by the listed firm in a property-for-share swap, pending regulatory approvals.
In terms of payment, AC Energy shall fully pay for the common shares and 35 percent for the redeemable preferred shares amounting to P699,963,160.36, the balance of which should be paid in full within the year.
The project is part of AC Energy’s plan to double its power capacity by next year. To achieve this, it would build 550-MW power facilities in the country, with focus on renewable energy and peaking plants, or facilities that operate when there is high electricity demand.
Other projects in the pipeline are the 330-MW diesel power plant in Rizal province and another 60-MW solar facility in Palauig town, Zambales province.
AC Energy President and Chief Executive Officer Eric Francia said last year his company expected to begin building these plants in 2020.
AC Energy shares dropped by 5 centavos or 2.13 percent to close at P2.30 each on Tuesday.