ACEN to infuse Php 271M more for Cagayan solar project

Ayala-led ACEN Corporation is injecting Php 271.48 million through a subscription of shares into a special-purpose vehicle that will develop a solar project in Cagayan. 

In a disclosure to the Philippine Stock Exchange (PSE) on Monday said that it signed a subscription agreement with Natures Renewable Energy Devt. Corp. (NAREDCO) for the subscription of 99,750 redeemable preferred shares (RPS). 

The shares include 57,750 RPS A with a par value with a value of Php 2,820.51 per share and 42,000 RPS C at Php 2,585.55 per share.

The Ayala company said that the investment would be used to fund the first phase of development of the 133 megawatt megawatt-dc (MWdc) Cagayan North Solar Power Plant project in Lal-lo, Cagayan. 

Commercial operations of the solar project is slated for 2024. 

ACEN further stressed that the full payment of the subscription price is subject to the regulatory approval of the Securities and Exchange Commission (SEC) on the increase in authorized capital stock of NAREDCO.

Back in August, ACEN also subscribed to 475,000 worth of RPS A and RPS C of NAREDCO worth Php 1.29 billion, The proceeds will also be used for the solar power project. 

NAREDCO is the special-purpose vehicle for the Cagayan North Solar Power Project, a joint venture project of ACEN and Cleantech Renewable Energy 4 Co. 

ACEN recently divested from the South Luzon Thermal Energy Corp. (SLTEC), its remaining coal-fired power plant through an energy transition mechanism. 

ACEN is looking to expand its renewables capacity to 20 gigawatts by 2030. The Ayala company is eyeing to achieve a 5,000 MW all-renewable energy portfolio by 2025. 

The company currently has 4000 MW in attributable capacity across the Philippines, Vietnam, Indonesia, India, and Australia.