MANILA -Vivant Energy will expand its presence in off-grid areas once it acquires partner Gigawatt Power Inc.’s shares in a Cebu-based company that owns a small power utilities group plant.
In a stock exchange disclosure on Wednesday, Vivant Energy, a wholly owned subsidiary of listed Vivant Corp., said it would acquire subscription rights of over 15.26 million common shares and 137.34 million preferred shares of Gigawatt Power in Isla Norte Power Corp.
Gigawatt Power currently holds a 35-percent interest in Isla Norte. Vivant Energy did not disclose the amount of the transaction.
Vivant Energy president and chief operating officer Emil Andre Garcia said the acquisition aligned with Vivant Energy’s environment, social and governance commitments, as the company aims to boost power supply in underserved areas.
Vivant Energy also noted that it would undertake the investment with its wholly owned subsidiary, Vivant Integrated Diesel Corp. (VIDC).
VIDC primarily holds Vivant Energy’s diesel investment portfolio.
According to Vivant Energy, Isla Norte is set to develop and operate a 23.3-megawatt (MW) bunker-fired power plant in Bantayan Island, Cebu province.
Earlier this month, the company announced that it would acquire Gigawatt Power’s shares in Delta P Inc., Calamian Islands Power Corp. (CIPC), La Pampanga Energy Corp. (LPEC), Culna Renewable Energy Corp. (CREC) and Isla Norte to expand its attributable installed capacity to 63.3 MW from the current 35.2 MW.
Gigawatt Power holds a 50-percent interest in Delta P, CIPC, LPEC and CREC. These companies own mostly diesel-fired power plants in Palawan and Pampanga provinces. INQ