ACEN bolsters Palauig project via P8.7-B subsidiary subscription
AYALA-LED ACEN Corp. has subscribed to additional shares in its subsidiary Giga Ace 8, Inc. worth P8.7 billion to fund a proposed 300-megawatt (MW) solar project in Palauig, Zambales.
“The subscription will provide additional funding for the proposed 300.011 MW-peak/237 MW AC Palauig Solar 2 Project,” ACEN said in a statement on Thursday.
The subscription involves 26.09 million common A shares, 234.89 million redeemable preferred A shares, and 60.9 million redeemable preferred C shares.
Giga Ace 8 is a special purpose vehicle (SPV) for developing renewable energy projects in the Philippines.
An initial payment of P2.17 billion has been made by ACEN. Full payment is pending the necessary approvals from the Securities and Exchange Commission to increase the SPV’s authorized capital stock.
The 300-MW Palauig Solar project has an estimated cost of P16 billion, which includes the construction of a 1,200 MW transmission line.
This project is near ACEN’s existing 63 MW Palauig 1 Solar project, which began supplying energy to the Luzon grid in 2021.
“With Palauig 2 Solar being a crucial addition to ACEN’s renewable energy expansion, the company aims to be a top partner in energy security in the Philippines, harnessing renewable energy resources to help achieve a 35% renewable energy share in the power generation mix by 2030,” ACEN stated in January last year.
Currently, ACEN has approximately 4,700 MW of attributable capacity across the Philippines, Vietnam, Indonesia, India, and Australia.
On Thursday, ACEN shares rose by P0.13 or 2.83%, closing at P4.72 each on the stock exchange. — Sheldeen Joy Talavera