ACEN invests $140M in international subsidiary

AC ENERGY Corp. (ACEN) subscribed to about 1.402 million redeemable preferred shares of its subsidiary ACEN Renewables International Pte. Ltd. (ACEN International) for $100 apiece for additional direct investment.

In a disclosure to the exchange on Thursday, ACEN said it would shell out a $140.2 million as the subscription price to the shares of its Singapore-based unit. The listed energy platform is the controlling shareholder of ACEN International through AC Energy International, Inc.

The subscription payment will be used by ACEN International for its projects in various renewable energy and development companies in Indonesia, Vietnam, India, and Australia wherein it holds interests.

On March 15, ACEN through ACEN International took full control of its Australia joint venture company UPC-AC Renewables Australia after buying the 52% stake of its partner UPC Renewables Asia-Pacific Holdings Pte. Ltd. and Anton Rohner.

The acquisition was valued at $243.4 million, which will be paid in two tranches. It is expected to be completed by the first quarter of next year.

UPC-AC Renewables Australia is building a 520-megawatts (MW) solar farm in New England, Australia and has a development pipeline of more than 8,000 MW spanning New South Wales, Tasmania, Victoria, and South Australia.

ACEN is targeting to become the biggest listed energy platform in Southeast Asia as it aims to put up 5,000 MW of renewable energy capacity by 2025.

At home, the company is building around 484 MW of wind and solar capacity. Across the region, it has around 3,800 MW of attributable net capacity, of which, renewables account for a share of 87% or 3,300 MW.

At the stock exchange, ACEN shares on Thursday went up by 20 centavos or 2.34% to close at P8.73 apiece. — Marielle C. Lucenio