AC Energy to invest P2.5B in Giga Ace 1

Ayala-led AC Energy Philippines Inc. is set to invest more than P2.573 billion in its wholly-owned subsidiary Giga Ace 1 Inc, to be used for the acquisition of ownership interest in Philippine Wind Holdings Corp.

In a regulatory filing, AC Energy said it will subscribe to a total of 96,707,235 shares of Giga Ace 1, equivalent to 99.97% of the company.

Broken down, this includes 75,000 common shares (P75,000); 43,069,625 common shares (P430.796 million); and 53,582,609 Class A redeemable preferred shares (P2.142 billion).

According to AC Energy, the proceeds of the transaction will allow Giga Ace 1 to acquire ownership interest in Philippine Wind.

"The subscription will be used by the Issuer to fund its acquisition of the ownership interest of the Government Service Insurance System, Langoer Investments Holding B.V. and Macquarie Infrastructure Holdings (Philippines) Pte Limited in Philippine Wind Holdings Corporation, the parent company of North Luzon Renewables Energy Corporation," the disclosure read.

North Luzon Renewables owns and operates an 81-megawatt wind farm in Pagudpud, Ilocos Norte which started commercial operations in November 2014. —KBK, GMA News