Ayala Group buys out Bronzeoak companies
AC Energy Holdings Inc., a wholly-owned unit of Ayala Corp., signed an agreement to acquire 100 percent of Bronzeoak Clean Energy and San Carlos Clean Energy of the Zabaleta family to expand its renewable energy portfolio.
“We are excited about this acquisition, as it strengthens AC Energy’s development capabilities. Bronzeoak is a leading developer of renewable energy projects, and there is so much complementarity between our groups. With this strong platform, I believe that AC Energy can scale up its renewable energy portfolio to 1,000 MW by 2020”, said AC Energy president John Eric Francia.
AC Energy said in a disclosure to the Philippine Stock Exchange the acquisition gave the company a renewable energy development, management and operations platform with a track record of successful project development.
The platform currently provides operations and management support services to a number of renewable energy generation companies that include San Carlos Solar Energy Inc., Negros Island Solar Energy Inc., Monte Solar Energy Inc., San Carlos BioPower Inc., South Negros BioPower Inc. and North Negros BioPower Inc.
With the acquisition, San Carlos Clean Energy and Bronze Oak Clean Energy have been renamed AC Energy DevCo Inc. and Visayas Renewables Corp., respectively.
“AC Energy acquired the operations and development platform as well as Bronzeoak’s economic interests in three solar project companies, with minimal attributable MWs,” Francia said.
The company added the acquisition provided a strong development and operations organization that would accelerate its renewable energy expansion.
AC Energy’s goal plans to increase its portfolio of conventional and renewable energy to 2,000 MW by 2020.
“The renewable energy revolution is upon us and we are gearing up the organization for this new reality. We will also harness synergies across the Ayala group to achieve this goal” Francia said earlier.
“We expect renewable energy to be more competitive over the next five years, and this will be good from a sustainability, diversification and resiliency standpoint,” he said.
AC Energy diversified into geothermal projects and signed in December the sale and purchase agreement with Chevron Global Energy Inc., Union Oil Co. of California and their relevant affiliates (collectively, Chevron) for the purchase of Chevron’s geothermal operations in Indonesia and the Philippines.
AC Energy was a part of an Indonesian and Philippine consortium that signed the sale agreement for Chevron’s geothermal assets.
AC Energy last year announced plans to invest close to P80 billion to bring its capacity to 2,000 megawatts by 2021.
The company owns a portfolio of geothermal, coal, wind and solar assets only five years since it entered the market in 2011.