ACEN in acquisition binge, buys out partners in RE projects | Inquirer Business

ACEN in acquisition binge, buys out partners in RE projects

/ 05:22 AM October 21, 2021

AC Energy Corp. (Acen) is buying out more assets from partner UPC Group, with P5.6 billion worth of transactions related to the latter’s interest in three wind farms in the Philippines.

The Ayala group’s power generation arm said in a statement it was acquiring all the Philippine assets—already operating as well as those still under development—of UPC Philippines Wind Investment Co. BV.


These include a 32.2-percent interest in the 52-megawatt NorthWind facility in Bangui, Ilocos Sur, at P1.09 billion, to make it fully-owned by Acen.

All-renewable portfolio

In turn, the sellers will subscribe to up to 90 million shares of Acen at P11.32 apiece for a total of about P1.02 billion.


The first such facility in the Philippine and Southeast Asia, the Bangui wind farm started commercial operations in 2005, also heralding the entry of renewable energy (RE) technologies other than geothermal and hydro into the country’s power generation mix.

Also, Acen is set to acquire the holdings of UPC Philippines and investor Stella Marie Sutton in various concerns, including 11 percent of North Luzon Renewables and 15 percent of Bayog Wind Power Corp.

This will make the Bayog Wind’s 160-MW wind farm— under construction in Pagudpud—fully owned by Acen.

Meanwhile, the 81-MW Caparispisan wind farm, operated by North Luzon Renewables, will see ACEN’s stake rise to 78 percent from 67 percent.

The transaction covering Bayog Wind and North Luzon Renewables along with other assets that are currently under development—a pipeline of about 1,300 MW of capacity—rings up at an aggregate P4.5 billion.

Similarly, the sellers are committed to subscribe to up to 390 million shares of ACEN at P11.32 per share for a total of P4.4 billion.

“These transactions enable us to leverage synergies across the ACEN portfolio and allow our partners to benefit from ACEN in the long long-term,” ACEN president and chief executive Eric Francia said in a statement.


Jose Maria Zabaleta, ACEN chief development officer, said the additional 1,300 MW of renewables pipeline and expanded operations will accelerate the company’s sustainable growth towards developing high-value renewable energy projects.”

These transactions come as ACEN announced a goal of attaining an all-renewable portfolio, revving up an earlier target of full divestment in coal-related projects by 2030.

Read Next
Don't miss out on the latest news and information.

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: AC Energy Corp. (Acen), UPC Group
For feedback, complaints, or inquiries, contact us.

Curated business news

By providing an email address. I agree to the Terms of Use and
acknowledge that I have read the Privacy Policy.

© Copyright 1997-2021 | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.