Ayala-led ACEN Corp., through its subsidiary, sealed a green term loan worth 75 million Australian dollars with Hongkong and Shanghai Banking Corp. Ltd. for its renewables expansion in Australia.
“The loan agreement underlines ACEN’s strategic move to bolster its renewable energy initiatives in Australia, an emerging key market for the company,” the listed energy company said in a disclosure to the stock exchange on Wednesday.
According to the company, the green term loan that was sealed by ACEN Renewables International Pte. Ltd. (ACRI) will “deliver the much-needed capital” for ACEN’s renewable energy (RE) projects in Australia.
“This AUD green term loan of ACRI is a significant stepping stone in our funding journey — supporting our expansion plans in Australia, as well as helping manage our foreign currency risk in AUD,” ACEN Treasurer Ma. Cecilia T. Cruzabra said.
In February, ACRI took over ACEN Australia after acquiring the shares of UPC Renewables Asia Pacific Holdings Pte. Ltd. (UPCAPH).
ACEN Australia is the joint venture holding company of ACRI and UPCAPH for ACEN’s energy projects and investments in the region.
Last week, ACRI secured its first $100-million green term loan facility with MUFG Bank, Ltd. of Japan to expand into several international markets including Australia.
Meanwhile, in a separate disclosure, ACEN said another subsidiary ACEN International, Inc. signed a term loan facility worth P7 billion with Rizal Commercial Banking Corp.
The loan will be used to finance renewable energy projects through its subsidiaries and joint ventures, and for general corporate purposes.
To date, ACEN has around 4,430 megawatts of attributable capacity spread across the Philippines, Vietnam, Indonesia, India, and Australia. The energy company is targeting to expand its renewable energy portfolio to 20 gigawatts by 2030.
On Wednesday, shares of the company rose by five centavos or 1.14% to P4.43 apiece. — Sheldeen Joy Talavera