(UPDATED) Stockholders of AC Energy Corporation (ACEN) have formally approved the infusion of Php85.9 billion worth of foreign assets into the Ayalas’ power arm.
The approval of the was officially confirmed by ACEN director and corporate secretary Solomon Hermosura during the company’s annual stockholders meeting on Monday based on the voting result of its majority shareholders.
The foreign capital infusion will be done via a property-for-share swap between ACEN and parent firm AC Energy and Infrastructure Corporation (ACEIC).
Under the deal, ACEN will issue around 16.7 billion shares to ACEIC at Php5.15 apiece in exchange for property consisting of 100% of ACEIC’s shares in AC Energy International Inc. This will cover 1,400 megawatts (MW) of projects in Australia, India, Indonesia, and Vietnam. ACEN’s board had approved the move last month.
The share-swap is part of the firm’s five-step corporate restructuring plan with the goal of becoming the largest renewable energy-listed firm in Southeast Asia.
ACEN said once the target asset infusion is completed, its attributable capacity will already go up to 2,400MW, of which 1,800MW or 77% account for renewable energy resources.
AC Energy President and CEO Eric Francia said this will put the firm in an excellent position to attain its vision of reaching 5,000MW in renewable capacity by 2025.
Also approved were the Php11.88 private placement of Singaporean sovereign fund GIC Private Ltd. and the issuance of 1.58 billion primary common shares for the company’s follow-on offering. The shares would be sold between Php6.00 and Php8.20 apiece.
“Our strong balance sheet is complemented by a robust pipeline of renewable projects, and our highly capable and motivated team places AC Energy in an excellent position to play a meaningful role in the green-led recovery,” Francia said.
ACEN Chairman Fernando Zobel de Ayala, for his part, said that despite last year’s economic slowdown, the company still managed to allocate Php10 billion in capital expenditures to support new project developments, which generated roughly 3,000 jobs for Filipinos.
The projects include the 120MW solar farm with 40 megawatt-hours (MWh) battery storage projects in Alaminos, Laguna; the 60MW Palauig solar facility in Zambales; the 150MW diesel peaking plant in Pilila, Rizal; and the renewable energy laboratory in Mariveles, Bataan.