Ayala Corp's AC Energy buys renewable energy developer Bronzeoak
MANILA, Philippines— Ayala Corporation's power arm, AC Energy, acquired a leading local renewable energy developer in a bid to bolster its renewable energy portfolio.
In a disclosure to the Philippine Stock Exchange (PSE) on Tuesday, March 21, Ayala Corporation announced that its wholly-owned subsidiary AC Energy signed definitive documents to acquire 100% ownership of Bronzeoak Clean Energy (BCE), as well as San Carlos Clean Energy (SCCE).
The acquisition provides AC Energy with a development and operations platform of solar and biomass energy totaling more than 200 megawatts (MW).
BCE and SCCE provide operations and management support services to a number of renewable energy generation companies that include San Carlos Solar Energy, Negros Island Solar Energy, Monte Solar Energy, San Carlos BioPower, South Negros BioPower, and North Negros BioPower.
Following the acquisition, BCE has been renamed Visayas Renewables Corporation while SCCE has been renamed AC Energy DevCo Incorporated.
"AC Energy is in the midst of a transformation. We used to be a locally focused investment holdings firm, but over the next 4 years we intend to become a regional firm with investments in countries like Indonesia, and we are delving into development and operations as opposed to just investing with partners. We want our own capability to develop and operate projects, especially in renewable power projects," AC Energy chief executive officer John Eric Francia said in an ANC interview on Wednesday, March 22.
"The Bronzeoak acquisition is a critical piece of this. They are one of the leading renewable energy developers, having almost 200 MW of solar power in terms of operations under their belt as well as biomass," he added.
Prior to the deal, AC Energy had an installed capacity of 1,300 MW, of which 300 MW is provided through renewable sources. The firm is now targeting 2,000 MW of installed capacity by 2020, half of which is set to come from renewable energy.
Earlier this year, AC Energy also signed investment agreements with UPC Renewables Indonesia Limited for the development, construction, and operation of a wind farm project in Sidrap, South Sulawesi, Indonesia at a projected cost of $150 million. – Rappler.com