ACEN CORP. is investing P1.15 billion in a unit developing a solar farm in Zambales, supporting the development of a project that forms a part of its renewable energy expansion pipeline.
ACEN said in a stock exchange filing on Thursday that it had entered right into a subscription agreement with unit Giga Ace 8, Inc. for added shares to fund the event of a 300.011-megawatt-peak (MWp) solar project in Palauig, Zambales.
The subscription involves 3.44 million common shares priced at P10 each, 30.98 million redeemable preferred A shares at P10 each and eight.03 million redeemable preferred shares at P100 each, for a complete investment of about P1.15 billion.
Giga Ace 8 serves as ACEN’s special purpose vehicle for renewable energy projects and is developing what is anticipated to develop into the corporate’s second-largest solar facility.
The project carries an estimated cost of P16 billion. In an earlier filing with the Department of Environment and Natural Resources, Giga Ace 8 sought approval to expand the project’s planned capability to 420 MWp from 300.011 MWp, raising the estimated investment to P26 billion. The expanded development features a battery energy storage system.
The power supports ACEN’s efforts to extend its renewable energy portfolio within the Philippines. As of end-March, the corporate had about 1,495 MW of installed solar capability within the country, accounting for roughly 21% of its 7-gigawatt renewable energy portfolio.
ACEN has allotted greater than P80 billion in capital expenditures this 12 months to fund projects within the Philippines and overseas because it pursues capability growth across its renewable energy business.
The corporate reported attributable net income of P2.92 billion for the primary quarter, up 49.7% from a 12 months earlier.
Revenue rose 42% to P10.74 billion, driven by growth in its retail electricity supply business, the implementation of bilateral power supply contracts and contributions from recently energized projects.
Shares of ACEN gained three centavos, or 0.94% to shut at P3.23 each on the Philippine Stock Exchange. — Sheldeen Joy Talavera