ACEN subscribes to additional shares of subsidiaries

AYALA-LED ACEN Corp. has subscribed to additional shares worth a combined total of about P12.87 billion in its six wholly owned subsidiaries to develop several renewable energy projects.

In separate disclosures on Thursday, the listed energy company has agreed to purchase shares in its units, namely: Giga Ace 6, Inc., Giga Ace 8, Inc., Santa Cruz Solar Energy, Inc., Sinocalan Solar Power Corp., SolarAce2 Energy Corp., and Gigasol1, Inc.

ACEN has subscribed to 799.48 million common A shares and 7.16 million redeemable preferred A shares in Giga Ace 6 for a total subscription price of P7.96 billion.

The subscription price will be used for the proposed development of a 335-megawatt (MW) onshore wind power project located in the provinces of Laguna and Quezon.

With Giga Ace 8, the company has signed a subscription contract for an additional 7.2 million common A shares, 64.8 million redeemable preferred A shares, and 16.8 million redeemable preferred C shares worth a total of P2.4 billion.

The additional investment will be used to fund the proposed 300.011-megawatt peak (MWp)/237-megawatt alternating current Palauig Solar 2 Project.

ACEN has also invested in Gigasol1 by subscribing to 2.4 million redeemable preferred shares for a total subscription price of P240 million.

It also inked a contract with SolarAce2 Energy to subscribe to 2.5 million redeemable preferred shares worth P250 million.

“The subscription price will be used by the SPV (special purpose vehicle) for development activities relating to renewable energy projects in the Philippines,” ACEN said in both disclosures.

With Santa Cruz Solar Energy, the company has signed a deal to subscribe to 13.05 million common A shares and 117.53 million redeemable preferred A shares worth P1.31 billion.

The additional investment will be used to fund continuing works for the construction of the San Marcelino Solar Energy Power Plant Project.

Lastly, to fund the development of the proposed 60-MWp solar power plant in San Manuel, Pangasinan, ACEN has subscribed to 70.8 million redeemable preferred A shares in Sinocalan Solar Power worth P708 million. 

The additional subscription to the subsidiaries will be issued out of the increase in their authorized capital stock, the company said.

ACEN President and Chief Executive Officer Eric T. Francia has said that the company might soon reach its renewables capacity target of 5,000 MW as ongoing projects reach completion.

“So it’s around the corner, getting to the 5,000-megawatt mark,” Mr. Francia previously said. “I cannot say if it’s end of the year, early next year but somewhere in that neighborhood.”

Currently, ACEN has approximately 4,430 MW of attributable capacity spanning the Philippines, Vietnam, Indonesia, India, and Australia.

On Thursday, ACEN shares jumped by P0.12 or 2.88% to close at P4.28 apiece. — Sheldeen Joy Talavera