ACEN completes equity acquisition of Australian partner

Ayala-led ACEN Corporation (ACEN), via its subsidiary AC Renewables International (ACRI), has completed acquisition of the equity previously held by its partner-firm UPC Renewables Asia Pacific Holdings in their Australian development platform for renewable energy (RE) projects.

According to the company, while the initial transaction value had been placed at $243 million when discussions started in 2021, the final consideration – after some adjustments, had been down to $173 million.

Australia is regarded as the Ayala energy firm’s biggest market outside the Philippines – with it advancing the construction of more than 1,000 megawatts of greenfield RE installations in that offshore market.

“ACRI and UPC Renewables Asia Pacific Holdings (UPCAPH) signed an instrument of transfer for the transfer to ACRI of UPCAPH’s remaining 4,766 ordinary shares in UPC-AC Energy Australia (HK) Limited, which completes the second and final tranche of ACRI’s acquisition of ACEN Australia,” ACEN emphasized.

Following the shares unloading of its partner-firm UPC Renewables, the business platform of the Ayala group in that market had also been transformed into ACEN Australia.

“The acquisition results in the full ownership by ACEN of the 521MW New England solar farm and the 520 MW Stubbo solar farm in Australia, as well as the development pipeline of ACEN Australia spanning New South Wales, Tasmania, Victoria, and South Australia,” the Ayala firm stressed.

ACEN previously indicated that the shareholdings purchased from its joint venture with Hong Kong-based UPC Renewables had been 51.6 percent.

Apart from UPC Renewables, part of the stake acquisition had been the shareholdings held by Anton Rohner, the chief executive officer of then UPCAC Renewables Australia.

When the deal was announced in 2021, it was stated that the sellers – UPC Renewables and Rohner – would “subscribe up to 942 million common shares of ACEN with a subscription price of P11.32 per share, subject to adjustments.”

The Ayala firm specified that the acquisition had to satisfy “agreed conditions precedent, and consents and regulatory approvals, including the consent and non-objection of the Foreign Investment Review Board of Australia.”