ATN Holdings Inc. said Thursday its board authorized the listing by introduction of subsidiary ATN Philippines Solar Energy Group Inc. in the Philippine Stock Exchange.
The ATN board also approved the follow-on offering and appointment of an investment banking group and underwriter for the listing of its solar subsidiary, subject to compliance to rules and regulations of regulatory agencies.
ATN said its board authorized the company to co-invest with Transpacific Broadband Group Int’l Inc. P2 billion in equity participation in the consortium to be formed with the winning bidder of the 20-year contract under the competitive selection process of Manila Electric Co. for solar energy.
“The corporation deemed a JV approach as advantageous and will participate in the consortium to be formed with the winning bidder of the Meralco CSP to achieve economies of scale in a 100-MW large solar project undertaking, and diversify financial and project execution risk in a joint venture in which the participants contribute complementary resources to increase the probability of success,” ATN said.
ATN is banking on the two CSPs of Meralco for 170 megawatts of peaking power and 850 MW to comply with renewable portfolio standards.
The board authorized the company to sign a joint venture agreement with key energy partners for the establishment of 50-MW to 1,000-MW solar project in its 256-hectare property in Rodriguez, Rizal. The company obtained a service contract for a 30-MW solar project in Rodriguez.
The board, in a special meeting Wednesday, discussed opportunities open to ATN Solar amid the projected power supply deficit arising from project delays over the pandemic and other industry developments.
ATN said opportunities in RE Industry in the next five years include several mega solar projects such as Meralco PowerGen with Global Business Power Corp. targeted portfolio capacity of 1,500 MW and Meralco’s CSP on 850-MW unsolicited offer of Terra Solar.
The company said ATN Solar has a lower levelized cost of solar power at P4 per kilowatt-hour and as an embedded power generator in the Meralco power distribution network.