Ayala-led ACEN Corporation is set to increase its subscription of shares in Natures Renewable Energy Development Corporation (NAREDCO) by Php 211.49 million. These funds will be allocated towards the development of a 133 MW solar plant project in the province of Cagayan.
In a disclosure to the Philippine Stock Exchange, ACEN said that the subscription agreement with NAREDCO amounted to Php 126.89 million, with a value of Php 2,820.51 per share for 44,990 redeemable preferred shares A, and Php 84.60 million, with a value of Php 2,585.55 per share for 32,720 redeemable preferred shares C.
The energy firm announced that the subscription agreement with NAREDCO will contribute to the funding of the first-phase development of the 133-MW-direct-current Cagayan North Solar Power Project.
This project is a joint venture between ACEN and Cleantech Renewable Energy 4 Corporation where NAREDCO is a special-purpose vehicle.
The business deal is currently awaiting approval from the Securities and Exchange Commission (SEC) for the proposed increase in NAREDCO’s authorized capital stock.
ACEN also entered into an agreement to acquire 255,690 common shares and 2.30 million class A redeemable preferred shares of its subsidiary, Pagudpud Wind Power Corporation (PWPC), for a total amount of Php 255.69 million.
The funds from the subscription will be utilized for the development of the Pagudpud wind project, which is set to be constructed in Balaoi and Caunayan, Pagudpud, Ilocos Norte, with a capacity of 160 MW.