AC Energy takes over SPCLC

MANILA, Philippines — AC Energy Corp., formerly AC Energy Philippines Inc., has partnered with Solar Philippines by taking over the latter’s subsidiary to develop and operate solar plants in Central Luzon.

In a disclosure to the Philippine Stock Exchange yesterday, AC Energy Corp. said it signed a deed of absolute sale of shares with Solar Philippines Power Project Holdings Inc. to acquire 97.6 percent of Solar Philippines Central Luzon Corp. (SPCLC).

Under the deal, which was signed last Jan. 22, AC Energy acquired 244,000 common shares at P1 apiece or P244,000.

SPCLC is a special purpose vehicle for the development and operation of solar power projects.

AC Energy said the acquisition would allow it to have a significant ownership interest in SPCLC and is meant to implement the joint venture between the two parties for the development of solar power projects in the Philippines, which was also approved in a company board meeting.

“AC Energy is keen to enable other developers to accelerate the scaling up of renewables in the country. We look forward to working with Solar Philippines to help build a sustainable future,” AC Energy president and CEO Eric Francia said in a text message.

The acquisition will also allow AC Energy the opportunity to earn stable dividend income from the operations of the solar power projects.

With the takeover, the Ayala firm also granted authority to SPCLC to participate in biddings for electricity supply.

Earlier, Solar Philippines said it would construct over one gigawatt (GW) of solar projects in the provinces of Batangas, Cavite, Nueva Ecija, and Tarlac.

The company declined to provide details per location, but based on data from the Department of Energy (DOE), Solar Philippines said the projects would include the first, second, and third largest solar projects in the Philippines as of date.

To realize the projects, Solar Philippines said it was bringing in partners and professionals in line with its new strategic direction and to fuel its expansion plans.

Before the acquisition of the Ayala group, Solar Philippines welcomed Korea Electric Power Corp. (Kepco) as a partner in its 63-megawatt (MW) solar farm in Batangas, Kepco’s first renewable energy project in Southeast Asia.

It also partnered with the Razon Group’s Prime Infra last June to develop a pipeline of projects in Tarlac, representing the largest solar joint venture established in the country.

Meanwhile, AC Energy is the energy platform of Ayala Corp. and is one of the fastest growing energy companies with over $1 billion of invested and committed equity in renewable and thermal energy in the Philippines and around the region.

The company aims to exceed five gigawatts of attributable capacity with projects here and abroad and generate at least 50 percent of energy from renewables by 2025.