PetroEnergy increases stake in renewable units
By Alena Mae S. Flores – April 25, 2023, 7:20 pm
from manilastandard.net
PetroEnergy Resources Corp. said Tuesday it signed a share purchase agreement with EEI Power Corp. to acquire the latter’s common shares in three subsidiaries.
PetroEnergy said in a disclosure to the stock exchange it would acquire EPC’s 213,675,516 shares common shares in PetroGreen Energy Corp. (7.5 percent) for P2.78 a share, 6,993,800 shares in PetroSolar Corp. (44 percent) for P206 apiece and 2,865,408 shares in PetroWind Energy Inc. (20 percent) for P227.38 per share.
“The move supports PERC’s plans to focus more on renewable energy and to increase its stake in existing and planned projects, taking advantage of the emerging opportunities in the industry,” the company said.
PERC, through PGEC, has 138 megawatts of RE operating capacity and recently secured P1.8-billion financing and major approvals for the expansion of its onshore wind project in Aklan.
EEI Corp. said in a separate disclosure the transaction would monetize EPC’s assets, and the proceeds would be used to reduce debt and provide working capital as the EEI gears up for additional construction business in the Philippines and abroad.
House of Investments is the single largest majority shareholder of PERC, which is also the majority shareholder of EEI, the parent of EPC.
PGEC is a joint venture of EPC and PERC. PWEI and PSC are subsidiaries of PGEC.
“After fulfillment of all conditions for the sale, EPC will no longer have any interest in PGEC, PWEI and PSC,” EEI said.
Payment for the sale of EPC’s shares will be made in tranches with full payment expected by August 2023.
