MRC Allied completes deal for stake in solar farm

As published on DOE

MRC ALLIED, Inc. on Tuesday completed its acquisition of a 15% stake in a solar farm in Leyte for $5 million, marking its shift to the energy business.

The former property company told the stock exchange it had signed and executed a deed of assignment with Amled International Systems, Inc., one of the owners of Sulu Electric Power and Light (Phils.), Inc. (Sepalco).

Sepalco owns a 50-megawatt (MW) solar project in Barangay Castilla in Palo, Leyte province. It started operating in March 2016. The plant is connected to the grid via a 69-kilovolt transmission line. MRC Allied bought 157.5 million shares in Sepalco at P1 each for a total of P157.5 million. Before the deal, Amled holds 45% of Sepalco, while SAS Sunrise Pte Ltd. owns 40%. The rest are held by three individuals. The listed company said it will source the funds for the acquisition from shareholders’ advances. MRC Allied President Gladys N. Nalda previously said the company was targeting to put up 1,000 MW of renewable energy capacity by 2022. For this year, the company has 160 MW of solar capacity in the pipeline — 100 MW in Clark Green City, Pampanga and 60 MW in Naga City, Cebu. On Tuesday, shares in MRC Allied rose 5.8% to P0.365 each.

Reference:

Saulon, V. V. (October 4, 2017). MRC Allied completes deal for stake in solar farm. Business World. Retrieved from http://bworldonline.com/mrc-allied-completes-deal-stake-solar-farm/