Vivant Energy unit divests from solar firm to focus on SPUG, retail supply

By Alena Mae S. Flores – September 19, 2024, 8:10 pm
from manilastandard.net

Vivant Renewable Energy Corp. (VREC), a wholly-owned subsidiary of Vivant Energy Corp. (VEC), said Thursday it is divesting its 32.26-percent stake in Buskowitz Energy Inc. (BEI) to focus on its retail energy supply and the Small Power Utilities Group (SPUG) business.

“The divestment is part of VEC’s efforts to focus its investments on its core competencies, particularly in its retail energy supply [RES] and Small Power Utilities Group businesses,” said VREC president and chief executive Mark Habana in a disclosure to the stock exchange.

The transfer will be implemented through the acquisition by Aurora Sustainable Energy Pte. Ltd., a private limited company incorporated in Singapore, of outstanding common B shares, through the assignment by BEI of its right to purchase VREC’s shares under the shareholders’ agreement.

BEI is a solar development, engineering, procurement and construction company and offers solar power purchase agreements (PPAs), leases and solar loans for companies and individuals to help them switch to renewable energy solutions.

The divestment was approved by the VREC/Vivant Energy board on Sept. 5, 2024, subject to finalization of transaction documents. VREC said it would sell 560,000 common B shares equivalent to 32.26 percent shares. VREC acquired its stake in BEI in 2021.

“This decision is rooted in mutual respect and a shared vision for a sustainable future. We value our past collaboration and look forward to pursuing our respective growth strategies.” BEI president James Buskowitz said.

Buskowitz said despite the transition, VREC remains to be a potential solar engineering, procurement and construction (EPC) partner of VEC.

VEC, the power arm of Cebu-based listed firm Vivant Corp., said it is on track with its 70:30 conventional and renewable energy capacity mix target by 2030.