ACEN clinches P10-B term loan facility


ACEN Corporation continues its renewable energy expansion venture after securing a PHP 10 billion term loan facility from various local banks, mainly allocated for general corporate purposes and funding projects across the country. 

With the aim of continue growing its RE portfolio, the company stated in a recent stock exchange filing that it intends to allocate  PHP 50 billion to PHP 70 billion for capital expenditures. 

The energy company earlier mentioned eyeing to secure a PHP 30 billion loan to support this venture.

Last March, the company’s board approved the procurement of additional omnibus credit lines amounting to PHP 7.5 billion and an additional PHP 23 billion in term loan facilities.

Meanwhile in May last year, it availed approximately PHP 5 billion of credit facilities with China Banking Corp. and an estimated $50 million omnibus credit lines with Mitsubishi UFJ Financial Group.

By 2025 or earlier, ACEN targets to attain its goal of five GW capacity of renewables. 

In lieu of ACEN venturing into pioneering the peso-denominated fixed-for-life equity instrument in the Philippines, it said it will issue 25 million preferred shares at PHP 1,000 each, representing the first tranche of its three-year shelf registration of up to 50 million preferred shares.

Bearing an initial dividend rate of 7.1330 percent per annum, the Series A preferred shares have a dividend rate resetting five years after their issue date.

On the other hand, the Series B preferred shares will be the first-ever Philippine peso-denominated fixed-for-life equity instrument once issued.

Currently with a 98 percent renewable share and about 4,400 megawatts of attributable capacity across owned facilities in Australia, Vietnam, Indonesia, India, and the Philippines, ACEN aims to be the largest renewables platform in Southeast Asia with a 20 gigawatts capacity of RE by 2030.