UK fund manager Actis Capital is taking a 40-percent stake in Terra Solar Philippines, a subsidiary of publicly-listed Solar Philippines New Energy Corp. (SPNEC), for $600 million.
SPNEC, now controlled by Meralo PowerGen Corp., said it agreed to issue shares equivalent to a 40-percent stake in Terra Solar, which is developing the world’s largest integrated renewables and energy storage project in Central Luzon.
The 3.5 gigawattpeak solar project combines with a 4.5 gigawatt-hour battery energy storage system capacity in the provinces of Bulacan and Nueva Ecija.
SPNEC, which will hold the remaining 60 percent of Terra Solar, said it would use the proceeds from the entry of Actis to jointly develop and expand Terra Solar.
“We expect our strategic partnership [with Actis] will not only put the Philippines in the global spotlight, it will also thrust one Meralco into the international stage as a leader in the renewable energy space, through its ownership of the world’s largest hybrid solar project, which is poised to power more than 2.4 million households in the Philippines and displace 4 million tons of carbon dioxide every year,” MGen president Emmanuel Rubio said.
Actis chairman and senior partner Torbjor Caesar said the investment would be the largest in greenfield project in the Philippines.
“’We’re very honored and excited to invest $600 million into that, which I believe is the largest FDI investment into the greenfield infrastructure here in the Philippines,” said Caesar.
