AYALA-led ACEN Corp. is looking at an estimated P30 billion in new debts to fund its capital expenditures of about P50 billion to 70 billion this year, the company’s finance chief said.

“In terms of new debts, we are projecting to borrow an additional of P30 billion and we are also looking at equity offering by way of the preferred shares — not part of P30 billion,” Maria Corazon G. Dizon, treasurer, chief financial officer and compliance officer of ACEN, said in a briefing on Monday.

For 2023, ACEN has said that it has over 2,400 megawatts of projects under construction. It expects to spend up to P70 to expand its renewable energy portfolio.

Eric T. Francia, president and chief executive officer of ACEN, said during the company’s annual stockholders meeting that the amendment of article seven of the articles of incorporation to create preferred shares of 100-million unissued common shares into preferred shares had been approved.

“Issuing preferred shares allowed us to diversify our funding mix and also improved our capital structure and leverage ratios in preparation for future financing initiatives to meet our rapid growth trajectory. We’ve seen that Philippine investors both institutional and retail have an appetite for preferred shares investments so we’re tapping into this pool of liquidity to fund our growth,” Mr. Francia said.

In an earlier disclosure, ACEN announced that its board of directors had approved the reclassification of 100-million unissued common shares.

“We think now is the good time to offer preferred shares to give new investors steady, predictable and competitive returns versus other instruments in the market. These preferred shares are non-dilutive, so nonvoting,” Mr. Francia said.

At the local bourse on Monday, shares in the company gained four centavos or 0.66% to P6.10 apiece. — Ashley Erika O. Jose